Linux To Ring Up $35B By 2008
al@opensourcebrowser.com pastes "For a theoretically free operating system, Linux is -- and will continue to be -- a cash cow, a research firm said Wednesday as it predicted the OS will bring in more than $35 billion in revenues by 2008. Framingham, Mass.-based IDC said that overall revenue for servers, desktops, and packaged software running on Linux will reach $35.7 billion in the next four years."
So, where's my check? :)
You are not the customer.
I'll be frank, I really can't see it generating that much of an income. There are only 6-7 Billion people in the world...
GET THE FACTS!
See here
..anyone who can figure out where that figure came from, and who's getting it...
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I saw $358 and was not surprised.
i presume most of this is from donations because the ISO's can be downloaded free. so if linux is turning into a cash cow just by being a free software, then think how much it would have made by being a commercial one... ha! ha! got ya... it would have made quite less as its appreciation comes from its FOSS tag, right?! now that's what i call paying for what you like and not what your vendor insists... more power to FOSS.
Must suck.
'Cos it is.
Wow. That's a lot of SCO licenses.
Slashdot: News for Nerds, Stuff that matters only to them
Maybe FF were making sure they released a patch that worked. How many patches for patches have MS released. Oh yeah, I chew my male chicken, it's quicker.
--Sir_-_Jeff--
(source)
Well, yeah. If you sell 100 Licences at $699 each (you cock smoking tea baggers), you're bound to make a bit of a profit.
Everyone knows that the smallest cost in most enterprise projects is the license costs. As more engineers gain skills in Linux, Microsoft's claims of lower TCO will ultimatly diminish as a result. Software and operating systems will be compared on performance, reliability, and security, to a greater extent.
Framingham, Mass.-based IDC said that overall revenue for servers, desktops, and packaged software running on Linux will reach $35.7 billion in the next four years.
it wouldn't be such a far-fetched figure if it included sales through websites on linux servers aswell as linux hosting. they could go as far to include bandwidth costs and how isps would gain revenue from linux servers/desktops being connected to the internet. i'm guessing the desktop portion of the money will be small compared to the servers and software/support
Linux allows companies and individuals to use their money in other areas as well. This helps the economy overall. Cell phones on Linux will be cheaper, etc.
Also, companies can use that money in other areas, which I would assume would make them more productive.
A lot of this revenue is probably for services I would assume.
Except for ending slavery, the Nazis, communism, & securing American independence, war has never solved anything.
Welcome our open source capitalist overlords
He says the correct figure is GNU/$35B
Microsoft will earn $38 bn in 2005.
IBM received $23.2 bn in 2004.
How will those figures look in 2008?Anyone else first read the logo under the Slashdot banner as saying "Don't feed the penguins?"
Yet the same people completely missed portable MP3 players, VOIP, etc etc
Didn't we learn anything from 4 years of George W. Bush?
FreeBSD is responsible for over $1B in revenues, today. If it could be accurately counted, it might be over $2B. Yup, it's dying, all the way to the bank. ;->
"To those who are overly cautious, everything is impossible. "
It's just $1billion duped many times on Slashdot!
Engineering is the art of compromise.
Only 2 million copies of Redhat Enterprise Linux for zSeries, and we're there...
x .html
http://www.redhat.com/software/rhel/purchase/inde
500GB of disk, 5TB of transfer, $5.95/mo
[sarcasm]
See! Windows is a lot cheaper than Linux - I mean, look how much money you have to spend on it!
Hm? How much would it cost to do the same thing with Windows? That's not the point - look! Shiny object!
[/sarcasm]
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Well with that much money guess they don't need us writing free code anymore. They can afford to pay and spread the wealth.
$Moo!$
Oh, wait a sec ... I meant the other way around.
The Raven
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Not much. OSS creators are patsies being exploited by hardware companies such as IBM and software companies such Red Hat. They take all the money, and throw a bone to the OSS community once in a while to pay a few of the top creator's salaries.
...when communists go bad
-- Free software on every PC on every desk
That's a nice number, Note that in comparison, Microsoft's 2004 revenue is about $36 billion. Apple is around $10 billion.
Why is anyone taking this seriously?
Help fight continental drift.
First off this this is totally off topic.
Secondly not all slashdoters are american or capitalists. You can't go lumping everyone togeather like that. Furthermore under communism the state owns and runs everything, it is not "shared by all", as it is with open ousrce.
They're counting money for hardware that would have been spent anyway, regardless of what OS is running on it. It's like a car company taking credit for $35 billion spent on gas. In the end, if I don't buy a Honda, I'll buy a Ford and spend money on the gas regardless.
