There is an apocryphal story that when Outlook was first considered, it was a PDA, kind of an electronic date book.
One Microsoft manager, supposedly, questioned adding an e-mail reader, since any one who wanted to do that, could just do it on the Internet.
Another story was that Microsoft was a little slow recognizing the Internet, because their managers were too old. They were in their late 20's and when they went to school the net had not progressed that far from the Well in San Francisco.
When the young graduates entered the company, they were used to Internet access from their dorm rooms. MS woke up and swung the ship around almost overnight.