The development team initially planned the new personal computer as a small version of the business computer line which originated from the NEAC System 100 ( NEACシステム100) of 1973. In the Information Processing Small Systems Division, Shunzō Hamada ( 浜田 俊三) directed the project, and Noboru Ozawa ( 小澤 昇) did the product planning.
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In April 1981, NEC decided to expand personal computer lines into three groups, New Nippon Electric did 8-bit home computers ( PC-6000 series), Information Processing Group did 16-bit business personal computers, and Electronic Devices Group did other personal computers ( PC-8000 series, PC-8800 series and PC-100 series). Also, if personal computers are considered home electronics, we cannot deny a proposal from New Nippon Electric.". However, if personal computers are considered computers, Information Processing Group should handle them in NEC. The vice president of NEC, Atsuyoshi Ōuchi ( 大内 淳義) thought "It is sure that we cannot deny contributions of Electronic Devices Group as a parent of the personal computer. The Electronic Device Sales Division launched the PC-8001 in 1979, and it dominated 40% of the Japanese personal computer market in 1981. The division only had a small distribution network of electronic parts stores, so they asked New Nippon Electric to sell the personal computers through their consumer distribution network. The division decided to develop a personal computer despite criticism from the Information Processing Group, which developed mainframes, that they were making toys.
Computer manufacturers had not developed personal computers because they assumed microprocessors were not suitable for computing, as they suffered from a lack of performance and reliability. Tomio Gotō ( 後藤 富雄), a developer of the TK-80, watched the rise of personal computers at the 1977 West Coast Computer Faire.
However, the Electronic Device Sales Division developed the microprocessor evaluation kit TK-80, and it became unexpectedly popular among hobbyists. NEC didn't have a presence in the consumer market, and its subsidiary, New Nippon Electric (later NEC Home Electronics), had limited success in consumer products. By 1976, the company had the 4th largest mainframes sales (10.4%) in Japan, after IBM (29.6%), Fujitsu (20.1%) and Hitachi (15.8%). NEC had developed mainframes since the 1950s.
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