The only credible argument is that less will be spent on hardware supporting Linux than would be spent supporting other operating systems. Perhaps, that's an arguable point. But even then, the cost difference would not be $35 billion.
You know, the three step program.
1) Distribute OS for free
2) ???
3) Profit!
All successful companies follow it, and so far, it hasn't failed yet.
In other news, beating dead horses has reached an all time high.
Hold on... You state that /.er's love the ideals that 'co-inside' (you have a way with words) with communism, and they blast the threads that are pro-capitalism...
You call this 'ironey' (again, a lovely way with words)?
Sounds pretty consistent to me.
... you have such a narrow minded view of what Capitalism actually is.
/.er, your rhetoric stinks as well.
From a non American
It's simplistic to say that someone who belives in common ownership of one thing can't belive in private ownership of means of production or capital.
"A language that doesn't affect the way you think about programming, is not worth knowing" - Alan Perlis
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who cares? for real?
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Its a cash penguin damnit!
(\_/)
(O.o) This is Bunny. Add Bunny to your signature
(> <) to help him achieve world domination.
You better be goofing off in the office like I am, or this was a tragic waste of your time.
please tell me, wtf has open source got to do with communism? If you actually get a bloody encyclopaedia and figure out what communism actually means or actually pick up and read the communist manafesto you'll see that Open Source is pretty much the bloody opposite of what marxism aims for! An overly simplified version of the philosophies behind communism is the removal of the bourgios (not sure of the spelling), the people who make profit in capatilism out of the simple workers. Open Source has those workers put up their hands and yell "hey all you companies, please make profit out of me and my work (as long as it remains my work)!", as you can see from the [over]estimation of the huge profits made out of linux!
In other words, OSS exists supporting capatilism, not breaking it.
Socialism (which is what you're stupidly mistaking communism for) is has values similar to that of the Creative Commons License or the BSD License, but Communism is in practice very different from Socialism.
Now please pick up a book (preferably the communist manafesto) and figure out what you're talking about when posting such crap.
Or is it what happens when capitalism gets a chance to work? Linux will be successful because the product is better, the price is better, and the service is better. Microsoft's profitability is dependent on it being an 800 pound gorilla which can basically set the prices for its products.
If you steal this sig, the only people who will profit are professional criminals.
IBM said it first, but it's still true today.
You don't buy computer hardware because of its architecture. You buy it for the software it will run.
Linux runs just about any sort of application you could desire, it's free (as in speech, not as in beer), but businesses have to buy hardware and hire IT people to run it.
IBM used to give the software away for free to get people to buy the iron.
The more things change...
We must be alert to the danger that public policy could become captive to a scientific-technological elite. - Eisenhower
If Linus supports communism, why does he own the copyright and trademark to Linux?
What you are thinking of is communialism were a community co-owns and maintains society. Social class still exists but each member of such a society takes it to themselves to share resources for the greater good of the society. Check Pacific islanders.
Communism is state owned means of production and distrobution of wealth. That means social class disappears as well as poverty in ideal cases but never occured yet. Check U.S.S.R and China.
It's irony.
I think the original post might have meant that they filled the threads with pro-capitalist comments, rather than criticizing that type of comment. At least that's the way I read it.
If you steal this sig, the only people who will profit are professional criminals.
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timothy post
How about some DISCUSSION on Linux related stocks? It seems the only serious player is IBM who markets both SUSE and RedHat. SUSE DB2 IBM power 720, whipped the pants off SUN recently in TP benchmarks. There has been speculation that Sun will make a play for either RedHat or Novell. Even though market caps of Novell and Redhat are similar, I doubt Sun's 6billion cash will be enough to buy Novell and S.M. won't give up more than cash. If Redhat folks don't have some decent takeover protection built in, they'd likely be the target if rumors are true.
"- IBM OpenPower Systems Combine with Novell's SUSE(R) LINUX Enterprise Server and DB2 Universal Database to Set World Records on TPC-H Performance Benchmark", read more.
Face it, Novell and RedHat are the only serious players and Novell has been playing the game a lot longer...
Wonder what you guys who are messing around in the stock market think of Linux opportunities for investors at this time?
So I'm not really all that surprised with those figures. What about all the cell phones and other handheld devices?
If you look at the kernel, pretty much all the core kernels are IBM/Redhat/Suse workers. GCC (which BSD users also use) have lots of redhat people in their lists. Lots of gnome hackers are paid to (project Utopia in Novell, Sun and Redhat, etc). Openoffice is not something that a couple of geeks can do in a weekend too. X.org has keith packards who did lots of work. KDE has several Suse/Mandrake/Lindows contributions. There're Freebsd hackers too, etc, etc etc..
