1999 Advisory Analysis
11. Usage Reports
There are many reports from various users who have switched to OSS/FS; here are a sample that you may find useful. This is not an exhaustive list, nor can it be.
As discussed earlier, the City of Largo, Florida supports 900 city employees using GNU/Linux, saving about $1 million a year. A BusinessWeek online article notes that Mindbridge shifted their 300-employee intranet software company from Microsoft server products and Sun Solaris to GNU/Linux; after
experiencing a few minor glitches, their Chief Operating Officer and founder Scott Testa says they now couldn’t be happier, and summarizes that “...we’re saving hundreds of thousands of dollars between support contracts, upgrade contracts, and hardware.” Amazon.com saved millions of dollars by switching to GNU/Linux. Oracle’s Chairman and CEO, Larry Ellison, said that Oracle will switch to GNU/Linux to run the bulk of its business applications no later than summer 2002, replacing three Unix servers. A travel application service provider saved $170,000 in software costs during the first six months of using
GNU/Linux (for both servers and the desktop); it also saved on hardware and reported that administration is cheaper too. CRN’s Test Center found that a GNU/Linux-based network (with a server and 5
workstations) cost 93% less in software than a Windows-based network, and found it to be quite capable. The article Linux as a Replacement for Windows 2000 determined that “Red Hat Linux 7.1 can be used as an alternative to Windows 2000... You will be stunned by the bang for the buck that Linux bundled free ‘open source’ software offers.”
Educational organizations have found OSS/FS software useful. The K12 Linux Terminal Server Project has set up many computer labs in the U.S. Northwest in elementary, middle, and high schools. For example, St. Mary’s School is a 450-student Pre-K through 8th grade school in Rockledge, Florida that applying GNU/Linux using their approach. Their examples show that kids don’t find GNU/Linux that hard to use and quite able to support educational goals. For example, third graders put together simple web pages about their favorite Saints using a variety of OSS/FS programs: they logged into GNU/Linux systems, typed the initial content using Mozilla Composer (an OSS/FS web page editor), drew pictures of the Saints using The Gimp (an OSS/FS drawing program), and shared the results with Windows users using Samba. The page Why should open source software be used in schools? gives various examples of educational organizations who have used OSS/FS programs, as well as linking to various general
documents on why educational organizations should use OSS/FS. The letter from the Kochi Free Software Users’ Group to the Government of Kerala and others also summarizes some of the issues, especially why governments should specify standards (and not products) for educational use. The Faculty Senate of the University at Buffalo, State University of New York, approved a resolution strongly
supporting the use of OSS/FS instead of proprietary software. The Northwest Educational Technology Consortium has an interest set of information on OSS/FS on its website, in the section Making Decisions About Open Source Software (OSS) for K-12.
China’s biggest bank, signed an agreement with Turbolinux to integrate Linux across its banking network; this follows a September 2004 announcement by the Agricultural Bank of China (ABC) that it would be moving to Linux thin-client terminals based on an optimized Red Hat Linux distribution. The Chicago Mercantile Exchange credits its migration to commodity Intel-based servers and Linux with cutting costs and reducing a critical 100 milliseconds off the time required to complete each trade. Online brokerage E*Trade is moving its computer systems to IBM servers running GNU/Linux, citing cost savings and performance as reasons for switching to GNU/Linux (the same article also notes that clothing retailer L.L. Bean and financial services giant Salomon Smith Barney are switching to GNU/Linux as well). Merrill Lynch is switching to GNU/Linux company-wide, and are hoping to save tens of millions of dollars annually within three to five years. Adam Wiggins reports on TrustCommerce’s successful transition to Linux on the desktop. An April 22, 2002 report on ZDNet, titled “More foreign banks switching to Linux”, stated that New Zealand’s TSB bank “has become the latest institution to adopt the open-source Linux OS. According to reports, the bank is to move all its branches to the Linux platform... in Europe, BP and Banca Commerciale Italiana feature among the big companies that have moved to Linux. According to IBM, as many as 15 banks in central London are running Linux clusters.” They also mentioned that “Korean Air, which now does all its ticketing on Linux, and motorhome manufacturer Winnebago, are high-profile examples.” The Federal Aviation Air Traffic Control System Command Center in Herndon, Virginia is currently installing a system to support 2,000 concurrent users on Red Hat Linux. The system, known as the National Log, will act as a central clearinghouse database for users in air traffic centers across the country. ComputerWorld reported in October 2002 an increasing use of GNU/Linux on Wall Street - Merrill Lynch reports that a majority of new projects are interested in GNU/Linux, for example, and the article references a TowerGroup (of Needham, MA) estimate that GNU/Linux is currently deployed on 7% of all servers in North American brokerage firms. TowerGroup also forecasts that GNU/Linux use will grow at an annual rate of 22% in the securities server market between 2002 and 2005, outpacing growth in Windows 2000, NT and Unix deployments.
