F O S S in Business Development & SMEs

1. Patrick D. Reidenbach UR Solutions, Inc. F O S S in Business Development & SMEs

2. F ree and/or O pen S ource S oftware FOSS in Business Development & SMEs

3. FOSS in Business Development & SMEs Part I: A short background on Linux and Open Source software

4. What is Linux? Linux is an extremely superior OPERATING SYSTEM. It is the most well-known example of Open Source software. FOSS in Business Development & SMEs

5. What's an Operating System? • APPLICATIONS • Word® Word processor • QuickBooks® Accounting • Excel® Spreadsheet • Netscape® Internet browser • OPERATING SYSTEM • HARDWARE • PC • Monitor • Keyboard & mouse • Modem • printer FOSS in Business Development & SMEs

6. FOSS in Business Development & SMEs Well-known operating systems: • Windows • DOS • Mac OS • OS/2 • Symbian • Unix

7. FOSS in Business Development & SMEs Linux is based on UNIX. • Developed in the 60's by AT&T Bell Labs. • Used by large entities like • Banks • Government institutions • Telephone companies • Hospitals • Universities • But Unix needs huge, expensive computer equipment. Linux does not.

8. FOSS in Business Development & SMEs Why was UNIX widely used? • Speed & Portability • Stability • Scalable - easy to upgrade, grow • Reliable - must NOT crash • Multi-user and Multi-tasking • Security • Authorized access only

9. FOSS in Business Development & SMEs What is the relevance of Unix? "The Unix environment and the client-server program model were essential elements in the development of the Internet and the reshaping of computing as centered around networks rather than in individual computers.” - Wikipedia

10. FOSS in Business Development & SMEs Unix and the GNU Free Software Project • Initiated by Richard Stallman in 1983. • Goal was to complete a Unix-like OS composed entirely of free software. • Collaborated on by hundreds of Unix programmers. • Paved the way for the Open Source movement. • GNU had most of the necessary components: system libraries, compilers, text editors, a Unix shell --- all except for the core component, the kernel...

11. What is the G.P.L? FOSS in Business Development & SMEs • GPL = Gnu General Public License • This is the license that often comes with Open Source software. Others are HPL, BSD, etc. • Created by Stallman to address the need to define the Terms and Conditions of creating, using and copying Open Source software. • Clarifies the Legal Aspect of free and open source software. • Full text is available for download at: http://www.gnu.org/licenses/gpl.html

12. FOSS in Business Development & SMEs Open Source Definition • Open Source Initiative (OSI) organized by advocates including Eric S. Raymond • For more info visit: http://opensource.org

13. FOSS in Business Development & SMEs Open Source Definition • Open Source Initiative (OSI) organized by advocates including Eric S. Raymond • Source Code or “recipe” is open or made public. • Anyone may legally use, modify and/or redistribute it. • Variants must also be Open Source because of GPL. • If modification is adapted, then a new version emerges. If not, a fork branches out – with a different name. • NOT ALL OPEN SOURCE IS FREE.

14. FOSS in Business Development & SMEs Why Does Open Source Work? • Uses the collective intelligence of thousands of programmers worldwide -- “Given enough eyeballs, all bugs are shallow.” - Eric S. Raymond • Follows Darwinian Evolutionary model. --- The more people use a software, the better it gets!

15. FOSS in Business Development & SMEs Why Does Open Source Work? • “The Cathedral and the Bazaar” • http://www.catb.org/~esr/writings/ cathedral-bazaar/cathedral-bazaar/

16. The GNU/Linux Project FOSS in Business Development & SMEs

17. FOSS in Business Development & SMEs The GNU/Linux Project • A Finnish student named Linus Torvalds wanted a simplified version of Unix that could run on an ordinary 386 desktop PC. • Torvalds created the kernel (or seed) and posted it on the Internet in 1992 to solicit help in improving it. • Only a handful participated in the project at the beginning. • They combined the kernel with GNU components and put together a stable, working operating system in a few months.

18. FOSS in Business Development & SMEs The GNU/Linux Project • By making the source-codes for Linux public (open source), Torvalds enabled other computer programmers to suggest improvements to the system. • He also allowed companies to develop and sell Linux-based products. Linux slowly got better and better and appeared with more and more applications. • There were a few hundred programmers participating in 1994 when version 1.0 was released. • Now over 100,000 participants and dozens of distributions.