OSs programmers probably won't see money, but instead companies hire people to work on their projects and they give you the code (lots of times those people are guys who were one of the main developers of the project and they got hired)
Which is fair. We give them our work, they got money, and they hire people to work on our projects and release the source of the modifications. We get better software, they get money.
Well, my point is, "is not true that they give absolutely nothing back". NTPL, good SMP support, latest improvements in the incoming GCC 4.0, Gnome usability, Gnome accesibility from the Sun guys, openoffice...there're LOTS of things that wouldn't have happened without those companies.
revenue: the entire amount of income before any deductions are made [google]
... [google]
cash cow: A business that generates cash in excess of the amounts required to maintain its facilities or earning power
The following is left as an excersise for the reader:
What does revenue tell you about profitability?
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I guess now would be the wrong time to tell them it's free, right?
Considering a fair portion of OS X is based on FreeBSD, I think you could argue for a much higher number than that.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Anyone see his site? It seems like a scam to me. Why the hell create another brower when there is Firefox?
From the site
"Open Source Browser (OSB) aims to create a new, more dynamic, versatile and usable browser, to enable next generation information, inter-activity and commerce."
AND
"What if the browser software isn't made?
It will be! But if it isn't, you'll get your money back in full - that's guaranteed in the contract! As an individual who enjoys living life to the full, ask yourself what kind of unique experience can you buy anywhere else for just £100 nowadays?"
[I]Also it's "bourgeois", for someone who's telling me to read the Communist manifesto, I'm surprised you can't spell the word that is probably the most used in the text.[/I]
What position are you in to critique somebody's spelling skills?
In case you forgot, here are a few gems you've dropped in this thread alone:
indepth (in-depth)
co-inside (coincide)
ironey (irony)
evenally (evenly)
interlectual (intellectual)
bitter-sweet (bittersweet)
Don't get me started on your grammer, capitalization, punctuation, and logic skills. I need to be somewhere in a few hours.
So many American /.er's love the ideals of Opensource which very much co-inside with the economic values of Communism, resources are evenally divided and owned by all, opposed to that of of Capitalism where resources are freely traded based on class and ownership(interlectual property) enforced by the state(RIAA).
yet the same American /.er's blast the threads with "pro-Capitalism anti-communism" rhetoric.
I think you are missing a something here... I definitely know very little about Communism. However, my understanding is that it deals with distribution of physical property, correct?
Software is about Intellectual Property. If I have a copy of open source project X and you make your own copy, I haven't lost anything. You can make as many copies as you like and you take nothing away from anyone else.
If everyone were advocating that all hardware should be free, that may possibly be Communist. If I have a server and you take my server, I do not have my server anymore. See the difference?
It's bitter-sweet me thinks..
I don't think it is bitter-sweet... Although I do believe you are a little short on information.
*shrug* I never was good at french, but hey, I was close.
I do, however, not understand your post.
surely that figure has something to do with the amount of boxed versions of software people will have made available to them now that out bittorrents are being attacked...
if only we could use that money to fund a bittorent hosting service so we can not have packaging...but packaging is a good thing...look at microsoft if you read the packaging you'd actually think you were buying something secure and stable...and fast...and user freindly...
WTF - Speak in acronyms already, i can't figure out what you mean otherwise boss
you sure ? http://www.novell.com/news/press/pressroom/news_br ief/archive/2004/suse_archive/response.html
...but I still don't get it!
If you steal this sig, the only people who will profit are professional criminals.
Bah! Who cares?! There's a bit of good to both. Would be nice to see something that utilizes good ideas for once without remembering what arbitrary system they came from. Have we learned nothing yet?
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yet, what you saw in Russia, and what you see in North Korea are what most Americans are opposed to, thus invalidating your argument. Rule Number 1 in arguing about communism: When someone is opposed to communism, but misdefines it, they are opposed to what they define it as, not the correct definition.
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The vast majority of FOSS developers are only
agaist patents, the are not against copyrights.
Every time a developer adds a GPL license to
his work, or displays his name as the author,
he says to the world that "this is my work" . It
is not yours or ours, this software "belongs to me".
And the penalties are severe. Try ripping-out the
copyright notices from the source, or perhaps
change the name of author with yours. Nobody
will like you, nobody. In most cases, the developers are agaist sharing
the ownership of their work -- this is protected
through copyright.
