Linux Distributors
While people can obtain basic
copies of Linux free of cost,
distributors including Red
Hat and Novell charge annual
subscription fees, ranging
from $35 for a desktop version
of Linux to $1,500 for a
high-end server. The reason such
customers are willing to pay?
Those packages come with
instructions, free updates, and
customer service.
Computer Makers
Companies such as Dell, Hewlett-
Packard, and IBM sell PCs and
servers preloaded with Linux.
They capitalize on the ability to
sell machines without an up-front
charge for the operating system,
which can total thousands of
dollars. For HP, Linux sales
accounted for 18% of its $15.4
billion in server revenues last
fiscal year, up from 10% three
years ago.
Software Companies
A swarm of software companies
sell products that run on top of
Linux. About 10% of giant SAP's
corporate-application sales are
derived from Linux-related
products. In addition, upstart
mySQL makes a database
that runs on Linux and already
has reached 6 million installations,
including at powerhouses
such as NASA and Net-search
giant Google.
Technology Linux
How To Profit From Free Software
IBM, Red Hat, and other tech companies pay the salaries of programmers to help improve the Linux operating system. Here's what they get out of it: