Linux In 2009 — Recession vs. GNU
RealityThreek sends this excerpt from an article at IT Management:"Pundits and business executives alike are predicting gloomy economic times for 2009. But when the talk turns to free and open source software (FOSS), suddenly the mood brightens. Whether their concern is the business opportunities in open source or the promotion of free software idealism, experts see FOSS as starting from a strong base and actually benefiting from the hard times expected next year. ... [Jim Zemlin, executive director of the Linux Foundation] sees Linux and the FOSS ecosystem surrounding it as having insurmountable advantages in any market over its main competitor Windows — advantages that an economic downturn only intensifies. At a time when a search for the lowest possible price point is happening in such areas as notebooks, FOSS is available at no cost. It is easy to rebrand and customize in a way that Windows Isn't, and is also technically more efficient."
In a recent study of the top 140 corporations in America, 12 were using OpenOffice. That's not exactly much. With the coming recession, I can see quite a few companies deciding to cut their costs and switch to OpenOffice. It beats upgrading to Office 2007, that's for sure.
We only need another 4 companies in that sample to get a 50% market share increase!
Linux also will strenghten its dominant position in servers. Sun is going out of business, just like SGI a few years back. Sun is the only one that doesn't know it yet.
Wait, but if Sun is going out business, who will pay all these engineers who contribute to Open Source projects today? "Houston, we have a problem."
So this pending recession has some good for FOSS, and some not so good. By the way, don't listen to the pundits that tell you the recession will last years. Those same pundits four months ago were saying life is great. They don't have a clue, they just echo the popular opinion of the time.
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And as they've already got fully working and paid for Windows setups, why would they incur costs they don't need to to switch?
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Fear. Nobody got fired for buying IBM. If you complain enough, they'll cut you a deal. If you bet the farm on some hippy software from Finland, at the first sign of trouble, the blame arrow points to you and you get the axe.
I want to delete my account but Slashdot doesn't allow it.
The main thing that has kept the last couple of companies I've worked at from switching from Windows to FOSS is the lack of an integrated mail/contacts/calendar/tasks app that runs on our own servers. For us, this was a show-stopper.
I haven't been keeping tabs on the latest FOSS offerings, so nowadays are there any replacements for Outlook and Exchange?
to be fair to MS, the reason business chooses them is they are cost effective, not because they are the cheapest. compared to vendors like IBM and redhat, MS products represent good value for money.
does anyone seriously believe windows 2003 with sql server 2005 is a bad platform? i'd suggest if you do you've never used it.
If you mod me down, I will become more powerful than you can imagine....
With the coming recession, I can see quite a few companies deciding to cut their costs and switch to OpenOffice.
Switching corporate standards causes temporary increase in costs due to retraining and document conversion. Such a move may be fine in good times, but it is counter intuitive during recession.
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We have a pair of products that are customized tweaks of an opensource ERP/POS combo customized for a particular industry. We've snared two customers away from using Netsuite for their ERP needs and being opensource was a huge hurdle to initially overcome. It takes time for people to understand the concept that they are paying us to come in, install the system, tweak/customize the system for their needs, provide training, and after sale support. The way it works with the POS software is an initial one time fee to do the customization then we provide them with a .iso that is tweaked version of OpenSuSE that is designed to boot and load only the POS software. After that we don't care if they install on one terminal or a million. (Granted we do charge a yearly fee per terminal for backup and support services). Very few other POS systems can offer that.
One of the biggest aces in the hole was PostgreSQL. The cost for us to come in, set up and install everything was cheaper than some other well known DB vendor's cost of database software alone.
Frankly the hardest thing for them to understand was the lack of vender lock-in. If they want, they can hire their own internal IT people to maintain or improve the system or another firm later on. So no matter what happens to us, they will be able to grow and expand the software with or without us.
We deploy on OpenSuSE & SLES by default. No specific reason other than a few months ago during development, SuSE happened to be the first distro where everything worked out of the box.
"The problem with socialism is eventually you run out of other people's money" - Thatcher.
In a recession, managers will be even more eager to have nothing to be blameable over. Remember, underlings get sacked first. If they go with Microsoft, the managers will feel reasonably safe, even if it drives the companies under. They will be paid the longest and will be the most likely to be re-hired quickly. Going with Open Source will be seen as taking a risk, something that in risk-averse times will not be looked on favourably even if it DID save the company's bacon.
I see the recession as a time when views will become far more entrenched in existing companies. Start-ups may be willing to go with OSS, as they need to cut costs to a minimum and they don't have shareholders to placate, but expect extreme conservatism to reign supreme. At least for the first half of the recession. After that, some of the brain-dead companies will also be financially dead, and more dynamic companies may well be profiting from their early risks. But that's a year away at best. 2009 will not be a good year for OSS in business, though 2010 might well be.
