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March 24th, 2009

Microsoft: Economy putting a damper on migrations to and from open source

Posted by Mary Jo Foley @ 9:40 am

Categories: Corporate strategy, Linux, Novell, Open source, Windows server

Tags: Migration, Microsoft Corp., IT Department, Linux, Open Source, Operating Systems, Software, Mary Jo Foley

Due to the downturn in the economy, many business users are putting the kibosh on migrations to or from open source.

That’s one of Microsoft’s findings from its own customer research upon which its execs plan to expound  during this week’s Open Source Business Conference (OSBC).

Robert Youngjohns, Microsoft’s President of North America Sales & Marketing, is set to keynote the conference on Wednesday in San Francisco. His topic: “Partnering for Success.”

Prior to Youngjohns’ keynote, I had a chance to chat by phone with Sam Ramji, Microsoft’s Director of Platform Strategy and primary point person for open-source outreach at the company. Ramji shared some of the findings Microsoft unearthed when talking to customers in preparation for Microsoft’s annual internal worldwide business review.

IT departments are not cutting their spending to zero, Ramji claimed. Instead, they are focusing on strategic projects and cutting completely those they deem to be non-critical. That’s why Microsoft is advising open-source partners with whom the company is collaborating not to focus their customer pitches on costs, but instead to lead their sales pitches with “value,” he said.

(Ramji’s advice contradicts head-on the way that Microsoft partner Novell is pitching its customers. Novell recently hired IDC to do a study which found users were more interested in open-source and Linux software because of tough economic times.)

“We’re also seeing a lot of risk adversity,” Ramji told me, resulting in fewer migrations between Windows and Linux and/or Microsoft products and open-source ones. The thinking, Ramji claimed, has become “Get the best value out of the hardware and software you already have.”

Ramji said Microsoft also is hearing customers saying they want new technologies to prove themselves on the return-on-investment front in a much shorter window: typically just 6 to 12 weeks.

Which take reflects your reality — Microsoft’s or Novell/IDC’s? Are tough economic times leading your IT shop to look more closely at LInux? Or is the downturn keeping you from even thinking about any near-term replacements/migrations?

Mary Jo FoleyMary Jo has covered the tech industry for more than 20 years. Don't miss a single post. Subscribe via Email or RSS. You can also follow Mary Jo on Twitter.

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  • Talkback
  • Most Recent of 10 Talkback(s)
A reply to Mr Ramji
What I take Mr Ramji to mean is that for many users having to buy a Windows licence is quite enough, and having to pay Microsoft more for more than minimal functionality is unnecessary as as there's p... (Read the rest)
Posted by: Charles Norrie Posted on: 03/25/09 You are currently: a Guest | | Terms of Use
What can they say?  TripleII | 03/24/09
They are both dreaming.  kozmcrae | 03/24/09
thats the case for all these so-called "analysts"  deaf_e_kate | 03/24/09
RE: Microsoft: Economy putting a damper on migrations to and from open source  Sam Ramji | 03/24/09
Right  Richard Flude | 03/24/09
I think this just points out how desperate Microsoft is  Ole Man | 03/25/09
A reply to Mr Ramji  Charles Norrie | 03/25/09
RE: Microsoft: Economy putting a damper on migrations to and from open source  Peter V | 03/24/09
Oh Mary !  Alan Smithie | 03/25/09
As the japanese car manufacturers taught the US...  obvio.capitao@... | 03/25/09

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