Dell to Sell Computers Loaded with Linux

Dell is the second largest computer maker in the world, and like a lot of second place entities, it would like very much to be first. One way to do that is to listen to customers, and Dell launched its IdeaStorm about a month ago to get information from people who buy computers. Dell has already learned that there is great demand for Linux operating systems. Some 70% of IdeaStormers said they’d use Linux boxes if they could get them. So, Dell is going to start selling them.

In a statement on its website, Dell said, “Dell has heard you and we will expand our Linux support beyond our existing servers and Precision workstation line. Our first step in this effort is offering Linux pre-installed on select desktop and notebook systems. We will provide an update in the coming weeks that includes detailed information on which systems we will offer, our testing and certification efforts, and the Linux distribution(s) that will be available.”

This is a huge challenge to Microsoft for a couple of reasons, and readers must bear in mind that this journal is produced using Linux. First, it proves beyond a doubt that Linux is user-friendly enough for the casual computer operator. Second, the move comes at a time when Microsoft’s new operating system Vista is not flying off the shelves. Third, once users discover that free software like Linux can do everything Microsoft’s does (and usually better), spending on software is going to be scrutinized as never before. And fourth, Linux by its very nature is almost completely immune to viruses (certainly it’s more resistant than MS operating systems), and this difference may undermine the MS market position.

For Dell, this means lower prices yet fatter margins. Because Linux is free (Linus Torvald, its creator, gets a special place in computer heaven), Dell doesn’t have to pay Bill Gates’ licensing fee (retail, the cheapest version of Vista is $99 or so, and Windows Vista Ultimate runs $259). That can partially be passed on to the consumer and partially pocketed by Dell. Moreover, there is open source (that is “free”) software out there that will do everything MS Office does (again, often better), and that represents a further savings.

It is quite possible that Dell has made a mistake, and that the 70% of IdeaStormers who said they’d buy Linux boxes were fibbing. More than likely, though, the products will sell, and that will encourage Gateway and others to reassess their “MS-only” policies. The winners will be those who buy personal computers, either desktops or laptops. And the losers, well, it’s hard to say that a man with $50 billion loses in business, yet that's how it looks.

© Copyright 2007 by The Kensington Review, Jeff Myhre, PhD, Editor. No part of this publication may be reproduced without written consent. Produced using Fedora Linux.

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