Wednesday Dec 19, 2007

FOSS = Low Exit Barrier as well as Low Entry Hurdle

FOSS is a check box item for new startup companies as well as enterprise corporations who are consolidating, upgrading or issuing new application deployments.  The high tech industry will continue to have companies acquire other's technology as part of alignment and pure business economics.  Some companies acquire open source software and their intent is to continue to FOSter the community with this software, while being able to monetize the asset.   Counter to this strategy some proprietary companies may be inclined to purchase an open source software stack simply to eliminate its growing popularity by customers.  The software industry should embrace, as have universities, that more and more new deployments require solutions based on open source software code bases.  The following table shows very large deployments of storage assets based on proprietary and open source models. Open source software does create a low exit barrier for unhappy customers, but it does enable a low hurdle for a company that wants to take advantage of the opportunity to engage.  If you have built your business model around open source software you have probably listened to your customers and have realized strategically where the software industry is headed.  On the other side of the coin if your business model is to stay proprietary you may be inclined to believe that open source software is a trend and you will be able to continue to differentiate in a commodity market.  The debate continues but customers vote with their purchases.  It is my opinion that os virtualization solutions both proprietay and open sourced will shed some light on the momentum or trend of open source software.  A robust, stable, enterprise OS that can virtualize other OSes as guests has an opportunity.  The market will embrace multiple choices for OS virtualization rather than have a single choice.  With the amount of vendors who have announced OS virtualization solutions that are both proprietary and open sourced the end results are still open for debate.  Who has the momentum?  I remember the VHS and Betamax debate and who tried to dictate rather than listen to customers.

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The blog of Bob Porras - Vice President, Data, Availability, Scalability & HPC for Sun Microsystems, Inc.

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