“Open source software is no threat”

Says Larry Ellison in this article:

“Open source is not something to be feared. Open source is something to be explained. Open source wins not because it’s open and not because it’s free. Open source wins only when it’s better

He also says:

“Whenever open source gets to be better than what we do, like in the case of Apache and Linux, we will simply adopt it, distribute it and support it.”

This really sums up what the effect of open source. Of course in some cases, you would want to go for ‘open’ code but generally in the enterprise world, the cost of software is not the main concern as much as the ‘performance’ of the software.

In Larry’s words:

“The purchase price of software is only about 10 percent of the total cost of ownership of software. So even if the software is free, the most you can save is 10 percent off. Now the question is, what are your other costs of developing applications, of running applications on a daily basis, of dealing with problems when they occur?”

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