Linuxlookup.com is reporting Lindows, Inc. today announced that it has elected to postpone the previously announced initial public offering of its common stock due to current adverse market conditions.The company’s S-1 registration statement remains on file with the Securities and Exchange Commission and has not been withdrawn. Lindows will continue to evaluate market conditions and may proceed with a public offering at a later date. See here for the full announcment. Elsewhere, Google goes live with their IPO soon, but at a lower initial offering price.
Lindows Postpones Initial Public Offering
2004-08-19 Linspire 34 Comments
is lindows even making a profit yet?
So far they’ve lost $1.6 million since the last-quarter.
This doesn’t suprise me at all. Linspire is burning through cash so fast and doesn’t have the sales to match their expenses. Because of that, their IPO has increasing odds of failing. This means the possibly of the stock price falling below thier intial public offer very quickly(and folks, that’s real bad). Their excuse is market conditions is irrelvant it effects everyone, not just IPO’s. Simply put, bad managment is bad managment.
The money they got from Microsoft won’t last long, after the lawyers get their typical cut(1/3), it will get them 6 to 8 months of operating cash. It could go longer based on how much angel funding they have left as well.
Fact sheet link on Linspire;
I wouldn’t be suprised if they are worried the “noise” surrounding the Google IPO would completely drown them out.
Linspire’s not making a profit. To the consumer, the system is almost totally closed. The average person can’t install software on it easily without having to shell out money for access to the warehouse of otherwise free software. The geek won’t install it because it’s a total piece of crap. And not just a regular piece of crap, a piece of crap you gotta pay a decent chunk of change for.
What could Linspire do? For one thing, it could make an open installer system so 3rd parties can package their programs and provide them on separate discs, you know, like normal OSes do. Second, it could provide some real innovation in Linux that isn’t ultimately self-serving. Lastly, get Linspire on PCs other than the ones sold on walmart.com and Fry’s electronics. Not everybody has a Fry’s nearby and most people don’t buy computers from walmart.com, escpecially ones that have an OS other than Windows!
In Septeber the corporate name becomes Linspire Inc. Microsoft now own the Lindows name.
They saw how Google wasn’t going to do as well as Google initially thought and decided to hold of until the market got better.
Linspire doesn’t even have a compelling product to offer, why are they even considering going public?
Linspire decided to go public because google was supposed to start the flow of tech IPOs. It’s quickly becoming apprent that google’s IPO won’t be that spectacular. I know several other companies that were planning to go IPO but wont anymore.
Just a little “typo” kind of error… You should change all Lindows to Linspire; also the URL; since there is no such thing as Lindows from the start of next month (or wichever day it was).
I had mixed feelings regarding the delay of the IPO. I don’t use their OS, but there are many who do.
To some, I’m sure they saw the IPO as a ‘good thing’ for Lindows, Inc. (to be renamed Linspire, Inc. in Sep ’04) and the future growth of the company.
When Lindows, Inc. first announced their intent to go public awhile back, I thought it may be good to have another Linux company trading on the Stock Market alongside Novell/SuSE, Red Hat & Mandrake. It would show others that Linux is gaining momentum and winning a bigger chunk of the desktop market.
But what does this delay say regarding their future? If their profit-to-loss ratio is so poor, can they survive?
I agree with you no one in the Linux community is really fooled by Linspire marketing tactics. The only ones who are is Windows users. After all a lot of Windows users not familiar with the various Linux distributions don’t realize that they can acquire over 4000 Open Source applications for free and easily install with tools such as YaST, etc. Also, they would be surprized to find that products such as LPhoto and LTunes are nothing more than repbranded names on other Open Source software projects. If this was done to a Windows product there would be lawsuits filed. It would be nice if Linspire actually gave back to the Linux community but instead they seem to just leech off the hard work of others.
One thing the Linux community attempts to do is try to make other platform users aware not only of the benefits of Linux but also the differences in distributions. We will also not tolerate people being mislead by others whether through trickery or bad advertising.
Sorry Sean, misspelled your name
… because, like a tard, I didn’t closely read the “click-n-run” agreement when I downloaded the “Developer’s Edition.”
Next thing I knew, I was in for 12 months of $5/month payments. All I wanted to do was test it for awhile!
I inquired about cancelling the service, and they said, “Sure, just send us $50 to pay off the click-n-run contract.”
Admittedly, I made a boneheaded mistake by signing up for CNR — but I really didn’t want to keep it! Thanks for looking out for the customer. Needless to say, I’m immediately cancelling CNR after the 12 months are up.
