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High Costs Mean Low Uptake for Linux

New research has found the free-source Linux software incurs higher total ownership costs (TCO) for users than the rival operating system Windows platform.

This is bound to put a dent in the wider adoption of Linux, Beijing-based research house CCW Research says.

An immature application environment and a shortage of Linux engineers in China have resulted in a high TCO for Linux adoption on computer servers, said the firm.

TCO refers to the total cost of owning hardware and software. It is not only the price paid for a product but also the cost of maintenance, upgrades and product downtime.

"Providing a stable computing environment at a low cost is a major benchmark for the wide adoption of Linux," said CCW Research in a report.

"It's true that users pay a lower purchase cost for Linux. But in terms of most applications on servers, Linux requires a much higher cost than Windows."

CCW Research's survey found Linux TCO is 41.3 per cent higher than Windows on application and database servers.

On mail servers and file/print servers, Linux TCO is 11.8 per cent and 11.7 per cent higher.

On network servers, the TCO of the two platforms is roughly the same. Linux has a cost advantage only on Web servers, with an 8.3 per cent lower TCO.

As not many mature applications are available in China, users need to pay a large amount of extra money for the internal development and maintenance of Linux.

Most users have also got accustomed to the Windows platform, while lacking skill and experience for Linux.

"Users need to buy more technical support services to ensure their Linux systems run stably. They need to employ engineers and spend much time and money in training," CCW Research said.

"And there is an acute shortage of engineers mastering Linux."

There are few universities and academies offering Linux-related training in China, yet wages paid to their engineers are about 20 per cent higher than engineers working for Windows, the survey found.

Another major problem holding the up-take of Linux back is that unlike Western countries, the cost of buying operating systems accounts for a very small portion of the total costs in China, at only 8.3 per cent.

"It does not necessarily help users cut costs if they buy Linux," Wang said.

Some businesses are running both Linux and Windows in China to lower costs. But CCW Research found the actual costs remain high.

"On average, running multiple operating systems has a 18.9 per cent higher cost than running a single platform," said Wang Shugui, an analyst with CCW Research.

"To adopt multiple platforms, businesses need to employ engineers familiar with all operating systems as it results in a much more complicated IT system."

The analyst urged Linux developers to make concrete efforts to lower the TCO.

"The Linux market in China will grow by 35 per cent this year, creating a big opportunity for the country's software industry.

"But the high TCO will curb a rapid up-take of Linux in China in the long term."

(China Daily June 28, 2005)

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