Microsoft CEO Ballmer: United, we'll stomp on Linux

CNET News.com ^ | September 24, 2002 | Peter Judge

[HAL9000]

Microsoft's taking a leaf out of Linux's book to fight off its open-source rival--it's calling its dedicated band of supporters to arms.

Although the software company cannot compete against Linux on price, the company will use its community of professionals to outsmart the open-source movement, CEO Steve Ballmer told an audience of Microsoft Most Valued Professionals (MVPs) in London on Monday.

"Linux is a serious competitor," said Ballmer. "We have to compete with free software on value, but in a smart way. We cannot price at zero, so we need to justify our posture and pricing. Linux isn't going to go away--our job is to provide a better product in the marketplace."

He acknowledged there was more to Linux than free software--the main benefit of the open-source movement was the community developing software and sharing ideas. "Linux is not about free software, it is about community," he said. "It's not like Novell, it isn't going to run out of money--it started off bankrupt, in a way."

Technology like clustering would be better in Windows than Linux eventually, said Ballmer: "We will beat Linux on clusters. We can't beat them on price, but we have to add value."

The MVP initiative will be a big part of Microsoft's efforts to promote a sense of "community" among users and developers, connecting its own product developers with the users most in touch with product issues.

Microsoft is considering extending its shared-source initiative, currently limited to large users such as governments and universities, to MVPs. This would give them smart-card access to much of the Windows source code, Ballmer said. There will be a decision on this in the next couple of months, said Lori Moore, vice president of product support services at Microsoft. "There are many options on the table," she said. "There are many ways to be more open, and we are reviewing ideas."

For nine years, the company has designated users with particular skills--usually seen by how often they intervene helpfully in newsgroups--as "most valued professionals". Currently there are about 1,200 MVPs, half of whom are in the United States.

The title is highly regarded, said Thomas Lee, a Windows 2000 MVP who specializes in directory issues, and has just been appointed as chief technologist at QA Training. "You are recognized by your peers, not by an exam that you can cheat in."

Linux and its community have a symbiotic relationship, Lee said: "You don't have that same thing at Microsoft, but there are people who are passionate and technical who are committed to doing a great job."

While Ballmer stopped short of advocating Microsoft's old "security through obscurity" policy, he pointed out that publicly posting bug fixes often prompted attacks. "The hacker waits till a fix is posted, then writes an attack and sends it out," he said. Such attacks are based on information in the fix. The answer is to make sure that fixes are easier to distribute and implement so the user base is up to date, he said.

Asked by one lateral-thinking MVP whether Microsoft planned to offer applications software on Linux, Ballmer said no, adding that the big issue was a reluctance to accept legal liability for open-source software.

"We do not anticipate offering software on Linux," said Ballmer. "Nobody pays for software on Linux." Even StarOffice, sold by Sun, was originally a free product, he said. And IBM, arguably the No. 1 player in the Linux market, promotes Linux to big users, but does not actually sell Linux: "It's weird. IBM says 'Hey British Aerospace! Buy Linux...from SuSE.'"

[HAL9000]

Ballmer: United, we'll stomp on Linux

According to Netcraft, Linux has been stomping on Microsoft lately -

The Netcraft Web Server Survey is a survey of Web Server software usage on Internet connected computers. We collect and collate as many hostnames providing an http service as we can find, and systematically poll each one with an HTTP request for the server name.

In the August 2002 survey we received responses from 35,991,815 sites.

Market Share for Top Servers Across All Domains August 1995 - August 2002

[Campion]

Ballmer said no, adding that the big issue was a reluctance to accept legal liability for open-source software.

This is, of course, different from M$'s "reluctance to accept legal liability" for their current offerings. (not!)

[Glenn]

Linux has been stomping on Microsoft lately - The Netcraft Web Server Survey is a survey of Web Server software

Really? That's a survey of web server software. Not operating system software. You can run Apache on Mac, AS/400, Windows and embedded OS's.

Are you a journalist?

[js1138]

I can recall when MS set out to compete with Netscape. They were, of course, crushed.

[HAL9000]

Are you a journalist?

No, just a Microsoft customer since 1978.

[HamiltonJay]

Technology like clustering would be better in Windows than Linux eventually, said Ballmer: "We will beat Linux on clusters. We can't beat them on price, but we have to add value."

Clustering will never be better on windows... the overhead of the OS will never allow it to outperform Unix or its derivatives... its that simple. Hasn't MS learned its lessons from Gates rediculous claims about performance years ago etc etc...

Asked by one lateral-thinking MVP whether Microsoft planned to offer applications software on Linux, Ballmer said no, adding that the big issue was a reluctance to accept legal liability for open-source software.

What a lie!!! They won't develop application software for Linux because they want as few people on Linux as possible. This is simply MS attempting to protect its OS core at the cost of its applications. MS should stick to desktops, be good at downloading porn and word processing and browsing and you will be fine.. but attempt to go after server market and you will continue to have your arse handed to you.

[HamiltonJay]

Netscape was doomed to fail from day one, the decisions made by that company in the first 12 months of its existance made it next to impossible for them not to be outdone by someone. OF course MS's illegal business practices didn't help matters either (and yes they were illegal and declared so by various courts so please don't argue they weren't)

[rdb3]

The Penguin Ping.

