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Harvard Concludes Linux Will Remain Second Best

Posted by CmdrTaco on Sun Sep 10, 2006 09:30 AM
from the i-said-number-two dept.
watzinaneihm writes "A Harvard Study which uses formal economic modelling to determine "Will OSS ever displace traditional software from its market leadership position?" came to a (not so?) surprising result. Linux is likely to remain second best as long as Microsoft has a first mover advantage."
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  • OSX (Score:5, Insightful)

    by Transcendent (204992) on Sunday September 10 2006, @09:34AM (#16075328)
    Now that Macs are developing/supporting a BSD based OS, I think Linux will also lose some desktop share here as well.

    In fact, I know of a few friends who chose to get a MacBook and keep OSX on it because they described it as "Linux with more hardware support" (or at least better support directly for the Mac). Not saying this is true, but that it is another well supported Unix alternative.
      • Re:OSX (Score:5, Interesting)

        by countach (534280) on Sunday September 10 2006, @10:05AM (#16075427)
        I'm going the opposite direction to most people. I started off with Linux because it was far superior to other options back in the nineties. When Win XP came out I slowly reduced my use of Linux because XP was "good enough", it didn't crash, it runs games and iTunes and some other progs I need. I use cywin to make it somewhat Unix-like. Now I've had enough of Windows, it's fallen behind where it should be, but Linux is still too unfriendly for the rest of the family. It's still hard to set up hardware, and the gui, while similar to Windows on the surface, still has an underlying clunkyness still. So I'm moving to OSX shortly. I still like Linux and hope one day it will lose the clunkyness, but life is too short to be spending hours hacking around problems and I'm too old for that crap now.
      • Re:OSX (Score:4, Informative)

        by frogstar_robot (926792) <frogstar_robot@yahoo.com> on Sunday September 10 2006, @10:10AM (#16075449)

        OS X has some minor issues, like having no "show desktop" button that I'd have to get a script for that doesn't always work correct.

        I largely agree with you but OS X DOES address that one. If you have the Expose stuff turned on, press F11 and all the Windows will scootch to the sides. Do whatever you have to do and F11 pulls them back in.

          • Re:OSX (Score:5, Informative)

            by alanQuatermain (840239) on Sunday September 10 2006, @10:51AM (#16075610) Homepage

            It isn't exactly 'minimizing', but there's always 'Hide [AppName]' and 'Hide Others' on the Application menu. So you can switch to Firefox and choose 'Hide Others' to reduce your clutter to only incode Firefox windows.

            There are also various little extra things you can do with, for instance, the Option key. Click on an application window whilst holding the Option key and the target application will be activated while the current will be hidden. Hold down the Option key and click the minimize button on a window (or while pressing Cmd-M) and all windows in the application will be minimized. While you're looking through the menus in may applications (chiefly it's the Apple ones that actually implement this, so try Finder & Safari), tap the Option key. You'll likely see some items change -- Minimize Window becomes Minimize All. Close Window becomes Close All Windows. The ellipses after things like shutdown, restart, logout, and empty trash all disappear (meaning it won't put up an 'Are you sure?' prompt).

            On the whole, the Macintosh interface is designed to make the things you need readily accessible -- in the words of Penny Arcade's Tycho, it's goal is that of "exposing functionality" -- and it does this pretty well. However, you'll likely find yourself surprised at the amount of more advanced functionality that's tucked just out of sight, yet always close enough that it isn't difficult to reach. The Option key is very often involved here, enough so that I sometimes just try doing normal things while hold Option, just to see if something different will happen...

            Hope this helps,
            -Q

  • Second Best Where? (Score:5, Insightful)

    by nbannerman (974715) on Sunday September 10 2006, @09:36AM (#16075331)
    Surprisingly enough, I'm finding the exact opposite to be true.

    I've talked at length about how I deploy an entirely Microsoft-enabled enviroment for my college. 600+ machines, all running XP and Office 2003. 24 servers, all 2000/2003. A pretty typical Microsoft-enabled environment really.

    However, I've personally just gone down the Linux route for my work laptop, and I'm giving projects like Edubuntu serious consideration for older, non-Vista compliant hardware.

    I have no doubt that companies with ££££s to throw around will buy new machines that are pre-loaded with Vista, and they'll inevitably begin the Vista rollout come SP1. But big business is not everything; I know many of my fellow network managers in education are giving serious consideration to OSS solutions.

