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Government Linux Business Linux

LiMux Project Has Saved Munich €10m So Far 219

Mojo66 writes "After project savings had been estimated to amount to at least €4 million in March, more precise figures are now in: Over €10 million (approximately £8 million or $12.8 million) has been saved by the city of Munich, thanks to its development and use of the city's own Linux platform. The calculation compares the current overall cost of the LiMux migration with that of two technologically equivalent Windows scenarios: Windows with Microsoft Office and Windows with OpenOffice. Reportedly, savings amount to over €10 million. The study is based on around 11,000 migrated workplaces within Munich's city administration as well as 15,000 desktops that are equipped with an open source office suite. The comparison with Windows assumes that Windows systems must be on the same technological level; this would, for example, mean that they would have been upgraded to Windows 7 at the end of 2011. Overall, the project says that Windows and Microsoft Office would have cost just over €34 million, while Windows with Open Office would have cost about €30 million. The LiMux scenario, on the other hand, has reportedly cost less than €23 million. A detailed report (in German) is available."
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LiMux Project Has Saved Munich €10m So Far

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  • hope it's true (Score:5, Insightful)

    by turbidostato ( 878842 ) on Friday November 23, 2012 @01:19PM (#42075353)

    I hope the numbers hold water because that would make a great research case (all info has been public from the begining)

    • Re: (Score:3, Interesting)

      If they're true Microsoft will whatever it takes to either silence them or make theirs cheaper. Personally I think their lower pricing for Windows 8 should be considered along the lines of dumping already.
      • Re: (Score:3, Insightful)

        by ozmanjusri ( 601766 )

        Personally I think their lower pricing for Windows 8 should be considered along the lines of dumping already.

        The marginal cost of an operating system is zero. Competition is pushing OS prices down to that point. That's the way capitalism is supposed to work, and hasn't for the past few decades.

        Lower prices are a good thing.

  • Cancelled (Score:2, Informative)

    by Nerdfest ( 867930 )

    I thought I heard that the project had been cancelled because of problems in dealing with proprietary file formats (Word, etc). Was that somewhere else?

  • Hard to ask this... (Score:2, Interesting)

    by Anonymous Coward

    ...without sounding like a shill, but I'm really curious if the end result works just as well. If all your people are are trained on Windows and Office, switching to Linux and OpenOffice will have an associated cost in terms of retraining and reduced productivity while people become proficient in the new software, right? I don't read German, so I have no idea if those numbers are included in the final cost. And I think it's great that they are showing that home grown Linux can be cheaper (for their needs).

    • by GameboyRMH ( 1153867 ) <gameboyrmh AT gmail DOT com> on Friday November 23, 2012 @01:27PM (#42075439) Journal

      Look at it this way, can it be worse than Microsoft's switch to a ribbon interface? (And now brace for tiles...)

      • by Dan667 ( 564390 )
        and the ribbon interface adds lots more clicks and finding what you need becomes a lot more effort as you have more than one interface to search.
        • by u38cg ( 607297 )
          I find the hostility to the ribbon genuinely mystifying. Excel is (for better or worse) my primary tool, day in, day out, and the ribbon is far more pleasant to use than its predecessor. The quirks of Excel are a far bigger problem than where to click on things.
    • Stupid to ask it. (Score:5, Interesting)

      by Anonymous Coward on Friday November 23, 2012 @01:28PM (#42075451)

      Since you can't have been Proficient in Windows 7 until it was released in 2011, staying on Windows would have cost you in terms of retraining and reduced productivity while people become proficient in the new software, right?

      And yes the figures are included in the costs.

      The REAL cost in the short term is -10mil. In the long term: priceless.

    • by sjames ( 1099 ) on Friday November 23, 2012 @01:36PM (#42075541) Homepage Journal

      Given the changes MS keeps making in it's UI, the retraining costs and productivity losses happen either way. There is a better chance that Linux w/ OOffice won't cause those costs to recur with each release.

