MESSAGE
| DATE | 2005-04-08 |
| FROM | Ruben Safir
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| SUBJECT | Subject: [hangout] MS New Free Software stratergy
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Once ignored as a squeaky fringe, the "open-source" community and its
champion, the freely distributed Linux operating system, have come into
their own. No longer a plaything of geeks, Linux has grown marketplace
teeth in its battle with Microsoft's long-dominant Windows.
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Microsoft (Nasdaq: MSFT) Latest News about Microsoft has paid billions
of dollars to make antitrust Latest News about antitrust and unfair
trade litigation go away, even as it endured waves of attacks by hackers
and virus writers exposing its products' securities flaws.
But still ahead is the biggest challenge facing the global software
giant's bid to become a more open, responsive, customer-centered
enterprise Get your complimentary copy of the IBM 64-Bit Computing
Decision-Maker's Guide. worthy of continued operating system dominance.
Taking the Spotlight
Once ignored as a squeaky fringe, the "open-source" community and its
champion, the freely distributed Linux Get a free copy of Sybase(R) ASE
Express Edition for Linux. Download now! operating system, have come
into their own. No longer a plaything of geeks, Linux has grown
marketplace teeth in its battle with Microsoft's long-dominant Windows.
That's where Kevin Johnson comes in.
Rather than manning the parapets of Fortress Microsoft in Redmond,
Wash., content to exact its overwhelming market share while would-be
competitors contemplate the moat, Microsoft's group vice president for
worldwide sales, marketing and services is on the attack.
"I spend about 50 percent of my time traveling in the field," said
Johnson, who stopped Monday in Salt Lake City. "The customers and
partners we work with are very important to us."
In Utah, that means meeting with technical and business Meet the server
enhanced for Linux®: the new IBM eServer™ OpenPower™ system.
collaborators such as NuSkin Enterprises, Lifetime Products and Franklin
Covey to answer questions and draft product and market strategy.
"We live in a world of innovation and competition," Johnson said. "So
our focus has to be on how we as a company innovate, add value for our
customers and deliver great customer-partner experiences."
Battle Heats Up
In particular, Utah-born Novell Inc. (Nasdaq: NOVL) Latest News about
Novell, which moved its headquarters to Waltham, Mass., last year but
still has a third of its 6,000-plus employees in the Beehive State, has
gained Microsoft's attention.
Novell recently pried more than US$500 million out of Microsoft to end a
long-running unfair trade practices lawsuit. And Bill Gates' company
also has had to recognize Novell's emergence as a major corporate
sponsor of open-source applications.
With its 2003 acquisition of Germany's SuSE Latest News about SuSE
Linux, Novell became the world's No. 2 open-source distributor behind
Linux leader Red Hat Inc. (Nasdaq: RHAT) Latest News about Red Hat
During last month's BrainShare conference in Salt Lake City, Novell
unveiled a new suite of Linux-based applications from desktops Trade in
your old desktops, laptops and servers and get great deals on HP
technology. to corporate networks and computer servers.
Windows, Johnson insists, has not been idle either.
"When customers look at Microsoft Windows platforms versus Linux on the
server Save up to $189 on the HP ProLiant ML110 server. Latest News
about Servers side, that dialog has changed significantly," he said.
"Three or four years ago, the discussion was an almost religious debate
over development approaches -- the open source Latest News about open
source development versus commercial development."
Cost Debate
More recently, though, Microsoft claims business values have trumped the
debate. Gates & Co. cites analyst reports claiming the overall cost of
owning Windows is less than Linux, offering 200 customer testimonials at
its http://www.getthefacts.com Web site Get a Free E-Commerce Start-up
Kit from Verisign.
Still, Johnson admits the Windows-Linux contest "has become sort of a
two-horse race." Indeed, IDC researchers recently forecast that --
including servers, personal computers and software -- the Linux market
is growing 26 percent annually and will be worth $35.7 billion in 2008.
But Linux must go a long way before becoming more than a persistent
mosquito tapping the veins of the elephantine Microsoft. Some 90 percent
of PCs Trade in your old desktops, laptops and servers and get great
deals on HP technology. still run Windows. Even in the server-based
market, Linux's hopes for a 15 percent market share within three years
would be small compared with Windows' 40 percent share.
Novell, its venerable NetWare line fading from its former prominence in
the server space, looks to regain market share by melding NetWare
features with Linux server technology. The company also eyes the day
when its Linux Desktop products win over Windows customers.
Powering Servers
For now, Novell spokesman Bruce Lowry points to his company's -- and
other Linux distributors' -- success in powering the world's computer
network servers.
"[Linux] clearly has been accepted as an enterprise platform," he said.
"The latest IDC numbers have the Linux-installed base growing at 25
percent annually over the last few years ... There's no question
companies are buying Linux."
Lowry acknowledges, as Microsoft points out, that most of Linux's server
inroads have displaced former Unix Get the total cost of ownership facts
on Microsoft(R) Windows(R) and Linux. products. "[But] it is likely that
some new server purchases of Linux, rather than replacements, are coming
at the expense of Windows," he added.
© 2005 The Salt Lake Tribune. All rights reserved.
© 2005 ECT News Network. All rights reserved.
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