Re: Open Source Developer (Economics)

On Thu, Mar 20, 2003 at 10:10:47AM -0000, Julius Steyn wrote:
> Hi gentlemen,
> 
> I am new to this mailing list and have for the past several weeks followed
> the many interesting discussions committed to the list by the members. Today
> I am taking the bold step to introduce myself and post a question to the FSB
> group in anticipation to receive input/guidance relating to the subject
> matter.

Welcome.

...

> The discussion I wish to initiate is based on various published reports that
> indicate the lack of OSS with respect to "business critical" or "Mission
> Critical" software that can effectively compete with SAP, ORACLE finance,
> ORACLE HR, SIEBEL,  to name a few examples.
> Why is it that OSS seems to focus mainly on server environments, web
> applications and firewalls? It appears from many reports that there is a
> potential demand in the business world for OSS to participate in these
> market segments with the intent to reduce the TCO of the companies.
> Could possible reasons be related to; Licensing, OSS Legacy environment,
> lack of appropriate skills, or an industry "norm" to avoid these market
> segments?

Let me toss out some of what I have learned by being in the Linux
community for over 10 years. No big, heavy conclusions here but at least
some background.
 * The sserver market has been the easiest to address because Linux (and
   *BSD) have proved very reliable and many of the people responsible
   for the server end have UNIX experience.
 * While Microsoft put big marketing $ on telling you that you needed
   their OS and applications on the desktop, they were behind on the
   server end. Thus, it was easier to tell you boss that the server
   room was "under control" without him giving you a Microsoft line.
 * Linux didn't used to be very friendly for non-technical users.
 * Systems administration considerions and support were big concerns.
   But, with heavyweights such as HP and IBM on the Linux course, things
   are changing quickly.
 * Users were "used to" what Microsoft had put in front of them.
   Having to learn a new desktop (that did less) was not what they
   wanted. But, with user friendly GUIs such as KDE and GNOME, that
   is changing. And, the difference between versions of Windoze
   tends to be more of a change than the difference between Windoze
   and KDE so accepting change is getting easier.
 * Microsoft licensing used to be "buy now and upgrade when you want".
   That usually meant upgrading to fix a bug. But, new licensing
   forces that upgrade. Thus, people are finally seeing the real
   cost of ownership.
 * Purchasing Open Source software has been a problem. That is,
   government and big business generally have a "send out an RFI,
   evaluate bidders, buy it" procurement sequence. Saying "just go
   get it" doesn't work. The good news is that state and country
   legislatures (Oregon and Texas being the most recent--there is
   an article about them by Doc Searls up on the Linux Journal web
   site now) are starting to address this.
 * Computers, at least in the US, would generally come with Microsoft
   software on them. Buying a server without an OS was the first
   breakthru in that area. 
 * There is no serious "Linux marketing effort" so it has taken time
   for people to realize Linux was there or, even what an Operating
   System was. I have had Linux Journal readers tell me that they
   brought the magazine into their boss as "proof" that Linux was real.
   More recently, the Microsoft anti-trust trial made a lot of people
   realize that there was such a thing as an operating system and that
   there was a choice.
   
I feel things are changing these days and changing very rapidly.
This seems to be more the case outside the US but it is happening in the
US as well. I think it is an issue of reaching critical mass and Linux
has done that. I remember when Linus first said the goal was World
Domination and it was a joke. Well, it is being taken seriously these
days.

Today, it is likely that proprietary solutions still offers the quick
buck but things are changing. Open Source software is a good investment.
As things change, it will pay off.
-- 
Phil Hughes, [email protected]  Phone/FAX: 506-483-1265 
Aptdo. 89-4060, Alajuela, Costa Rica