    We're educating the business people of tomorrow, and if they are introduced to OSS at a younger age, I think we'll see some interesting changes somewhere down the line.

    Well, I hope so... ;)
        • by rolfwind (528248) on Sunday September 10 2006, @10:44AM (#16075574)
          Maybe it's the "You get what you pay for" meme instead.

          Afterall, as a Windows user, you pay for and recieve the finest viruses, trojans, and spyware in the world!

          The linux world doesn't get this but Steve Ballmer does, as he screamed out about Developers! Developers! Developers! That's a man that doesn't ignore the people who scratch his back!

          Linux, OTOH, not only ignores virus writers, script-kiddies, and malware developers, but by default they are also turning their back to Anti-Virus, and anti-malware (incidentally often 1 and the same with malware) developers.

          In contrast, Microsoft even has an in-house team supporting script kiddies with programs such as Visual Basic and releasing multiple deployment environments for such programs such as Internet Explorer, Outlook Express, and Microsoft Office so that everyone can easily enjoy their work.

          I see no such combined effort on the Linux front.

          I'm sorry, but until the time comes when I hear about a major virus outbreak on Linux, I cannot take them so called Operating System seriously.
  • by Albert Sandberg (315235) on Sunday September 10 2006, @09:40AM (#16075340) Homepage
    When we (and by we, I mean the linux community) hit a larger portion of user base, say 10% of desktop market (if that will ever happen) linux is going to be well known, and I don't mean that just by the name, but people will actually from time to time use a computer that has linux installed.

    Then and not until then will my mother think "why do I need this windows for anyway?" and might try linux out on the home computer. Then the kids start getting used to it (from home, school and most important, friends) and the adoption to linux REALLY hits, because no household will pay $$$ for an operating system if they know one that's usable for free. Not to mention the applications.

    Alongside, user friendly distros such as ubuntu, mandriva and feodora will grow even easier to use (as a matter of fact, I think ubuntu is easier (and faster) to install than windows XP or 2000).
  • Of course... (Score:5, Interesting)

    by ackthpt (218170) * on Sunday September 10 2006, @09:43AM (#16075351) Homepage Journal

    Intel always thought they'd be #1, eh?

    I think Vista is where Microsoft will fork strongly. There are several smaller forks out there, people who refused to leave NT or 2000 or 98 SE, their PC's do what they want and they see no reason to buy new hardware everytime Intel or Microsoft say "Yow! New! Must have!"

  • As long as ... (Score:5, Insightful)

    by 140Mandak262Jamuna (970587) on Sunday September 10 2006, @09:45AM (#16075354) Journal
    What kind of conclusion is that, "Linux will remain second as long as MSFT has the first mover advantage"?

    It is like saying Tiger Woods will remain number one as long as no one comes along who is better. Or this guy will live as long as he does not die.

    You need to go to Harvard to come to lame conclusions like this? Nah, you need to go to Harvard to write escape clauses like this. If Linux become dominant you just declare, "MSFT no longer has the first mover advantage, so I am right". If Linux fades to obscurity, you can go "See, I told ya, Linux will never become numero uno"

    • Re:As long as ... (Score:5, Insightful)

      by bhmit1 (2270) on Sunday September 10 2006, @10:21AM (#16075487) Homepage
      It is like saying Tiger Woods will remain number one as long as no one comes along who is better.
      Not quite. It's like saying Tiger will have more fans forever because he started with more fans today. And that fan base will ensure that Tiger is always better than everyone else.

      The flaw in this article is that they assume:
      • Companies won't demand open standards
      • Every version of MS software will continue making significant improvements
      • MS will not start to get caught with the viral GPL license issues the way open source developers continuously get caught with patents. The nice thing about patents is that they eventually expire, GPL doesn't.
      What will really happen is the law of diminishing returns will kick in, and MS users will have even less of a reason to upgrade each time as more eye candy and unneeded features requires more hardware. At some point, the features that MS gives over linux will not be worth the cost of MS. Additionally, as formats open, and applications move to the web, the ability to leverage the monopoly will continuously reduce. The best thing MS has going for it now is application support and the bundling that is done by all the major PC builders. If they lose either of those, they will lose their grip on being number 1.
  • And the moral is? (Score:5, Insightful)

    by FishandChips (695645) on Sunday September 10 2006, @09:48AM (#16075364) Journal
    As with economists, you could lay all of America's business professors end to end and still never reach a conclusion.