Some organizations are deploying GNU/Linux widely at the point of sale. Many retailer cash registers are switching to GNU/Linux, according to Information Week (”Cash Registers are Ringing up Sales with Linux” by Dan Orzech, December 4, 2000, Issue 815); on September 26, 2002, The Economist noted that “Linux is fast catching on among retailers.” According to Bob Young (founder of Red Hat), BP (the petroleum company) is putting 3,000 Linux servers at gas stations. Zumiez is installing open-source software on the PCs at all its retail locations, and expects that this will cut its technology budget between $250,000 and $500,000 a year; note that this includes using Evolution for email, Mozilla for web
browsing (to eliminate the need for printed brochures and training manuals), and an open source
spreadsheet program. Sherwin-Williams, the number one U.S. paint maker, plans to convert its computers and cash registers (not including back office support systems) in over 2,500 stores to GNU/Linux and has hired IBM to do the job; this effort involves 9,700 NetVista desktop personal computers,
OSS/FS is also prominent in Hollywood. Back in 1996, when GNU/Linux was considered by some to be a risk, Digital Domain used GNU/Linux to generate many images in Titanic. After that, it burst into prominence as many others began using it, so much so that a February 2002 article in IEEE Computer stated that “it is making rapid progress toward becoming the dominant OS in ... motion pictures.” “Shrek” and “Lord of the Rings” used GNU/Linux to power their server farms, and now DreamWorks SKG has switched to using GNU/Linux exclusively on both the front and back ends for rendering its movies. Industrial Light & Magic converted its workstations and renderfarm to Linux in 2001 while it was
working on Star Wars Episode II. They stated that “We thought converting to Linux would be a lot harder than it was” (from their SGI IRIX machines). They also found that the Linux systems are 5 times faster than their old machines, enabling them to produce much higher quality results. They also use Python extensively (an OSS/FS language), as well as a number of in-house and proprietary tools. Disney is also shifting to GNU/Linux for film animation.
Many remote imaging systems use GNU/Linux. When a remote imaging system was placed at the North Pole, reporters noted that the Linux mascot was a penguin and announced that Penguins invade the North Pole.
There are many large-scale systems. In October 2002, Chrysler Group announced it’s using a Linux cluster computer for crash simulation testing and analysis in an effort to make safer cars and trucks. Their configuration uses 108 workstations, each with 2 processors, so the system uses 216 computers all
running Red Hat Linux, and expect to improve simulation performance by 20% while saving about 40% in costs.
OSS/FS is widely used by Internet-based companies. Google uses over 6,000 GNU/Linux servers. Yahoo! is increasing its already-massive use of OSS/FS. Yahoo claims it is the “World’s most trafficked Internet destination,” justified based on Nielsen/NetRatings of August 2002. Yahoo had 201 million unique users, 93 million active registered users, over 4500 servers, and over 1.5 billion pageviews a day. Yahoo noted that OSS/FS already runs their business (e.g., Perl, Apache, FreeBSD, and gcc), and they’ve recently decided to move from their proprietary in-house languages to PHP (an OSS/FS language). Afilias has switched the registration database for the .org Internet domain from the proprietary Oracle to the OSS/FS PostgreSQL database program; .org is the fifth largest top-level domain, with more than 2.4 million registered domain names.
Bloor Research announced in November 2002 that they believe GNU/Linux is ready to support large enterprise applications (i.e., it’s “enterprise ready”). They reached this conclusion after examining its scalability, availability, reliability, security, manageability, flexibility, and server consolidation
characteristics, They concluded that “Linux now scales well on Intel hardware, and by taking advantage of failover extensions from Linux distributors and Grid suppliers, high availability can be achieved. Linux is proven to be reliable, especially for dedicated applications, and its open source nature ensures that it is at least as secure as its rivals.” Only 3 years earlier Bloor had said GNU/Linux wasn’t ready. Librarians have also found many advantages to OSS/FS.
One interesting usage story is the story of James Burgett’s Alameda County Computer Resource Center, one of the largest non-profit computer recycling centers in the United States. Its plant processes 200 tons of equipment a month in its 38,000-square-foot warehouse. It has given thousands of refurbished
computers to disadvantaged people all over the world, including as human rights organizations in Guatemala, the hard-up Russian space program, schools, and orphanages. All of the machines have GNU/Linux installed on them.
Indeed, for well-established products like GNU/Linux, very strong cases can be made for considering them. On October 18, 2002, Forrester Research reported that “Linux is now ready for prime time.” They stated that “CIOs have many new reasons to be confident that they’ll get quality Linux support from their largest application vendors and systems integrators,” referencing Amazon, Oracle, Sun, and IBM, among others who have made commitments that increase confidence that GNU/Linux is ready for deployment. Indeed, these uses are becoming so widespread that Microsoft admits that OSS/FS competition may force Microsoft to lower its prices, at least in the server market. Microsoft noted this in its 10-Q quarterly filing, stating that “To the extent the open source model gains increasing market acceptance, sales of the company’s products may decline, the company may have to reduce the prices it charges for its products, and revenues and operating margins may consequently decline.”
Several organizations collect reports of OSS/FS use, and these might be useful sources for more
information. Linux International has a set of Linux case studies/success stories. Mandriva maintains a site recording the experiences of business users of the Mandrake distribution. Red Hat provides some similar information. Opensource.org includes some case studies.
The Dravis Group LLC published in April 2003 Open Source Software: Case Studies Examining its Use, examining several specific use cases in depth. Their study of several different organizations deploying OSS/FS concluded the following:
1. Cost is a significant factor driving adoption of open source software. 2. Control and flexibility are considered benefits as well.
3. Implementation of open solutions is evolutionary, not revolutionary. 4. Open source extends across the entire software stack.
5. Product support is not a significant concern. 6. Open source is not a magic solution.
7. Open standards may be more important than open source.
12. Governments and OSS/FS
Practically all governments use OSS/FS extensively, and many have policies or are considering policies related to OSS/FS. Motivations vary; for many governments, the overriding rationale for considering OSS/FS is simply to reduce costs. Such governments will still take a variety of other factors into account such as reliability, performance, and so on, just like a commercial firm would do. Some governments may also consider the special privileges granted to them by OSS/FS; e.g., there are direct advantages to users if they can examine the source code, modify the software to suit them, or redistribute the software at will.
In contrast, some governments also consider OSS/FS as a way of supporting other national policies. Here is a list of some of the other considerations that have been reported by various governments:
1. supporting industrial policy -- a government may choose to support OSS/FS to encourage the