“After all a lot of Windows users not familiar with the various Linux distributions don’t realize that they can acquire over 4000 Open Source applications for free and easily install with tools such as YaST, etc”
While I’d agree that Linspire is overpriced and that the CNR should be free, except for proprietary apps, you’re looking at this like an experienced Linux user and not as an average computer user. Linspire has the right idea, they do have the simplest of package management systems and they have one of the slickest looking desktops, but they are greedy. Still they provide an essential service for people migrating from Windows to Linux who have not experience with Open Source. You can’t honestly expect beginners to use apt get, Yum, Yast, urpmi..there’s no way. Even experienced users have problems with these package management systems. But still Linspire has done a lot to offer Linux as a alternative to Windows, especially little things like pushing various Linspire pre-installed pcs and laptops, having the only DVD player in Linuxland with legal codecs, etc. Linspire has it’s place among Linux distros, and if it goes under, Linux retreats one step backward towards only being for geeks.
I use Mandrake. I think it’s simple, but not when I first got it. Not as my first experience with Linux it wasn’t. It takes a lot of patience, tolerance and acceptance to use most Linux distros. Only people who are really interested in it (you know, those of they call ‘zealots’) are going to take that time. Average computer users? No way. There must distros like Xandros, Linspire and Lycoris for them.
“While I’d agree that Linspire is overpriced and that the CNR should be free, except for proprietary apps, you’re looking at this like an experienced Linux user and not as an average computer user. Linspire has the right idea, they do have the simplest of package management systems”
Ditto on the overpricing. Also, Linux Zealots have attacked everything the company has tried to do. Whether this is fair or not is a subjective opinion that I’ll not get into. Are they greedy? A good case can be made to show this point.
However, the ‘average’ computer user is not going to want to be inundated with console sessions and script editing. They want the Linux OS they obtain to work without fail right out of the box.
And you’re correct that there have to be simplified Linux Platforms (but not crippled) for those non-tech-savvy folks migrating to Linux.
It sucks because it uses KDE
“It ***** because it uses KDE”
That’s an unfair & ridiculous staement. Nearly all Linux distros have KDE as either their default GUI or as an available choice. I happen to prefer KDE over Gnome, although there are many useful and worthwhile Gnome apps & material.
And no. I’m not a Lindows/Linspire enthusiast. Tried them quite awhile back and decided their product was not for me. No harm in that.
But I do find KDE to be a very robust GUI environment; more so that Gnome.
That’s an unfair & ridiculous staement. Nearly all Linux distros have KDE as either their default GUI or as an available choice.
Yes, and they suck for that.
It’s simply not robost enough for me. Gnome is far better in this area, not to mention much faster than KDE. KDE takes too long to startup (10 seconds of splash screen) and I spend more time looking at a spinning gear than anything else.
Linspire costs $49 a year. This is the price for a CNR subscription and it will provide you:
– All the latest Linspire ISO’s as they are released
– ~2000 software titles in CNR, one mouse-click away
– Commercial software in CNR with good discounts
This is much cheaper than any other commercial dist I know of and right now the CNR subscription is just $25!
I would like to see other distros do as much as Linspire has in just 3 short years.
I purchased Linspire4.5 and CnR membership and I have to say that as a non Linux user/geek I have moved away form MS on every applicatin that I use.
I am not a power user, just your average Joe who got fed up with MS.
I didnt need any help with setting it up
running DVD’s Sound
Word Docs Excel (Open Office)
Making free International Calls (like MSN Messanger)
and calling my auntie in NZ for the UK via a PC
Setting up my Printer and Scanner was easy with no drivers required.
My point is i am an average user and Linspire works for me. They give back to the linux community which i like, and they stand up to MS and others which I also like.
The cost for this is $50 for OS one time fee.
and $50 per year for as long as I want to keep adding software from the CnR wearhouse. When I stop subscribing to CnR the commercial software is still mine to keep.
Whats wrong with that?????
How so? Most other popular distros charge money for the pleasure to use their software. $50.00 a year is not much money to pay if your looking for an easy to use OS. 95% of the users out there just want their computer to work for them. The other 5% like to tinker, configure, and play around as much as possible. If you start a company, and want to make it successful which percentage would you serve?
Apt-Get is available in Linspire and for those not willing to pay $50 a year for ease can enable any number of sources they wish and apt-get away. Sure it will break things, but if you like to tinker it’s just all part of the process. If the Linux Community would do less infighting with this my Distro is better than your Distro crap, Linux would grow by leaps and bounds. Who knows how many get turned off by all this nonsense. Linux provides us with choice, use what fits your budget, lifestyle, but don’t knock others choice. Yes I use Linspire, but also many other distros, like Libranet, Debian, Xandros, Suse and lycoris. All offer something, but I use Linspire, because my whole family feels comfortable using it.
1. Stop this silly Gnome vs KDE trolling! I am primarily a Gnome and XFCE4 user but all the same, KDE is an excellent desktop it’s slightly faster than Gnome and both Gnome and KDE are pretty robust. Its just a personal preference for Gnome but I started Linux as a KDE 1.x user.
