The Business Product division used up a lot of resources for development, and it seemed like the money would be there. During 1985 Infocom head count reached more than a 100 employees, mostly in the Business Division. They also hired three Program Managers, each with their own secretaries. This growth forced Infocom to move to a bigger office. In the end of 1984 Infocom relocated its office to 125 CambridgePark Dr. The new office cost over $600,000 per year, a large amount compared to Infocom's 1983 net income of $526,000. All combined, Cornerstone-related expenses totaled $2.5 million in 1984 [source: Infocom 1984 Annual Report]. Despite these costs, the company had raised a relatively small amount of money. Infocom relied mostly on the $2 million invested by Ray Stata and $500,000 from the MCRC and from profits from the game business.
As Infocom expanded, the employees in the games business grew more resentful that the profits from their hard-earned efforts were being taken away and channeled into development of Cornerstone. Some felt treated as second-class citizens. Dan Horn, who led the Microcomputer Division tasked with creating new ZIPs, described the situation: "Cornerstone…alienated everyone into two different camps: business and games. Games, the group that started and consistently funded the company, was then second fiddle, and there were even talks of stopping game production once Cornerstone succeeded!" [Dan Horn, Interview]
The internal conflicts sparked talk about splitting up the company. Licklider believed that it was a good idea because "…employees might feel they're contributing to their own company rather than engaged in rivalry with the other division."
Maybe the release of Cornerstone comes to the rescue?