      • Forget the retraining argument. It is pure and utter nonsense FUD which always gets thrown around by MS salesmen.

        You NEED extensive retraining when you change to a competitor's product.
        You do NOT need retraining when MS changed the UI araound. In fact it boosted efficiency.

        Also MS Office amounts propably to a third of daily software usage by the average office drone. The other two thirds is custom stuff they propably also didn't get training for. And the reamining quarter is time wasters like Solitaire
        • Also MS Office amounts propably to a third of daily software usage by the average office drone. The other two thirds is custom stuff they propably also didn't get training for. And the reamining quarter is time wasters like Solitaire.

          Difficult to argue with that math, and keep a straight face.

          • Well, whenever I walk over to my Coworkers they are playing one of those games. They still get their stuff(mostly) done. So there is no explanation that will keep the space/time continuum intact.
    • by cgenman ( 325138 ) on Friday November 23, 2012 @02:13PM (#42075815) Homepage

      They're quickly becoming about the same. Linux and OpenOffice on the desktop are still bad, but getting better. Gnome, etc are all pretty trivial to use until you get to things like adding printers, and Open Office is basically Word 2000. Similarly, Windows / Word is fine, but getting worse. Adding networked printers in Windows seems to keep getting harder, and Word keeps adding more and more junk until it's useless. On top of this Google Docs is more than adequate for most tasks, and the multi-user live-document-editing is an amazingly useful feature. That gives 2 solid Windows alternatives.

      People don't really need training. The systems are about the same, and the parts that one would need to train for have become so far away from the normal user's abilities that there really isn't a point to training anyone other than your IT people. And your IT people shouldn't have a problem with any of this.

      • Re: (Score:3, Interesting)

        by Mathinker ( 909784 )

        > until you get to things like adding printers

        Interesting. I never thought that the CUPS admin interface was very daunting. All very "in the browser" GUI-ish.

        Getting networked scanning working under Linux (saned) isn't for the command-line challenged. But considering that Microsoft doesn't even provide a competing standard for networked scanners, the situation under Windows cannot be any better.

        • First you have to find the cups interface. I mean I realize that calling a printing system cups is really intuitive to some people but for the rest something that includes the word "print" might be more appropriate and easy to remember. You actually might pick say "Network Print" out of a list without anyone telling you about it and if they did tell you about it, you'd likely remember that "Network Print" was for network printing the next time you needed it.

          Even the driver naming is ugly and unintuitive. Fo

    • by Zemran ( 3101 )

      We are now several years down this road and their people are now far more trained with Limux and OpenOffice (why?) that with MS and Office. The long term benefits are already being felt.

    • by Runaway1956 ( 1322357 ) on Friday November 23, 2012 @02:37PM (#42075987) Homepage Journal

      The report seems to address that added cost for switching to systems the people were unfamiliar with. And, as already has been mentioned - people who stayed with Microsoft products have had their own training expenses!

      Remember too, that the report addresses relatively short-term savings. Over the course of the next decade, the saving will increase dramatically. The people are going to need less and less training and retraining as time goes on. IT expenses will decrease, probably dramatically, for that reason. Retraining for upgrades will probably remain. You can only estimate those costs if you have a crystal ball or something to predict how Linux and Windows updates/upgrades are going to work out in the years ahead. But - there will be NO LICENSING fees associated with any of those upgrade.

      And, if you scroll up to my earlier post, you'll have to consider the savings in virus infections and recovery, as well as the costs involved with leaking protected data, liability, etc. No, Linux isn't the end-all and be-all in computer security, but it's track record is superior to Windows, which should translate into tremendous savings.

      • by Kjella ( 173770 )

        Remember too, that the report addresses relatively short-term savings. Over the course of the next decade, the saving will increase dramatically. The people are going to need less and less training and retraining as time goes on.

