“Forty percent of servers run Windows, 60 percent run Linux…”

–Steve Ballmer, Microsoft CEO (September 2008)

ontrary to figures that account only for shipped volume and revenue (IDC), the installed base of GNU/Linux servers is very high. This is not to be confused with “market share”, whose definition gets changed so as to serve the vanity of companies which directly or indirectly fund such market surveys. There is a lot of selective research and cherry-picking of methodologies.

GNU/Linux is very commonplace on servers. Virtualisation requires those servers to communicate between and within one another, either through open standards or ‘interoperability’, which is typically a two-way bridge. Microsoft is fiddling with companies like XenSource (now Citrix) and VMware (now run by former Softies) to interfere.

In order to understand how Linux is doing against Windows on the server, a market survey would be required which is global. It is harder and more expensive to conduct a survey based on actual deployments (global in particular), as opposed to assembling and aggregating numbers of shipments from market leaders.

One indicator of the success of Linux on the server is internal intelligence conducted and/or used by Microsoft. The company calls this — albeit just internally — “Linux heat map” (I have a copy here, a court exhibit from Comes vs Microsoft). Publicly, realisation of the Linux threat to Microsoft can be arrived at by interpreting the company’s rhetoric and actions, such as threats of litigation, secret deals with Fortune 500 companies that pay Microsoft for their use of GNU/Linux (this is scarcely reported in the press and the companies refuse to identify themselves), and also disinformation initiatives such as “Get the Facts” and “Linux Personas” (defunct just days after debut).

Internal documents which were revealed in the Comes vs Microsoft case not only reveal figures about market share in several areas. They also show the company’s executives running frantic about what they called “Linux infestation”. They said they were not on a path to win against Linux, so they tried to manipulate Dell into dropping or neglecting Linux (on servers) and they also decided to commission studies which show Linux to be more expensive. Failing the first time, Microsoft argued, they can simply try again. This methodology fits well with tactics that are presented in internal Microsoft talks about “Effective Evangelism”. One of the tactics is to manufacture evidence that you need and then reference it. Analysts can be compensated in many ways that escape the public eye, as detailed in the company’s presentations (all endorsed by Bill Gates by the way).

In one of the documents disclosed in Comes vs Microsoft, Microsoft was seen explicitly asking IDC to remove signs of its sponsorship of a study. This study accidentally showed Linux (server) to be superior. Microsoft had similar studies conducted with market research groups like Yankee and Gartner.

It is worth emphasising that what challenges Microsoft is not just the market share of Linux. It’s more complicated than that. As netbooks (sub-notebooks) have demonstrated, tough competition from Linux not necessarily leads to erosion of Windows’ market share; instead, it rapidly leads to erosion of margins. Sources suggest that Windows has become virtually free (gratis) for some form factors, whereas in the case of servers, Microsoft has promotional means for advancing Windows not only through advertising campaigns. I have heard personally from Web hosts who were offered Windows for free so that they migrate away from Linux. In one case, the source was offered subsidies of hardware as well.

All in all, this comes to show that it’s a multi-faceted issue which can be addressed and treated by considering questions like:

1. How has Linux affected Microsoft’s/Windows market share?

2. How is market share defined?

3. How has Linux affected Windows margins?

4. What is the difference between perceptual Linux quality/market share compared to reality? There is room for distortion here and it is actively being exploited, as shown by authentic court evidence.

5. How failure-proof is Linux? How many companies are involved in developing and supporting it? Symbian and Palm OS, for example, have a single breaking point.

Y intent is never to promote anything. I just try to find facts that are usually separate from consensus, which is very typically distorted, e.g. in politics (“war on terror”).

Some people are concerned about facts because we are all very skilled at beautifying our own integrity. The reporter who is selected to cover for a publication based on inclinations, convictions or obedience, for example, is often sufficiently indoctrinated so as to actually believe his/her writings, say X, about Y (well, “everyone else is writing X about Y too”). It’s a cyclic trap, it’s sheep/cattle effect. It’s a self-fulfilling prophecy in a sense. We see it in Comes exhibits (e.g. “The NC is dead” roadshow) and the Gartner Group was openly accused of doing the same thing to set standards.

Only by challenging conventions with facts can we find truth, then present it and preach to defend it (money always fights against truth).

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Some countries’ policies, despite the will of the people, are shameful, much like the government. But people are too brainwashed by their elected ones too see it. Here is a new article on propaganda.

Treason in suits

TO INSULT THE INTELLIGENCE ONE’S own countrymen (and women) for savings and for meeting of financial goals is a case of betrayal, not just dishonesty. But that’s exactly what a group of companies are doing, spearheaded by the usual giants like Intel and Microsoft (this is a pattern). it’s not about skills; it’s about cost.

Yes, Microsoft and Intel are sort of involved in this cheap labour stunt yet again, but they are joined by companies like AMD, Google, and Oracle.

Down among the signatures:

Steven A. Ballmer
Chief Executive Officer
Microsoft Corporation

Craig Barrett
Chairman
Intel Corporation

I already covered some examples last week to show the political corruption involved.

This is something to bear in mind this Christmas. The economy is still being ruined by endless greed that comes before employee welfare.