A few months back the city of Munich determined that a software upgrade was in order. City officials decided to move away from Windows XP and Office 2003 and migrate to open source solutions, Linux and OpenOffice.
Apparently, it ticked Redmond off that the city publicly announced to the technology world that it had saved in excess of $14.3 million up until now. Ticked it off so much that Microsoft decided to respond by conducting its own research.
The outcome, you ask? Microsoft says it’s a downright waste of cash.
A report on TechEye.net maintains that analysts at Vole carried out the study of TCO (Total Cost of Ownership) where they found that Munich would have averted expenses totaling $57.23 million had they stayed on Microsoft software.
Microsoft, along with HP (the report was leaked by an employee at the hardware company, by the way) claims that the German city miscalculated the numbers when they said the switch saved them millions.
The gist of the matter is that Microsoft believes the local authorities have compared the migration costs of a decade old Linux platform to those of the latest Windows versions. According to the technology giant staying with Windows XP would have been a much more affordable solution.
It is not often you see Microsoft emphasizing to stick with Windows XP, that’s for sure.
But the major point of contention here is also the Office suite. As Bay Arinze so eloquently elaborated in a recent article, the biggest threat to Microsoft is people moving away from its business software. Microsoft Office has been the de facto standard for years upon years now.
Sure, city authorities making public the cost savings in such as way annoyed Microsoft to an extent. But this is something executives at Redmond would be quite wary about for the future.