History Repeats
History Repeats
Posted Oct 20, 2010 4:43 UTC (Wed) by ldo (guest, #40946)Parent article: Gould: Oracle to Red Hat: It's Not Your Father's Linux Market Anymore
Not very well, as it turned out; Oracle struggled to achieve 0.1% of the market penetration of Red Hat.
Too many analyses implicitly assume the economics of closed-source software development and apply them to open source; closed-source software is very expensive to develop, open source is not. Closed-source software needs carefully-controlled distribution channels to preserve the enforcement of the licence; open source does not. In closed-source, a choice of competing products means fragmentation; in open-source, it does not. Competing closed-source products tend not to have any incentive to offer interoperability to their customers; open-source products most certainly do.
In short, in closed source, little guys either turn into big guys (by growth or by being acquired by big guys) or they die. Whereas in open source, the little guys are unkillable; there will always be lots of little guys scurrying around in open source, because thats where the vitality of the market comes from.
