Linux Climbs the Corporate Ladder
Aug. 27 -- Linux developers have good reason to celebrate when they honor the 10th birthday of the open-source operating system this month. Even critics must admit the operating system has fundamentally changed the way software is developed and proven the viability of open standards.
But far from just a symbolic, feel-good movement led by geek hobbyists, Linux has taken the tech industry by storm and become a bona fide commercial success.
It is predicted Linux-based hardware, software, services, and staffing will grow to 9 percent of corporate information technology budgets by 2002, up from 3 percent in 1999, according to an upcoming report from research firm IDC.
And it's unlikely Linux will stop there, said IDC Linux study director Scott McLarnon.
"The willingness of an increasing number of decision makers to look closely at Linux bodes well for its future and suggests increasing challenges for competitive platforms," McLarnon said.
In the last five years, a whole industry has grown around Linux to write programs and deliver services based on the licensing-free operating system. Though many Linux firms went belly-up when the tech bubble burst in 2000, many companies, such as Red Hat, Suse and VA Linux, are still chugging along despite the unforgiving economic climate.
Heavy Hitter Acceptance
But what's really driving Linux's impressive growth, analysts said, is its widespread acceptance by tech industry's heavy hitters.
IBM says it will spend more than $1 billion on Linux products and services this year; the company already uses the distinctive Linux penguin mascot in much of its advertising. Furthermore, Linux workstations are available from Compaq and Dell. And the greatest demand for Linux products and services, the companies said, is coming from the most sought-after customers of all — Fortune 500 companies.
Silicon Valley pioneer Hewlett-Packard, which also uses Linux in many of its products, even went so far as to hire Linux veteran Bruce Perens as its chief strategist.