    Linux does not aim to be best, second best or ninety-third best. Take Debian: it aims to provide a free universal operating system. How well it does, in the perception of others, is only incidental to Debian's core purpose. So, looking at all this in terms of winners and losers or best and worst is largely illusory. Linux is doing just fine and does not have to hit some arbitrary bar - such as overtaking Microsoft's market share - to continue to do just fine.
  • here? You would think that to some people, knowing someone used a Microsoft product was akin being spit on. Why? I'm a mac user but that doesn't mean I really give a damn if someone else uses Windows, Linux or anything else. Hell, I use Linux at work. It's no skin off my back, my OS doesn't stop working because someone is using Windows.

    I consider my operating system to be a tool, not a way of life, not something that defines me. Maybe that is why I never understood OS evangelism. Can someone please explain to me that when someone says "Linux will not be the most popular desktop operating system in existence" Linux users feel the need to sling such insults as "numbnuts"(which by the way is not very mature and not likely to win you very many converts) towards them?
  • by pembo13 (770295) on Sunday September 10 2006, @10:03AM (#16075413) Homepage

    A lot of us aren't in OSS for the the ride to the top. I personally couldn't care if 1% of the population used OSS or 99%. As long as I have the freedom to use the software that I want when I want to, then things are fine with me. And _that_ is one of my peeves against the Microsoft Corp.: by the very nature of their marketing/functioning the people who use their software tend to be drones in that they know not how to function with anyone else doesn't have the dam 4 colored Windows logo all over them.

    I like Linux and the majority of OSS tools that I use because I prefer them to their Window's based counterparts, with a few exceptions. I have found that explaining to someone that Linux is "better" than Windows is like explaining gold is better than silver - they have a jewelry box full of a silver and their minds just aren't willing to absorb new information on that topic - and why, they think they are happy with what they have. All that will happen is that eventually, I will not know enough of Windows to troubleshoot their machines anymore

  • Looks like these two researchers are still using lessons learnt in the marketplace for actual physical objects and applying it to non-physical, intellectual products. The entire article introduces a term demand-side learning . But does not mention the words "vendor lock" or "switching costs".

    If you are selling garden hoses, the cost of switching to a competing brand is just the replacement cost of a garden hose. If a company is switching software from one vendor to another, the switching cost is considerably more than just plain cost of new software. Like changing the garden hose requiring you change all the plumbing fitting and pressure valves in your home! The first mover advantage is directly proportional to the switching cost. Where are Lycos and Hotbot now? All vendors know that and they strive hard to increase the switching costs, from AutoCAD, Ansys, Fluent, Cadence, to Oracle, MSFT every dominant vendor in the market tries as hard as possible to make it inpossible to switch.

    The reason why garden hoses, light bulbs and tires have low switching cost is because of standardization. Standards defined by independant third parties, not by the manufacturers themselves. People, consumers and corporations are beginning to understand the issue, as seen the recent moves by Massassuchetts to mandate ODF as the archival format for its documents. It is inevitable that people will see the advantages of interoperability and standardization. The first mover advantage will diminish as consumers level the playing field by demanding interoperability and standardization. At that time the "second mover" into these fields will be OSS with value added services.

  • by LinuxDon (925232) on Sunday September 10 2006, @10:07AM (#16075437)
    You can make the entire discussion as complex as you want, but there is only one reason why Linux doesn't succeed on the desktop market: Most commercial application are written for Windows, among them are a lot of specialist applications like ERP systems and to name another example "analysis software which interoperates with an advanced metal detector to detect explosives in the ground". With these kind of applications you can't just switch to an alternative, because there are just too few that match your needs and often NONE of them support Linux. The only way for Linux to succeed in these kind of settings is to make Wine work flawlessly. While Linux suits my home needs and server needs -very well-, it's useless on the desktop at the company I work for.
  • Stealing Windows (Score:5, Informative)

    by twfry (266215) on Sunday September 10 2006, @10:24AM (#16075502)
    Interesting paragraph from TFA

    In addition to this main result, we were also surprised to find that piracy may end up increasing Microsoft's profits. To understand why, notice that there are two types of pirates: those who would not have bought Windows in the first place because it is too expensive, and those who would have bought Windows but now decide to pirate it. The first category increases Windows' installed base without affecting sales. As a consequence, this group increases the value of Windows. And thanks to these pirates, Microsoft is able to set higher prices in the future (because the value of the system goes up). In addition, having these pirates means that Linux's installed base does not grow as much as it would have if piracy weren't there. The second type of pirates (those who in the absence of piracy would have bought Windows) reduces Windows' sales and profit. Thus, if the proportion of first-type pirates is sufficiently large, Microsoft's profits will increase with piracy.