It's a small world and it smells funny; I'd buy another if it wasn't for the money; Take back what I paid (SoM)
Sure, there's no cost to download the software. What about the cost to train people how to use it (both in training sessions and in hours of productivity lost by learning it), the cost to hire someone who knows how to administer it, the cost to hire someone who knows how to fix it if it breaks, etc? Yeah, surely the solution to all problems is to switch to a brand new OS / office suite / etc that most people in the company don't know how to use. Let me tell you what is more likely to happen: Some businesses will try FOSS, most that already have Windows/Office will realize there is no pressing need to upgrade their OS / office suite / whatever and stick with their current version.
If you're not convinced, think of the following. A Windows or Office license is maybe 100-200 dollars. Now if you think about the salaries of people who work on a computer for their day job, at many companies they could easily be costing $50-$100 per hour, especially if you include benefits. Do you think that an average person will spend less than 1-4 hours in total learning how to use something like Linux? (Including looking up how to do things once in a while, etc.) I've surely spent more than that looking up how to do random things in Microsoft Office, and I spend way more than that troubleshooting things every time I upgrade Ubuntu. For most companies it's just well worth the $200 to install an OS and productivity suite that everyone already knows how to use.
Install compatibility mode on Vista, and they ARE fully compatible.
Yes, you are right. The Vista CD fits perfectly on my toaster. Too bad it won't last long.
Some of the classic arguments against FOSS are:
1. It's not free. You still have to train people and migrate data.
Response: But you don't have to pay for the upgrade, more licenses and still have the data migration issue.
2. There is no technical support.
Response: Actually the technical support is far better. Multiple forums exist for most FOSS applications. They usually have the answers too. Have you ever tried to get and answer to a problem with Notes, Tivoli?
3. Not as feature rich.
Response: Do you actually use those weirdo features in MS word? Have you used Firefox lately? Linux almost installs on everything including my fridge! Does Windows?
4. FOSS applications are not as stable.
Response: Certainly some FOSS apps pretty much crash 3 seconds after they launch. However the majority of FOSS applications that we use every day are rock solid. For example the most widely used web server is apache and it's variants.
5. FOSS applications are insecure.
Response: IE is the most hacked browser out there. Enough said.
6. The unspoken argument. Who do I sue when the applications wrecks my business?
Response: To be honest if your business is wrecked by software then you are probably incompetent. Yah there is always a risk. That's what insurance is for. But it doesn't really matter what is in the contract. If your business goes under as a result of IT systems. Well it's under, a law suite won't fix it.
7. If I contribute to FOSS then I will ultimately loose! As my competition gets a free ride.
Response: If you're an IT shop developing the next wonder product this may actually be the case. However if you are an IT shop and you want to off load some of the development of the required peripheral software that enables your wonder product it makes sense to support FOSS. If your Bob's Music and Flower emporium and you have a wizz-kid in the back that is contributing both to the company and the FOSS. The long term benefits are greater. As that software this kid made is now being supported and developed by many many people that you could never have a hope of paying for.
Comment:
I know I've locked the barn door and soaked the building in gas. Flame away if you wish.
Here is how I see it :
Those companies are full of windows-users, and installing Linux on their computers at work will NOT make them become linux-users.
Of course, Linux is 'free', of course, it's more flexible, powerful, etc
Of course, people knowing about Linux will probably be more effective in any ways.
However, I must insist : it costs MONEY to get someone using Linux at work, as a tool. Are you people forgeting that those employees only used windows for their entire lives ?? It's not something that can be learned in two hours (not at work, not as an essential tool.)
Please, stop behaving like kids, asking every two months if the time when windows gets down has come or not.
2009 is NOT going to be Linux on anything year. Just like 2008 wasn't and 2007 wasn't.
2009 is going to be another year of increasing overal market share of Linux, like other years. There will be no revolution.
Please, understand that the kind of adoption of Linux you are hoping for will not be a "one-year" revolution. Maybe much people will begin using Linux on their desktop, and it's good. But before Linux becomes proeminent or even common in large companies Linux has to stop being "that cool system that everybody heard about but nobody in the company really masters". If there is recession, those moving-to-linux costs will be too important.
The only way Linux gets enough market share in large companies is that those people working with computers, already made contact with Linux at HOME, and thus don't need any formation.
Just wait.. wait for Linux to be known, used and mastered by the lambda user, and then our society will have the choice to move to Linux without prohibitive costs.
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In the early 90s, there was a recession and linux was created about the same time. Around the turn of the century there was the dot-com bust, and at that time we got bittorrent. These are both pretty revolutionary bits of software. So yes, I'm quite keen to see what free software innovation that this recession fosters :)
Most of those people who couldn't install ubuntu, couldn't install windows either (which is actually more difficult to install than ubuntu)... They will get computer repair shops to perform the install for them etc, or remain with the default install the machine came with.
So what's really needed, are more machines with linux preinstalled, priced considerably lower than windows ones...
And pc repair shops that know about linux and try to push it to their customers.... But this is unlikely to happen, because these shops make their money repairing broken windows installs, and linux would significantly decrease their revenue stream.
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IMHO, FOSS just needs a lot more guidance, direction, focus, leadership. Experimentation and ad hoc development are good, but the net output is still subpar. We could have fewer, but much better apps with all the manpower spent on FOSS.
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