        I think that's a generous assumption, since most other people use MS Office they'll be constantly training new users, new administrators and figuring out new headaches with hardware/driver compatibility. Here in Norway our biggest OpenOffice poster boy with 20,000 seats (that's fairly big in a country of 5 mio people) dropped it last year and went back to MS Office after 7 years - you'd think they'd be well into the "long time savings" period by then.

    • ...without sounding like a shill, but I'm really curious if the end result works just as well. If all your people are are trained on Windows and Office, switching to Linux and OpenOffice will have an associated cost in terms of retraining and reduced productivity while people become proficient in the new software, right?

      Of course it would, but there's also a license cost and a training cost in upgrading Windows and Office to stay current. The total cost of Linux and OpenOffice is less. The real difference would show in productivity. If your staff ended up spending more time fiddling with settings and formats in OpenOffice or in Microsoft Office, that could tip the scale either way. But a city ought to have a policy regarding formatting and adhere to a bare style that minimizes the time spent fiddling with formatting an

      • " But a city ought to have a policy regarding formatting"

        Indeed and my experience when working with government entities (here in the US) is that they impose their standards on 3rd parties not the other way around. Generally, it is you who needs to interact with the city. The city couldn't care less if you don't get your permits, licenses, whatever. They'll just fine or penalize you if you haven't managed to get the right paperwork submitted in the format they've dictated.

    • by thetoadwarrior ( 1268702 ) on Friday November 23, 2012 @03:24PM (#42076381) Homepage
      Open Office and Linux isn't *that* different for what the average person does with a computer. Most people can't remember where things are in Office and have to search or ask. So it doesn't matter if they're asking for Office or open office.
    • Re: (Score:2, Interesting)

      by Anonymous Coward

      There have been a few interviews with the limux people, and the scope of what they're doing is a little more than just stick linux+openoffice on the desktop and be done. It includes user training too, among such things as close liason with the users and giving them the tools they need, getting-toes-wet opportunities and smooth changeovers. I suspect we haven't seen the end of the savings yet.

      Disclaimer: Not affiliated. Tried to but didn't get hired, which is a bit of a pity.

    • This project has been going on for some time. Also OpenOffice's UI isn't that far from MS Office of yesteryear.

      Also you don't seem to be aware of the reality of IT workplaces in large organizations. They use custom software. Software built specifically for them. Stuff that doesn't come up when you google for it. They are used to learning new stuff. The Kreisverwaltungsreferat alone propably has a couple of hundred custom software solutions created from scratch and each of it unprecedented.

      They are const
      • Which is actually a huge money savings that they aren't even counting. It is far easier to code those sort of custom inhouse solutions for Linux than Windows.

    • If you can't work out how to use a word processor and spreadsheet in 2012 then everything about working in an office is going to be a bit of a challenge. Training to use a different word processor or spreadsheet is like training to use a different model of photocopier.
      So sorry, you DO sound like a shill because there appears to be no substance to your nitpick, thus your petty little effort to sow uncertainty (ie. *real* cost) has nothing to back it up IMHO.
    • by GNious ( 953874 )

      Training and deployment has been in the estimates from Munich from the get-go, and some reports pointed to them being smaller cost-items than anticipated.

  • by miknix ( 1047580 ) on Friday November 23, 2012 @01:32PM (#42075491) Homepage

    meanwhile somewhere in redmoon, a chair flies through the air.

  • by Seeteufel ( 1736784 ) on Friday November 23, 2012 @01:39PM (#42075565) Homepage
    It is a smart decision to invest into Libreoffice [libreoffice.org]. The Libreoffice Development Conference this year took place at the German ministry of business and technology. Behind the scenes several European governments consider to cut costs with huge Libreoffice migrations. Add to that Libreoffice is a European foundation while Openoffice.org is hold back by Americans. The likely solution to the competitive pressure would be that Microsoft goes open source with its own Office suite. The Chinese demonstrated the Europeans with their Kingsoft Office suite how to do it, how to break free from the Microsoft dependency.
    • by Lisias ( 447563 )

      You have a good argument, but I don't agree that going open source is the more likely way out to Microsoft.