2. As I am currently in need of a cheap computer, I am seriously thinking of buying one from sub500.com with Linspire 4.5 pre-installed. I would give Linspire a try ( with KDE as GUI) and get the apps I want from the Debian repositories with apt-get rather than subscribe to CNR. If it didn’t work out to my liking I could then put Mandrake on it.
Still its just an idea.
I hope you find the hardware to you liking & needs.
And keep an open mind; Linspire may work out very well for you. It didn’t in my case, but people have to go with what works for THEM, and not others.
Stop this silly Gnome vs KDE trolling!
UMmm how about no? I will keep expressing my opinion about KDE. It is slow; it crashes; it is ugly; and it is a mistake. People need to know these things.
It is slow; it crashes; it is ugly
Sounds like you’re talking about software in general
“It is slow; it crashes; it is ugly”
I find KDE fast, stable & pleasing to look at. I’ve never had KDE crash on my system, and it works very well.
Perhaps upgrading your video board would improve performance and viewability on your system.
I have to say that some of this is kind of redundant. I’ve used many different distro’s and happen to have a few that I really do like. Not just one. Linspire has been a great OS for me. I have it installed with minimal issues on my Dell Inspiron 5100.
I have Debian and MEPIS installed on a couple other computers.
I am not a guru. I am just a fellow who got a little heated when Microsoft started their activation tactic. I have one computer in my house with XP on it. Have not booted into it for a while now. I’m learning a lot about using Linux. I happen to enjoy using apt-get. I also like using CNR. It is an amazing tool.
Linspire has been an excellent choice for me. I have spent a lot of money on several other distro’s. Roughly $180 on Mandrake alone. That is called support. If you like a distro – support it.
Linspire has and still does support many Open Source projects.
I get the impression that some people believe that all products grow on trees. How do you think a company is supposed to make money? I used to think CNR was overpriced. It was – I was paying $100 a year on it. Now it is only $50 and with that, I get the latest releases of the OS and fairly impressive discounts on commercial software. Free is great – but I have found that you get what you pay for. Even in the Linux world.
This isn’t trolling or a rant. It’s just honest. I use Mac OS X and I’m the one defending LinSpire instead of Linux people. This is nuts.
With all this fertilizer it’s no surprise that Windows users aren’t running to Linux. What they haven’t is relatively easy to use but has a lot of flaws. The one Linux distribution that is just as easy as Windows is LinSpire and all you supposed geeks trash it. They DON’T CARE about your geeky needs. They just want to find apps, install them, and use them. They couldn’t care less about command prompts or 80 different ways to configure and do things.
As for LinSpire. $50 a year is NOT expensive compared to Windows. They are lots of programs that are steeply discounted like StarOffice that is $29 instead of $69. That just one example of many where the Click-n-Run database pays for itself. If you can’t see that you need to pull your head out of whereever it’s stuck. LinSpire is aimed at Windows users. Not Linux geeks. Get over yourselves. Not everything is for or about you.
That should be, “What they HAVE is relatively easy to use but has a lot of flaws.”
Hey Eugenia, how about some way for us to edit our own posts if we make mistakes and don’t catch them until after we post?
They did not go public now because the market is not quite friendly and they probably want the 5.0 release out the door first. That version should really shape the way people view Linspire.
Also, Dark Knight, please refrain from making comments on what you know nothing of. Lphoto, and all the current/future L programs are indeed ORIGINAL.
And CNR programs are free, you are not paying for the programs most of the time, you are paying for the convenience and integration of it all.
Finally, Lindows has been doing better each year and the company has yet to even be 5 years old.
Actually, the market is never friendly. There are two states of the market – greed and fear. Due to external events, the market is primarily in fear mode. The clouds from these external events will eventually pass, and the market will swing back to greed mode. THAT is when Linspire should do their IPO.
As to the OS itself, I run Linspire and Windows on a dual boot system, and my whole family switches between OSes with no problems, due to Linspire’s ease of use. It’s a terrific OS, and a bargain at twice the price…
According to IPO filings, a big part of money from their stock sale was supposed to go to the company owner, to compensate him for his personal investments into Linspire.
Can’t give you exact number, but it was close to $11 million, I believe.
After Microsoft was forced to pay privately owned Linspire $20 million, the owner does not have the reason to rush his company to the very critical and not forgiving stock market.
Linspire is not profitable yet, it is tiny (less than 70 employees), it is hated by “pure Linux followers” for its Windows-like appearance and by “pure Windows followers” for the same.:)
With the cash in hand it may be better to keep working as is than go public and watch stock go down and analysts predict doom and gloom.
They can survive for two years at least, with the cash from Microsoft. It is enough time to make Linspire profitable, or find another area of business.
If you follow Linspire, you should notice that Linspire owner is very much moving into VoIP business.