>The software business went from primarily being targeted at businesses, schools, and hobbyists to being targeted at mainstream consumers
The way I remember it, personal computers (initially called home computers) always had a market among individuals with those individuals initially being hobbyists, but becoming more consumer-ish fairly soon, certainly by the early 1980s when the video-game market became a large part of the market for software for personal computers--maybe for a year the major part. Once individuals owned personal computers, they started bringing them in to work, usually against the wishes of the IT department, and the enterprise PC software and professional PC software segments grew faster than consumer PC software--until about 1990.
Video and sound cards became popular around the same time as the CDROM drive, roughly starting in 1990, and the combination led to a "resurgence" in software for consumers--games certainly, but also things like Compton's Multimedia Encyclopedia (1989), The New Grolier Multimedia Encyclopedia (1992), Encarta (1993) and interactive fiction.
San Francisco was the center of the companies trying to reach this "multimedia" software market, and some writers started referring to SOMA and the Financial District as "Multimedia Gulch".
It boggles my mind that you think this "multimedia resurgence" I just described was anywhere as dramatic a shift as the Internet was!
Microsoft's main tag line during the marketing of Windows 95 was, "This way to the Internet." I must have heard that phrase a thousand time in Microsoft's ads. I don't recall Microsoft making any pitches to consumers to the effect that Windows 95 will allow them to take full advantage of their new graphics cards, sound cards or CD drives.
I kind of remember public interest in those things--and the"multimedia" software titles enabled by those things--having subsided by the time Windows 95 hit.