Lego history began in 1932 in Billund, Denmark, where Ole Kirk Christansen founded a small factory of wooden toys. The name Lego comes from a fusion of the Danish words “LEg” and “GOdt” which means "play well".
In 1947, Christansen bought the first plastic injection molding machine in Denmark. He developed the early prototypes for the LEGO brick and in 1958 he patented the LEGO brick. Today’s LEGO bricks still fit bricks from 1958.
Below is a timeline (from gizmodo.com, click the image for the original article) of LEGO.
LEGO, is launching a kit to commemorate it's 50th birthday, 3 gold bricks included (LEGO Town Plan).