  • by Kjella (173770) on Sunday September 10 2006, @10:32AM (#16075524) Homepage
    If you measure things on a complexity of say 0-100, then there's only a limited range of that which is profitable. That is, there's no money in making notepad clones and there's no money in extremely complicated features noone is able to use. However while there is OSS software that's trying to make money, a lot of it does not. Even in the darkest post-OS/2 days when Windows was completely dominating Linux evolved in a market that was essentially dead. That kind of development can't be stopped.

    That is why I think OSS software will slowly consume normal COTS software, because they will keep going after the commercial companies say "Well, we've now added every feature with a tolerable ROI". I'm not quite sure about the timescale, but I think the OSS software base is only in its infancy. Imagine 10, 25 or 50 years down the road, how many software packages have matured to a point where they're everything a user expects from a word processor/graphics editor/media player etc., feature-complete and bugfree.
  • by HangingChad (677530) on Sunday September 10 2006, @10:46AM (#16075580) Homepage
    What Harvard really concluded was there was a better chance of getting an endowment and new Comp Sci building from MSFT than the open source community.
    • Re:From TFA (Score:4, Informative)

      by RAMMS+EIN (578166) on Sunday September 10 2006, @09:53AM (#16075389) Homepage Journal
      ``That's because MSFT had a goddamn 10 year headstart.''

      Did they, really? Slackware 1.0 was released in July 1993, years before Windows 95. Being Linux, it was 32-bit, had proper multi tasking, separation of tasks, permissions, the ext2 filesystem, etc. It also had X, and there was a dos emulator included, so you could run old DOS programs. Basically, a lot of features that Microsoft's offerings would only have years later.

      I think GNU/Linux was there first...it just didn't have the marketing that Windows had.
    • Re:From TFA (Score:4, Interesting)

      by i_should_be_working (720372) on Sunday September 10 2006, @10:11AM (#16075452)
      I disagree. The article is quite interesting.

      They do point out that OSS is coming from behind in terms of market share becasue it is much newer. In addition, the /. summary doesn't quite get the conclusion right. From TFA:
      Our main result is that in the absence of cost asymmetries and as long as Windows has a first-mover advantage (a larger installed base at time zero), Linux never displaces Windows of its leadership position.

      One of the things the study suggested that MS will have to do to maintain its dominance is significantly lower Windows' price to the point where price is not a factor when choosing between MS and OSS. There were cases in the model where OSS 'beats' Windows, but they all assumed a significant price difference between the two, which, as OSS threatens MS more and more, may become less and less likely, due to MS lowering it's prices.

      The article also went into interesting points like which is better for the people. The conclusion was that an OSS monopoly is better than a Windows monopoly, but that a OSS-Windows mix is not always better than a Windows monopoly, due to a splitting of efforts. As a person who feels that the spitting of efforts in OSS is one of it's strengths due to the choices it gives us, I disagree with that one.
    • by twitter (104583) on Sunday September 10 2006, @01:35PM (#16076385) Homepage Journal

      The summary is not as much fun as the article, which declares Microsoft's future dependent on FUD, sabotage, intentional waste and dumping rather than code quality. The whole summary reasoning boils down to, "It will be like this tomorrow because it's like this today." Even M$ knows that's not true. What M$ and IBM did to DEC used to keep Bill Gates up at night, and still might despite all of his ill gotten wealth. The authors have much more interesting things to say and do not really conclude M$ will always be around. The authors, while they do overplay the importance of an undefined "network effect" don't make such a gross error.

      The authors don't really understand free software development but they do understand what M$ must do to stay alive. They understand the M$ network effect, which is difficulty working with people who don't have the latest and greatest M$ crap, but completely miss the free software networking effect and much of free software's social benefit. The more free software does, the more it will be used and the more it will grow. It's a power function, not dependent on large organizations and we are still at the very start of the curve.

