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Great Bridge Out; Caldera in Trouble
tim_maroney writes: "CNET's news.com gives us a pair of open source disaster movies today. Great Bridge, an open source database maker which refused a bid from Red Hat earlier this year, will lay off 38 of 41 employees and close its doors. Caldera, a seller of Linux and UNIX versions, announced layoffs, plummeting revenues, and a reverse stock split intended to allow it to be relisted. Not a happy day for fans of open source business models."
Has anyone else noticed that *ALL* business models are affected, not just the open source??? The O/S model is really just starting out, consider that when you compare them to hp or compaq or whoever. You'll see that they are holding their own. Which is amazing considering how radical the O/S model is compared to the closed source model (not so much caldera, their kinda like a leech). The WHOLE ECONOMY is in a "downturn" not just this "crazy" market..... geezz... /. has become the MTV of the geek world....
Jet engine manufacturer Pratt & Whitney learned long ago: sell your engines at a loss. The real money is in service.
At the time, IBM happened to be piloting System R (precursor to DB2) at Pratt & Whitney. And they learned there: Virtually give away the software, and make money on your services. And that's why IBM global services is such a powerful consulting force today. Global Services is the real profit arm of IBM.
But IBM ain't dumb. Of course, IBM global services prefers IBM products, but they'll support Solaris and Linux and VB apps too.
And that's the rub. Most Open Source-centric companies don't have deep pockets, but only support a narrow field of Open Source software.
The fact is guys, it's hard to support 50 new employees on a brand new, growing marketplace. It would be wiser to support existing commercial products while pushing your own [open source] agenda. Heck, that's the successful IBM GS model (sans the Open Source bit).
Grow up guys, get off your high horse and step into the real world. You can't start a company hoping that all your customers will knock on your door supporting your agenda. But you can can fight for your utopian dream by FIRST supporting your customers, and only SECONDLY by showing your customers why your ideals are best for THEM.
so they're laying off 38 of 41 staff and closing the doors? someday, open source archaeologists will reopen those doors and find their three skeletons surrounded by mountain dew cans . . .
go get it
To the best of my knowledge, Caldera's business model isn't really an "Open Source" model in the sense that, e.g., Red Hat's is. Red Hat makes money by giving away software and selling services. Caldera tries to make money by giving away free software (Linux) and selling proprietary stuff along with it.
Remember that Caldera CEO Ransom Love publicly said that he agrees with Craig Mundie's statement that "Open Source is bad for business". That's because even though they give away Linux, at the end of the day they still make their money by selling proprietery software, just like Microsoft.
If you say "I'll probably get modded down for this..." then I will mod you down.
Not a happy day for fans of open source business models
What? Caldera buying SCO was the biggest bone head move of all time - they bought the least-likely-to-survive Unix on the planet when faced against Linux. I understand some of the motivation was for their distributors, sales channels and support/tech but really, SCO was a pile of bricks. Bad Move.
On top of it all, Caldera, under the lead of Ransom Love, has got to be the least amiable of the Linux Companies - he has said some *very* stupid things and really dosnt *get* what GNU/Linux will do to the software world... frankly, im glad to see the "Caldera Company" go. On the other hand, i do feel some pain for their employees - best of luck to the *people* involved.