Posted by: vwbusguy | October 16, 2008

Bum Economy Good For Open Source

Thought I’d give a shout out to the CNET Article about how the economy going sour is good for Red Hat and good for Open Source.

Personally, I think it makes all sorts of sense.  With economy going down, companies will be looking at ways to cut their IT costs now more than ever, and where possible, move development in house.  What a better way to do that than having an environment where you have control over everything in your system?

I don’t see a coincidence at all that IBM was up 20% above expectations last quarter.

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Responses

  1. Moving development in house? While I hope your right it seems that right or wrong … ok generally wrong … development groups in a lot of companies are being outsourced to external companies because it’s ‘cheaper’. Of course it isn’t, but for a quarter or two it is … and I swear all the MBA’s are looking for quick wins for today … they never learned about The And and the Grasshopper in Kindergarten.

  2. Yeah, I guess I meant that more in the sense of IT than application development. But in fairness to that too, outsourcing for the lowest wage can be a false economy because of the market in places like India, where it may be far more profitable for a developer to change jobs every six months to a year simple to hire into a raise.


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