Linked by snydeq on Sun 14th Nov 2010 21:05 UTC
Red Hat InfoWorld's Savio Rodrigues views Red Hat's notable marketing shift from low cost to high value as an "important shift in the ongoing evolution of open source software vendors' business models". Long left in the low-cost ghetto of enterprise IT mind share, RHEL is being pushed for its technical innovations, performance enhancements, and customer-requested improvements, rather than as a solution for cash-strapped shops. This shift, and the underlying improvements to RHEL 6.0, give Red Hat a legitimate shot against Microsoft, and open source a new model for competing with proprietary products. After all, focusing on low cost unnecessary limits the growth of open source business, creating a 'low-cost ceiling' that indirectly dissuades many IT shops from considering open source products.
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The real threat is Oracle
by nt_jerkface on Sun 14th Nov 2010 23:52 UTC
nt_jerkface
Member since:
2009-08-26

Red Hat can talk up value all they want but Oracle can offer the exact same software and charge less for support.

Oracle has a long term strategy against the race to zero which is tie open source to hardware and their proprietary database.

The more you embrace open source the more you open yourself to being undermined by a large corp. The hybrid model is much safer for smaller companies.

Reply Score: 2

RE: The real threat is Oracle
by VistaUser on Mon 15th Nov 2010 00:19 in reply to "The real threat is Oracle"
VistaUser Member since:
2008-03-08

They have been trying this for the past few years and its not exactly worked out.

The problem Oracle face is similar to the one that Ubuntu faces in the enterprise - when you have problems, would you want to go get help from the people who actually did the work, wrote the software etc or some middle company who will then wait for a fix to arrive from elsewhere (Which Oracle MUST do anyway, as it wants to have 100% compatibility with RHEL.)

As for mixed source being a blessing, it can cut both ways - it may benefit the bottom line of a community, but as the people relying on Mysql or SUN products to see if they are happy with the results of their practices.

Reply Parent Score: 7

nt_jerkface Member since:
2009-08-26

They have been trying this for the past few years and its not exactly worked out.


It doesn't have to work out in the short term, they have a safe profit generator called Oracle DB.

I wouldn't call it a failure either given the customer list they have built up.

They're playing a long term game and they have a much better plan than Red Hat.

Reply Parent Score: 2

RE: The real threat is Oracle
by PatrickQuinn on Mon 15th Nov 2010 01:23 in reply to "The real threat is Oracle"
PatrickQuinn Member since:
2010-06-08

Well Oracle is not 100 percent behind linux. they have proven that time and time again. + Please look at RHEL 6 and then point me to an equivalent OS release from Oracle (no, incomprehensible linux, or whatever they are calling there distro these days, is no competitor )

And what we are also starting to see is that Oracle hates itself and wishes to meet a quick end by going after all the stuff that the market enjoys and killing it (Android for example Solaris for another. Its also a known fact that Oracle hates christmas)

Reply Parent Score: 1

nt_jerkface Member since:
2009-08-26

Well Oracle is not 100 percent behind linux. they have proven that time and time again. + Please look at RHEL 6 and then point me to an equivalent OS release from Oracle (no, incomprehensible linux, or whatever they are calling there distro these days, is no competitor )


It doesn't matter what RHEL adds which is the whole point. Any software they add to Linux can be taken and offered by Oracle.

Reply Parent Score: 3

RE: The real threat is Oracle
by Valhalla on Mon 15th Nov 2010 03:32 in reply to "The real threat is Oracle"
Valhalla Member since:
2006-01-24

The more you embrace open source the more you open yourself to being undermined by a large corp. The hybrid model is much safer for smaller companies.

Undermined how exactly? And what would the benefits be with proprietary code in avoiding this?

Reply Parent Score: 1

nt_jerkface Member since:
2009-08-26

Undermined by taking your innovative software and reselling it under a corporate label.

Oracle can't take proprietary code and add it to their Linux stack.

Reply Parent Score: 2

RE: The real threat is Oracle
by Soulbender on Mon 15th Nov 2010 05:02 in reply to "The real threat is Oracle"
Soulbender Member since:
2005-08-18

I think you mean to say that Oracle *could* be the major threat but it certainly *isn't*. Oracle Linux isn't exactly the Linux of choice for corporations and enterprises. They talk a good game but pretty much no-one is buying.
Perhaps Oracle is cheaper but are they better? Price isn't everything.

Edited 2010-11-15 05:13 UTC

Reply Parent Score: 4

nt_jerkface Member since:
2009-08-26

Oracle has already siphoned off customers and advertises their RHEL compatibility along with discounted support.

Oracle is the shark in the water, not MS.

Reply Parent Score: 2

RE: The real threat is Oracle
by orestes on Mon 15th Nov 2010 05:50 in reply to "The real threat is Oracle"
orestes Member since:
2005-07-06

On which planet precisely is Red Hat a "small" company? Is it the same one where Unbreakable Linux was a wild success and Larry Ellison was considered to be a nice guy?

Reply Parent Score: 3

RE: The real threat is Oracle
by korpenkraxar on Mon 15th Nov 2010 08:49 in reply to "The real threat is Oracle"
korpenkraxar Member since:
2005-09-10

The more you embrace open source the more you open yourself to being undermined by a large corp. The hybrid model is much safer for smaller companies.


LOL! Good advice dude, I'll remember that the next time I set up a Debian server, I am actually being undermined by Oracle. Where is the FUD button now again?

Reply Parent Score: 2

nt_jerkface Member since:
2009-08-26

LOL! Good advice dude, I'll remember that the next time I set up a Debian server, I am actually being undermined by Oracle. Where is the FUD button now again?


The point has to do with adding value in terms of code that larger companies can then immediately assimilate into their own offerings that have the advantage of an established brand or tie-in to other products.

It's a major limitation of embracing open source in business. But I can see few here want to actually discuss this limitation since that might lead to the heretical conclusion that open source does not make sense everywhere and that Stallman is wrong.

Reply Parent Score: 2