19. FOSS in Business Development & SMEs Linux Distributions • Red Hat • Debian • Gentoo • Slackware • Mandriva • Ubuntu • SuSE

20. FOSS in Business Development & SMEs Linux Distributions "When all manifestations of Linux operating systems are counted, Linux is clearly a mainstream solution," Vernon Turner, IDC

21. FOSS in Business Development & SMEs Linux Distributions • Slackware was one of the earliest Linux distributions, and is the oldest distribution still being maintained. It was created by Patrick Volkerding of Slackware Linux, Inc. It has a policy of incorporating only stable releases of applications, standing mainly for stability and simplicity. For a good while, other Linux distributions that came after it were in fact evaluated for their "Slackware compatibility". Suse Linux was spawned from Slackware. • Debian: Known for its strict policies regarding the quality of its packages and releases, and for its open development and testing process. Easy upgrades between releases without rebooting and easy automated installation and removal of packages. Debian GNU/Linux is the basis for several other distributions, including Knoppix and Ubuntu. • Gentoo Linux: A Linux distribution named after the Gentoo Penguin. It is designed to be modular, portable, easy to maintain, flexible, and optimized for the user's machine. This is accomplished by building all tools and utilities from source code, although, for convenience also available as precompiled for various architectures (via the Portage system). Gentoo is also appreciated for its discussion forums and the large knowledge base they represent.

22. FOSS in Business Development & SMEs Linux Distributions • Red Hat Enterprise Linux: A Linux distribution produced by Red Hat and targeted toward the commercial market, including mainframes. Current versions (after ver. 9) are not anymore free. Some Red Hat variants and free versions: * CentOS 4.3 - a freely available Linux distribution which is based on Red Hat's commercial Red Hat Enterprise Linux product, and with which it aims to be 100% compatible. CentOS stands for Community ENTerprise Operating System. * Fedora 4 – the open source community project sponsored by Red Hat, but not officially supported by it. * Other distributions: Scientific Linux, StartCom Enterprise Linux, White Box Enterprise Linux and XOS • Mandriva Linux (formerly Mandrakelinux or Mandrake Linux, and an acquisition of Conectiva and Lycoris) is a distribution created by Mandriva (formerly Mandrakesoft). Has various products for servers, workstations, small businesses as well as individuals. Originally a Red Hat Linux variant optimized for Pentium-class CPUs, Mandriva Linux has since diverged to form its own distribution. While remaining entirely free software, Mandriva's business model adds further enterprise-class support and services, mainly through a subscription basis, as well as different release dates for individual members and non-members of their club.

23. FOSS in Business Development & SMEs Linux Distributions – Red Hat Estimating GNU/Linux's Size, a 2001 study of Red Hat Linux version 7.1, found that this distribution contained 30 million source lines of code. The study estimated that this software required about eight thousand man-years of development time. According to the study, if all this software had been developed by conventional proprietary means, it would have cost about 1.08 billion dollars to develop in the United States. The majority of the code (71%) was written in the C programming language, but many other languages were used. Slightly over half of all lines of code were licensed under the GPL. The Linux kernel was 2.4 million lines of code, or 8% of the total.

24. FOSS in Business Development & SMEs Governments around the world that use Linux • USA • France • Germany • Chile • Peru • China has its own distro called Red Flag Linux

25. Questions? FOSS in Business Development & SMEs

26. Part II: Open Source and Business FOSS in Business Development & SMEs

27. FOSS in Business Development & SMEs Open Source is Big Business • Netscape goes Open Source. • Digium creates Asterisk to help market their hardware. • IBM, Dell and HP now package Linux OS with their servers. • Sun Microsystems releases Open Solaris and Open Office. • Oracle, Lotus now run on Linux. • Novell acquires SuSE Linux.

28. FOSS in Business Development & SMEs Open Source is Big Business • MySQL • Sugar CRM • Red Hat cash reserves hit US$ 1 B in 2004. • 70% of Internet servers use Linux – Google, Amazon, Yahoo, eBay, etc. because of widely available and affordable LAMP technology. • In 2005, IDC pegged Linux's global total take at just under $15 billion. But it will bring in more than $35 billion in revenues by 2008. -TechWeb Technology News

29. FOSS in Business Development & SMEs What are SME Concerns? • Poor IT infrastructure • Viruses, spam and other malware • Poor security • Lack of data and functionality • Expensive Software • Very aggressive Anti-piracy campaign • ........But piracy is now obsolete!

30. FOSS in Business Development & SMEs Proprietary software costs money! • How much an SME will spend on a simple 20- workstation office: • Operating System $200/PC • Office Suite $500/PC • File Server $1,000 + $40/PC • Mail Server $1,600 + $80/PC • TOTAL: $ 20,000 on software licenses only • Not counting Installation costs • Not counting required proprietary applications • Not counting Software Maintenance costs!

31. FOSS in Business Development & SMEs Open Source saves money! • How much would the same business spend on a simple 20- workstation office using OPEN SOURCE: • Operating System $0 • Office Suite $0 • File Server $0 • Mail Server $0 • Using Open Source is the legal alternative. • That $ 20,000 savings can go to purchase better hardware, additional training, etc., etc.