OSS is pro free markets (by minimising network effects, thus keeping barriers to entry lower) as opposed to state enforcement of monopolies (sound familiar?) and central planning (sound familiar?).
I laugh at you all, Linux pussyboys.
I use CP/M, you insensitive clod!
Do you think Linus Torvalds looks at that $35 billion valuation for Linux and thinks, "I wish I'd invented that..."
I don't know the answer to the question of revenue derived from any particular piece of open source Apple uses (like Apache or CUPS or FreeBSD or all the rest), but an interesting observation is this:
While Microsoft struggles to get Longhorn out in 2006, Apple is beating them (with far less manpower or monetary resources) on almost every point with an OS out in (early) 2005! Apple, more than any commercial company I have seen, is leveraging Open Source as much as possible to expend all of its energies on creative and thoughtful enhancements to systems already built. Instead of reinventing the wheel, Apple is figuring out how to make better rubber for the wheels that are already around. Microsoft meanwhile is still at the stage where they are still trying to decide if they should build a standard wheel, or if perhaps square wheels have been dismissed by the populace too early. One great example of a Microsoft square wheel for those that doubt the analogy is the stupid menu hiding features added in XP, along with the folding taskbar icons (like all command windows lumped in one icon).
That seemed to go a little off-topic, but my point is this - you can to some extent measure economic benefit Apple derives from open-source by measuring Apple's output compared to other companies that do not make similar use of open technologies.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
This report seems to have exactly the result that IDC and M$ wanted.
A bunch of Linux people saying "Where's my piece of the action?"
Where on earth do they come up with this rubbish?
If one wanted to write something to stir up dissent in the Linux commumity, this is a blueprint for the method.
Maurice W. Hilarius Voice: (778) 347-9907
$35B as in Beer?
Someday a Slashdot ID of 177180 will mean something.
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Let us not forget that in '98 IDC said that Itanium would be the dominant shipping server by 2002, with desktop sales to become dominant a year or two after. Perhaps their numbers are correct within an order of magnitude.
It seems to me most of the projected revenues from Linux sales will be going to hardware server vendors. Why so? Are they selling so many Linux servers that they're making a killing? Not at all. See, they're robbing the customers.
Check out the support sites for major server vendors. On the support sites, look for the software available for downloading. You may notice that there's a lot more software (drivers, etc.) available for Windows Server 2k/2k3 than for Linux. Or, if an equivalent software package exists, it's only supported on a particular distribution, usually an out-of-date one. What's going on here? Many server vendors know their (x86,x86-64) servers are being sold to run Linux. But it seems they're getting away with doing support work only for Windows. Commercial third-parties, volunteers, and the customers themselves are making up the short-fall.
Not every server vendor should be indited for poor Linux support. But a few of the major ones out there have figured out how to save a few dollars on their support costs.
-- Creativity knows no medium
and training
One benefit of OSS and linux in particular that i havent seen mentioned is the downward pressure they place on the (total) cost of Windows equivalent products. Ill bet that Windows XP, MS Office etc would be priced a lot more expensively and less competitively if linux did not exist at all. end users be they individuals or corporations benefit even if they do not choose to run linux and other OSS software.
perhaps ICANN should know as well as the police, isnt it against the T&C to put fake details in a whois ?
Domain name: OPENSOURCEBROWSER.COM
Administrative Contact:
OSB, OSB al@opensourceblog.com
OSB
OSB
OSB
OSB, OSB E7 0AB
GB
+44.0
Technical Contact:
OSB, OSB al@opensourceblog.com
OSB
OSB
OSB
OSB, OSB E7 0AB
GB
+44.0
my guess is if they have to hide their identity on a whois then who knows what else they are hiding from, perhaps a few calls to the authorities would clear things up
The revenue generated from linux is primarily from services, not the invention of the kernel. Linus definitely would NOT want to spend time with customers doing support work. That's not the kind of guy he is, from what I can tell. Though, I don't know him personally, I can see that his attitude is maverick-ish (his comments r.e. SCO smoking a substance).
That's the communist model. :-) OSS companies are giving as much as they think they can, while getting everything that they want. "From each according to his abilities, to each according to his needs".
:-)
40 years ago Khruschev said: "this generation will live under communism". His forecasting skills were worse than ITC's, but we will get there, eventually. Don't lose hope.
Future Wiki -- If you don't think about the future, you cannot have one.
Microsoft made $36.84bn in 2004 alone.
Go Linux! (rolling eyes)
Impressive for a "free" product I guess... but considering that's over 4 years and multiple companies it's just a blip on the corporate radar. In fact, considering the purpose of Linux, would one even WANT to brag about how much Linux has made? Isn't that just signs of Linux heading down a different road but arriving at the same destination?
