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Founded on July 1, 1963, Project MAC (for Multiple Access Computer and Machine-Aided Cognition) was an interdepartmental laboratory at Massachusetts Institute of Technology (MIT). The lab developed the Compatible Time-Sharing System (CTSS), one of the first timeshared systems in the world, and Multics--an improved time-shared system that introduced several new concepts. These two major developments stimulated research activities in the application of online computing to such diverse disciplines as Engineering, Architecture, Mathematics, Biology, Medicine, Library Science, and Management.
Sources:
The Dream Machine, M. Waldrop
http://en.wikipedia.org/wiki/MIT_Computer_Science_and_Artificial_Intelligence_Laboratory