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  1Q08 Linux Revenues up 22.6% In China
May 20, 2008

In 1Q 2008, China's Linux revenues reached 38 million Yuan, up 22.6% YOY. This growth has kept up with China's overall operating systems market. Linux revenue share grew by 0.2%, while UNIX share decreased. 1Q08 activities indicate that the Linux ecosystem continues to build.

Linux server side continues as the major application (versus desktop).

Applications for networking, high performance computing and database keep expanding. Linux servers expand to core business applications in government, financial services, telecom and postal services sectors. Linux vendors continue to develop their channels into China's less urban regions and tier 2 and 3 cities.

Interesting developments on the Linux desktop.

Dell, HP, Lenovo and many second-tier PC vendors have already, or are going to, pre-install Linux on their desktops products in China. Moreover, Dell, HP and Lenovo have openly pledged Linux driver support.

And the Linux ecosystem continues to develop.

Intel, IBM, SUN, Oracle, Google, Dell and HP are all providing more Linux support through initiatives such as joint testing programs and conferences encouraging ISVs, SIs, and IHVs to develop applications on Linux.

Industry-specific and customized applications continue; Active development in mobile environments.

Customized Linux applications targeting China's hotel and lottery industries continue, and are the new growth point.

Google, major mobile handset vendors, telecom operators and ISVs are actively developing Linux for the mobile phone Linux OS. The same can be said for ultra-portable PC vendors.

Notable vendor activities in 1Q08.

Red Flag Software launched MIDinux 2.0 (MID = Mobile Internet Devices) with Intel to target development opportunities in mobile Linux. China Standard Software looks to integrate Linux and Office through standards while also addressing security concerns.

Jim Whitehurst, RedHat president and CEO, unveiled the company's R&D center in China. The R&D center will participate in the company's global open source programs, be a platform to promote China's open source environment, foster talent for China's open source and Linux projects, and support ISVs certified by RedHat to promote their software globally.

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Unless otherwise specified, all information provided is sourced from CCID Consulting.

 
         
         
     

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