[Linux-Anyway] VNUNet -- Microsoft acknowledges Linux threat

  • From: Meph Istopheles <Meph@xxxxxxxxxxx>
  • To: Linux-Anyway <Linux-Anyway@xxxxxxxxxxxxx>
  • Date: Wed, 25 Sep 2002 07:53:37 -0700 (PDT)

VNUNet - 10 minutes ago

Microsoft acknowledges Linux threat
By James Middleton [25-09-2002]

Open source OS now a serious competitor, says Ballmer

At the Microsoft Most Valued Professionals conference held in
London this week, chief executive Steve Ballmer acknowledged the
growing threat of Linux.

"We got beaten by Linux in the very high-end systems, but we have
a whole development team despatched on that now," he is reported
as saying in the Financial Times: "Linux isn't going to go away.
Our job is to provide a better product in the marketplace."

He added that Microsoft needed to better explain how its products
added value compared with free software.

Pitching the Most Valued Professionals initiative against the
open source movement, Ballmer recognised that the appeal of Linux
is not just low costs, but the sense of belonging to a
development community.

"Linux is not about free software, it's about community," he
said. "It's not like Novell: it isn't going to run out of money.
It started off bankrupt, in a way."

But Ballmer's remarks incensed Novell. Company spokesman Bruce
Lowry said: "This is typical Microsoft FUD [fear, uncertainty and
doubt].

"Novell is not running out of cash; it has $600m plus in the bank
and positive revenue growth. Ballmer's quotes don't reflect
reality.

"Microsoft is obviously worried about the spectre of Linux, and
we continue to provide an alternative operating system that
doesn't lock users in."

While Ballmer acknowledged that Linux "couldn't be beaten on
price", he claimed that Microsoft added value.

He explained that the Redmond giant will focus on the SME
software market in a bid to "make hay" against its competitors
while it has the time.

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