Just some rambling thoughts. ;)
That's as ridiculous as saying that FireFox has 10 million users. lmfao.
...everyone can compete on equal tersm with Red Hat. Think you can offer better or cheaper support? Just do it. OSS software differs quite a lot from closed source software. In closed source software, you typically *spend* a lot of money on R&D, then *make* a lot money off the product.
In OSS, you don't need to spend a lot of money on R&D as such, but you don't get to sit there and milk it later either. You have to offer something continously in order to sell service and support. Red Hat can never sit around and make money off selling RHL licenses the way Microsoft is selling Windows licences.
There's also a question about when you're selling "Linux" as such. Many companies sell what essentially an application, where they include the hardware and OS (something big from IBM or Oracle etc.) If it wasn't Linux, they'd just licence the OS from somebody. What is the proper value of Linux here? 0? Full retail price of the system? Some "what we would have paid if Linux wasn't around" fudge number? Very hard to tell.
Kjella
Live today, because you never know what tomorrow brings
I still remember the time when Bill Gates said that the only persons in the open source business would be the farmers... it was on 2002... check it and think about how Gates is a big prophet! http://www.microsoft.com/billgates/speeches/2002/0 4-17glc.asp
How did Firefox get associated with Linux? It's available on many platforms. I have plenty of friends that use Firefox and don't know/care about Linux.
PS: Thanks for explaning Micro$oft vs Microsoft. I didn't get that until now.
Isn't IDC the bozos who predicted a $35billion Itanium server based business?
;-)
Now Linux is doomed
i'm opposed to what communism's correct definition is. i'm opposed to what i see in soviet union, north korea, china, cuba, vietnam, et cetera, because i am opposed to foreign countries.
I remember the initial VB learning course, one of the things stressed was, to program for Windows you really did not need to know anything about the windows OS code, VB can do everything you need....if your are in a hurry. My take on this was that they really did not want people to learn real programming skills! Perhaps seeing the truth about the Windows API might make Microsoft redundant.
This is why OSS, Linux and Gnu will eventually succeed, and why there are so many cracked and broken Windows servers out there!
Free puppies anyone? They're much better than those WinPuppies. You know you want one! Go on, take a puppy, it's free! Zero cost to take the puppy! Everybody else is getting a free puppy, why aren't you getting one?
Measuring the Linux market by commodity software is like measuring the auto industry by car manufacturer sales.
Cars require fuel. And maintenance. And roads. And (ick) regulations. The amount is staggering -- cars are an enormous part of our economy and looking at only the businesses that sell them and the people that design and manufacture them is not seeing the whole picture.
Not to mention that the critical difference between software and automobiles is that software is unlimited (it's just information), and that this kind of software (open source) encourages unlimited copying, so the unit sales numbers are even more meaningless.
Is this some special kind of irony that only slashdotters understand? (and can my Karma get any lower?)
According the the IDC overview, this survey only includes servers, PC's, and "packaged software". What is the size of the embedded market, considering Linux is now the number one embedded OS in Asia?
I don't know who wrote that in the wikipedia, but it surely gives the wrong definition of communism. Communism is not about ownership in general, but about ownership of means of production. It's basic roots are in the observation that those who have money earn money by doing nothing. Means of production are: 1. capital, 2. labour, 3. natural resources. Now Marx thought that it would be fair that people get paid for their actual labour, not for possession of capital and natural resources.
In the Sovjet Union the "experiment" to put Marx's ideas into practice has failed - as we all have been able to observe.
OSS is quite according to Marx's ideas. You get paid for doing the work (or you volunteer to not get paid). But once the work is done, you can't use it to make money except for charging for "added value" like distribution - which is the labour you are actually doing.
But even in the Sovjet Union people had private property, they could own their house, their cloths, their furniture. And "theft" was really something you could be punished for.
Then the question should be made of you noble entrepreneurs is: how much of that money you earn from OSS do you give back to the community you rely on?
I am also someone that installs Linux for businesses and I make it a point to estimate a reasonable value (my somewhat arbitrary assessment) for the OSS that the company will be using and add that to the bill. I then donate that money back to the community.
It's my feeling that you can easily make yourself more profitable by using "free" software that requires somewhat specialized support.
In the end though, if you are making money off OSS: make sure some of that money makes it back out of your pocket.
The bigger the market gets, the faster development and growth get. At the current 25%-50% growth rates, its great. Going forward, I see not just growth, but the rate of growth increasing.
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