The System/38 is a midrange computer system developed by IBM and introduced in 1979. It was designed to support business applications and featured a unique architecture that combined hardware and software into a single system. The System/38 utilized a high-level programming language called RPG (Report Program Generator) and was known for its advanced database management capabilities. One of the key innovations of the System/38 was its use of a virtual machine environment, allowing multiple users to run different applications simultaneously. This made it a popular choice for small to medium-sized businesses looking for efficient computing solutions. The System/38 eventually paved the way for later systems, including the AS/400.