      One of the key flaws I found in the author's reasoning was this:

      However, with a monopoly, the efforts to develop new software and improve the platform are directed towards one system only and this may turn out to be better from a social welfare perspective.

      That's seriously flawed for two reasons. First there is no such thing as a "Linux Monopoly". It's only freely publish standards that make it look like a coherent whole and it's only M$ intentional ignorance of those standards that keeps both systems from interacting freely. The second, they seriously underestimate the size of the free software community and it's growth potential. The free developer community is and will allways be larger than the non free community. The whole point of the non free monopoly is to charge people money to participate. Free participation will never cost more than time and effort. GCC comes with most GNU/Linux distributions and there is a fantastic library of source code for every purpose no further than a network request away. The cost of a full version of M$ Visual Studio is close to $800, after you have paid the OS tax, and you need to buy a new one for each programmer every year or so. How economists could miss such a basic part of their model as cost of raw materials is beyond me, but part of it is a flawed assumption that free software is dependent on government and business support:

      This questions the social desirability of policies aimed at guaranteeing Linux's survival. ... This [corporate] support is important because there are tedious portions of the code that would rarely be developed spontaneously by members of the Linux-developer community.

      Wile corporate and government participation are welcome, studies don't bear out the necessity of their involvement [blueoxen.com]. Companies and governments are going to increasingly use free software because of the tremendous flexibility and cost savings. There are hosts of things you just can't do with non free softare and most programmers spend all of their time making things work. Most programmers would be just as happy or happier with free software as long as it does the job.

      Recognition of all the evil things M$ must do, while common here, are welcome from economists and business types. Formal recognition of the SCO and other FUD attacks, dumping by "piracy", the Halloween Documents, even sabotage of free software by "encouraging forks" are nice to see in print from a "respectable" organization. Remarkably, nowhere is there a statement that M$ has or must improve the quality of their code. Their conclusion is telling:

      We conjecture that there are multiple equilibria and that the use of FUD to mold perceptions about future value becomes crucial.

      Essentially, M$'s future is depends on lies. That's not a very bright future. Admission to that fact is all it takes for them and all of their intentional waste to dissapear.

      • by tomhudson (43916) <hudson&videotron,ca> on Sunday September 10 2006, @10:04AM (#16075423) Journal

        In case people haven't noticed, linux has not only caught up, but surpassed Windows, in terms of stability, modularity, customizability, ease of install, maintainability of the code base, etc.

        That last one - maintainability of the code base, is a killer. There will be no Windows after Vista. Even Microsoft has alluded to as much.

        BTW - That "etc" I mentioned includes REPUTATION. What is the reputation of linux vs windows? Ask any virus-writer.

    • by jellomizer (103300) * on Sunday September 10 2006, @09:59AM (#16075402)
      When ever I talk about purchases of computer and OS to bigwigs. It basically breaks down as LInux is a Free OS and could be considered good enough to do what they want to. What usually sowers the deal with Linux is the fact that the company usually has some software that is for windows only and moving off it is out of the question. Many times it is a CAD Program, other times it is some old custom app that cannot be replaced (Cheaply) and the people who made it are long gone. And on some other situation companies just went threw a painful migration from old Unix to Windows and they are not willing to go back to a Unix like platform for a long time (Even though Linux and newer Unix have far more to offer then their 1989 SCO box).
      • by khasim (1285) <brandioch.conner@gmail.com> on Sunday September 10 2006, @10:43AM (#16075569)
        What usually sowers the deal with Linux is the fact that the company usually has some software that is for windows only and moving off it is out of the question.

        Exactly.

        It isn't that Linux is not "better" than Windows TODAY.

        It is that Windows was "good enough" YESTERDAY.

        And yesterday, the companies deployed Windows and locked up their data / training / money in apps that are not supported on Linux ... yet.

        All the companies I see now have their data AND business logic locked up in Access database apps that have evolved over the years to the point where they are un-maintainable. But still "necessary" to the daily operation of that company.

        Where the Harvard study went wrong is that new companies are constantly forming and old ones dying. The base of companies are not static. It is dynamic. The new companies will NOT be bound by the headstart that Microsoft has in existing companies.