Thursday, February 01, 2007

Economics of Open Source

InfoWorld reports
European car manufacturing giant PSA Peugeot Citroën has agreed to one of the Continent's largest-ever deployments of open-source Linux software on desktop computers.

As part of a multiyear contract with Novell, the French company will install Suse Linux Enterprise Desktop on up to 20,000 computers in addition to 2,500 servers, the U.S. software vendor said Tuesday.

This is an amazing blow to Vista and a great win for Linux.

Here, we are witnessing the economic impact of Open Source Software in a very real way. Peugeot is no little company. Migration to Vista would carry with it a hardware migration which many find unnecessary for most of their work. This happens when complementary technologies do not move in lockstep. How could day? The very nature of innovation and technological change has many effects that prevent such lock-step movement. So, here, we see how Linux has begun to fill a gap at the centers of industry.

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