Wanna be Penguified? Just holla!

Got root?

[Still Thinking]

He acknowledged there was more to Linux than free software--the main benefit of the open-source movement was the community developing software and sharing ideas.

No, in my opinion, the benefit to Linux is that is open to inspection (therefore less likely to harbor mommy-knows-best backdoors) and it doesn't come with a EULA requiring you to bend over, grab your ankles, and hang a sign over your ass that says "Hey, Bill, care for a poke?"

Is InnocentBystander no longer? I've missed his posts and as an ex-Softie, he might have some interesting thoughts on this issue.

[js1138]

I'm just commenting on Microsoft's ability to compete. They also have a cat-like ability to wait for their prey.

Say whatever you will about their ethics, but they can see market trends, and they have the cash to deliver any product the public wants.

[HEY4QDEMS]

Oracle application server uses Apache as it's base and it has absolutely nothing to do with Linux

[stainlessbanner]

We cannot price at zero

I thought IE was zero cost...that's how they beat NS-browser. Ironically, Ballmer claims MS beats Linux on "value"....

value is the very thing MS customers are questioning!

[eno_]

Microsoft is considering extending its shared-source initiative, currently limited to large users such as governments and universities, to MVPs. This would give them smart-card access to much of the Windows source code, Ballmer said.

Ha ha. Ha ha ha. Ha ha ha ha ha ha ha ha ha.

Unless and until I can modify and build a Windows kernel, "shared source" is a joke. Smart card access? Oh my sides hurt from laughing.

I can't believe they don't know this is inadequate. Either they don't actually have any response yet, or are still in deep denial.

[stainlessbanner]

"It's weird. IBM says 'Hey British Aerospace! Buy Linux...from SuSE.'"

It generates business and support contracts for Global Services. Is Ballmer really that dense?

[Poohbah]

Apache runs on Windows NT and 2000. It's not a Linux-only package. This chart should break out the various flavors of Apache to give a truer picture.

[fporretto]

I recall someone saying that Microsoft isn't foremost an engineering company, but a marketing company. In a sense, that orientation has belonged to Microsoft since Bill Gates wrote the first BASIC interpreter for the Intel 8080.

Microsoft's most important offerings were not Microsoft breakthroughs, but rather capitalized on breakthroughs by other institutions and shaped to fit the emerging mass market for computers. In the most egregious case, MS-DOS, Gates bought the system from Seattle Computer Products and resold it to IBM for a king's ransom, thereby turning someone else's work into the seed fortune that allowed Microsoft to pursue microcomputer software dominance. The only value added to SCP's original CP/M-like system was Gates's knowledge that IBM was in the market for such a thing, which SCP did not know.

You have to admire a successful middleman -- and Microsoft fits the bill. Having said all that, let me add that I've just counseled my company to base its next-generation labs on Linux and open-source tools, because we absolutely must control what we depend on. Circumstances alter cases, and all that.

Freedom, Wealth, and Peace,
Francis W. Porretto
Visit The Palace Of Reason: http://palaceofreason.com

[eno_]

I'm guessing it won't make a big difference to break out Apache by platform. Look at the right end of the chart: It shows Microsoft's final victory over all commercial competition in 2001. In 2002, it shows that Microsoft's victory over everyone else was masking Apache momentum. Is it plausible all that Apache growth is on Windows servers? I don't think so.

[eno_]

I recall someone saying that Microsoft isn't foremost an engineering company, but a marketing company.

A common misconception but very wrong. Look at how universally abhored Palladium is. This is a disaster on the scale of New Coke, only Microsoft has damaged itself two years before the product even ships. People had to taste New Coke before they realized it was crap.

Microsoft's success is that, until there was free/Free software, Microsoft's products were always cheaper than the alternatives and they were good enough for 80% of everyone's needs. So Microsoft will continue to win relational database market share because Oracle is so outrageously expensive and only a small number of users NEED what only Oracle can do. But in sever OSs and Web servers, they are screwed. Microsft is asking WAY too much money for server software. It isn't the difference between a $99 Win XP upgrade and a free Debian download that will kill them, it is the differnce between $20,000 of MS server software licenses and a free Debian download that will kill them. If you are building a large-scale Web service, the license savings can be in the millions. Google could never have happened without free/Free software.

And with Palladium, Microsoft is doing their best to drive away desktop users, too.

[narby]

The only value added to SCP's original CP/M-like system was Gates's knowledge that IBM was in the market for such a thing

Ever see a "user number" (I think it was called in CP/M) in MS/Dos? That was equivalent to the unix-like subdirectory MS added to the SCP original in DOS 2.1. That was quite a huge value added by MS from the original user number paradigm.

Don't know my DOS history for certian, but I'd bet the original 1.10 DOS without subdirectories was close to the original SCP version.

[Dominic Harr]

OF course MS's illegal business practices didn't help matters either (and yes they were illegal and declared so by various courts so please don't argue they weren't)

Predatory pricing works.

That's why monopolies use predatory pricing to prevent a free market.