Just learned from Scott Dorman's blog on "The history of C#". The codename of C# was Project Cool and was supposedly a "clean-room" implementation of Java. It was later changed to C# based on a musical scale. Just as C++ added the "++" to "C" since it was considered to be "adding to" or "one greater than" C, the sharp (#) on a musical scale means one semi-tone above the note. So, in both cases the name implies one above or higher than the original.

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