      I think they'll push cloud computing first (if ever) going to some kind of open source. This way, the suite itself became expendable without compromising the monopoly.

      • Actually they will open source Internet Explorer first. Simply because it is a giant waste of capacity to invest into a product without direct cash flows. It's not sold and all that matters is the default search engine. Google on the hand virtually got Chrome for free, all taken from KHTML, webkit and quite a cheap investment. Why did they get their browser? Because they could, and their employees develop probably five other browsers as well which were never turned into commercial products. E.g. ever heard
  • by BoRegardless ( 721219 ) on Friday November 23, 2012 @01:47PM (#42075619)

    He couldn't understand the long term viability of a software only business!

  • by Alain Williams ( 2972 ) <addw@phcomp.co.uk> on Friday November 23, 2012 @02:14PM (#42075821) Homepage

    This is nice because it tells us that with a large migration to a Linux based desktop saves about 1/3. What does this tell us about the migrations that will follow or are not so big ? Different factors pull in different directions.

    * Munich is big enough to demand that correspondents use file formats that they can support - this is more than about LibreOffice

    * The cost software rewrites (special bespoke stuff) could be amortised over many users

    * The overall project costs (design, IT staff retraining, ...) could be amortised over many users

    * They are pioneers - those who follow should be able to use their blueprint, avoid the mistakes that Munich made

    * They were probably getting large volume license discounts on propietary s/ware, more than smaller organisations would have got, so they saved less

    What do you think ? What do you say when a customer asks how much they will save ?

  • The training costs (Score:4, Interesting)

    by Anonymous Coward on Friday November 23, 2012 @02:38PM (#42076001)

    Looking at the report, the savings come from not having to buy software licenses (~ €6 million) and hardware upgrades (~ €4 million). They have an additional €16 million in the budget with is applied equally to the all Microsoft, LibreOffice on Microsoft and LiMux cases. That money goes to support, customization, trainings and that kind of thing. The allocated budget for each item is exactly the same in all cases.

    I think there's an interesting message there: "staying with Microsoft saves you training money" is simply a myth.

  • Comment removed based on user account deletion
  • Unless I am mistaken (tl;dr) each city in Germany seems to be considering gnu/linux separately and much effort is probably being duplicated in the evaluation, training and customization phases. I am curious:
    1) Wouldn't savings continue into the future with no need to buy Windows 2015, etc when supported version life ends?
    2) Couldn't the second city in Germany use what Munich learned, compare Munich's consideration process to their own situation and save a lot of effort?
    3) I don't know what kind of customization is involved, but wouldn't it be the same for say Stuttgart or Koeln?
    4) If 1 million Euros of the saved money from each city is put into hiring open source developers to improve the system, that would be a massive boon to the open source world and open source software in general. Is anybody thinking about this? Specifically:
    5) What are the chances / how would one go about in establishing a way for all municipal/state governments in Germany or EU for that matter, to pool their funds and make the necessary improvements such as oh I don't know, how about:
    - LibreOffice enhancements like fixing pasting of outlines from TextEdit into LibreOffice, making outlines import correctly from LO into MS Word, making templates for Draw for both government and small/medium/large companies, making templates for Calc, Write and Impress, making database templates that work with it all, gathering, organizing and fixing every glaring compatibility issue regarding MS Office interoperability, etc. It isn't rocket science and 50M Euros with some responsible project managers could stomp out all the distracting issues.
    - Multilingual video series on merits of free software, TCO, installation, training, submitting bug reports and enhancement requests, writing software.
    - Make a global clearing house for software/services wish list, and how to resolve issues on various distros site, so the wheel doesn't get reinvented all the time.
    - Make a global support and development job site that helps local developers

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