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Red Hat, Cobalt Networks, Andover.net, and VA Linux.pdf
LINUX:
Fad or Future?
by Barry Jaruzelski, Vice President
Gerald Horkan, Principal
Randy Lake, Associate
Separating Hype from Reality
The Linux operating system has taken the computing Amidst all the hype, technology providers and users alike
world by storm. Every major technology publication has are unsure about the level of commitment they should
feature articles promoting Linux and its potential to under- make to Linux. At the strategic level, there are three
mine the dominance of Windows. Hardware and software major questions that need to be addressed to separate the
vendors announce Linux products and services daily, and hype from reality.
new companies focused exclusively on Linux have started to ? Will Linux – like Unix – fragment into multiple flavors?
emerge. Linus Torvalds, the creator of the Linux kernel, is
revered in the technology community as the David to Bill ? In which segments will Linux become a competitive
Gates’ Goliath. alternative to Solaris or Windows NT?
? How can technology providers make money in an open-
The stock market has taken notice as well. Linux vendors
source model?
Red Hat, Cobalt Networks, A, and VA Linux
Systems have all reached sky-high valuations upon their In this paper, we present Booz?Allen Hamilton’s views
IPOs, while existing software vendors such as Corel and on these questions and make recommendations on how
Applix have seen their stock prices surge at the announce- companies can best embrace the Linux revolution.
ment of Linux products. Additionally, a consolidation wave
is already striking the Linux market as key players such
as Red
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