Line56: Open Source Rules

"Let's face it: The traditional software business model is broken--A recent study by Goldman Sachs shows that in 2005 software companies will spend 82% (up from 66% in 2000) of their new license revenues on sales and marketing. In other words, software firms are charging customers for their sales efforts under the guise of license fees! Since most customers dislike the dreaded sales cycle, I suspect many of them will take their money and put it elsewhere--most likely into software companies who charge less for their sales efforts.

"How can software companies afford to plough most of their license revenues into sales and marketing? The answer is maintenance fees..."

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• ZDNet UK: Open Source Behind Closed Doors(Nov 28, 2005)
• InfoWorld: The Open Source Market Opportunity(Nov 10, 2005)
• ZDNet: An Open Source Value Central to the Internet(Oct 23, 2005)
• InfoWorld: Where Are All the Open Source Marketers?(Aug 25, 2005)