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Recently the City of Munich, Germany moved from M$ to SuSE. Open Office and Ximian Evolution is available and is suitable for most office workstations. Netscape has a browser for Linux and Opera has a very fast browser for Linux. I think Linux as reach a reasonably mature level for the desktop. One issue I have about Linux on the desktop is browser plugins. I use Red Hat, SuSE and Windoze as a triple boot and enjoy them very much.
Linux is ready for the desktop. Use what works for you.
http://www.redhat.com/solutions/info/casestudies/google.html
http://www.suse.de/us/company/press/press_releases/archive03/cray.h...
http://www.suse.de/us/company/press/press_releases/archive03/munich...