32. FOSS in Business Development & SMEs Shift to Linux & Open Source! • It is ideal for SMEs. • Migration doesn't have to be radical. • Existing software invested in doesn't have to be junked. • Existing hardware can still be used. • But one MUST PLAN carefully!

33. FOSS in Business Development & SMEs Why do IT projects fail? • Lack of planning and direction • Unrealistic expectations • Poor project management • Inadequate budget and management support ?

34. FOSS in Business Development & SMEs Typical SME network GATEWAY FIREWALL MAIL SERVER INTERNET INTERNET MODEM external user(s) Data SWITCH workstations FILE SERVER Fujitsu workstation workstation workstation workstation APPLICATION SERVER

35. FOSS in Business Development & SMEs Shift to Linux & Open Source! • Stage 1: convert servers • Stage 2: install Open Office • Stage 3: convert workstations • Stage 4: implement open source application

36. FOSS in Business Development & SMEs Reasons why SMEs don't use Open Source: • Lack of awareness • FUD = Fear, Uncertainty and Doubt • Can't or don't want to change existing Windows-based applications ?

37. FOSS in Business Development & SMEs Options for a Vital Application that runs on Windows: • It might run on Linux. • There may be an Open Source equivalent. • You may use a Windows emulator like VMWare, Wine or Crossover Office. • Install a hybrid system.

38. FOSS in Business Development & SMEs Proprietary programs & their Linux or Open Source equivalents • MS Office (Word, Excel & PowerPoint) • MS Internet Explorer • MS Outlook email • MS Exchange • ICQ® / MSN® Messenger / AIM / Yahoo!® Messenger • Skype, RealPlayer for Windows • Adobe Photoshop • WinAmp • WinZip • MS SQL database • Open Office (Write, Calc & Impress) • Mozilla Firefox • Kontact email • Kolab groupware • Kopete which is compatible to all those messenger types. • Skype, RealPlayer for Linux • The Gimp • Caffeine media player • Ark • MySQL

39. FOSS in Business Development & SMEs Some software that run on Windows and Linux: • Mozilla and Netscape • Open Office • Sugar CRM • The Gimp • Asterisk PBX • Oracle & MySQL database • Most web-based software

40. FOSS in Business Development & SMEs How did we start out? • Our company needed to rationalize our software licenses. • Cost was too high for proprietary software. • We researched and trained on Linux. • We realized it's advantages. • We saw a business opportunity.

41. FOSS in Business Development & SMEs How do we do business? • UR Solutions are IT Consultants. • We help companies develop an IT Plan. • We help plan the migration. • We provide support: training, installation & maintenance. • We help to create a superior and secure IT system. • Our services help save money.

42. Questions? FOSS in Business Development & SMEs

43. Part III: Some examples of Open Source FOSS in Business Development & SMEs

44. free as opposed to proprietary Open Office®Microsoft Office® -Writer -Word® -Calc -Excel® -Impress -PowerPoint® -fully compatible with MS Office, -only works with MS Star Office, Lotus, PDF products COST: $ 0 COST: ~ $500 FOSS in Business Development & SMEs Office Productivity Software

45. free as opposed to proprietary PostfixMS Exchange® -fully compatible with MS Exchange -only works with MS . products COST: $ 0 COST:$1600 FOSS in Business Development & SMEs Email Software

46. free as opposed to proprietary KontactMS Outlook® -scheduler -scheduler -addressbook -addressbook -task manager - -task manager -fully compatible with MS Exchange -works only with MSExchange COST: $ 0 COST:$80/user FOSS in Business Development & SMEs Email Software plus

47. free as opposed to proprietary SQL Ledger®QuickBooks© -double-entry -double-entry -multi-user -multi-user -browser-based -must be installed in every user's PC -SQL database -proprietary COST: $ 0 COST:~$200++ FOSS in Business Development & SMEs Accounting Software

48. FOSS in Business Development & SMEs Software needed for a web-based application proprietary WindowsIISMS SQLVisual Basic free as opposed toLinux OSApache web serverMySQL® databasePhpprogramming language

49. You don't know anything about it. What if it doesn't work well? It's not backed by any major corporation. You won't get support. It'll disappear tomorrow. FOSS in Business Development & SMEs FUD = Fear+Uncertainty+Doubt

50. FUD CAN BE OVERCOME! Information is freely available on Internet and from resources like us. Actual Linux and Open Source performance is openly given by users. Reliable Open Source projects are backed by thousands of programmers. Support comes from companies like us. Genie is already out of the bottle. Will not disappear. FOSS in Business Development & SMEs FUD = Fear+Uncertainty+Doubt • You don't know anything about it. • What if it doesn't work well? • It's not backed by any major corporation. • You won't get support. • It'll disappear tomorrow.