Linked by Thom Holwerda on Wed 4th Apr 2007 21:29 UTC
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Member since:
2005-12-31
Maybe you should read it again, because I did & came to same conclusion:
"The archived sales figures of Zeta were far below Magnussoft's expectations. Continuation of financing the project is economically no longer viable. For the time being, Magnussoft discontinued funding of the Zeta development team on March, 16th 2007. The exclusive distribution agreement will remain unaffected. The existing contract is valid until the end of 2007."
I'll do my best to respond & keep it short.
#1 *development* of Zeta is *NOT* profitable!
#2 *distribution* (sale) of Zeta *IS* profitable! (my other posts refer to this for Access / Magnussoft)
#3 Magnussoft paid *development costs* for 1.21 & 1.5, and are also a Zeta distributor / seller.
#4 March 16, 2007, Magnussoft *NO* longer involved in Zeta development. (Cut their losses) (this & yT going bankrupt proves #1 above).
#5 March 16, Magnussoft *retains* distribution rights (main distributor of Zeta) till end of 2007. (to benefit from profits made off the Zeta sales, otherwise if losses come from selling Zeta, then they would have stopped selling Zeta altogether, proves #2 above).
#6 There are 5 other distributors / sellers
http://www.zeta-os.com/cms/custom/reseller/list.php
Do, you think they are not making profits???? Or maybe they just like making losses? (This proves #2 above).
It is impossible to know the exact profit margins, because I'm not a licensed reseller myself, but I seriously doubt resellers are selling Zeta for a loss!
Magnussoft was involved in *developer / distributor* relationship *and* on March 16 they switched solely to a *distributor* role (I think you are not understanding this or #2 above). Continuing to fund development would have meant further losses to Magnussoft.
Bernd/yT & Be Inc both failed with Zeta/BeOS, because they could not get a strong enough userbase & make the profits required to survive (to offset the development costs - where *most* of the expense comes from).
Edited 2007-04-06 18:20