New Delhi, July 12, 2010 – The Linux server operating system (OS) has grown its way to a prominent position in the Indian server OS market, with its adoption rate increasing from 7.0% to 8.1% (and rising) over a 13-month period (since April 2009), per the latest research from Springboard Research. The rise in Linux adoption in India has been fuelled by procurements coming from a wide range of verticals including the government, education and enterprise segments.
Small and Medium Businesses (1-999 devices) dominate the Linux server OS market with an adoption growth rate of 8.3%, 2.4 percentage points higher than that for large enterprises (>1,000 devices). Factors such as low cost of ownership, a perception of minimized security threats, lack of piracy-related issues and a strong online support community have been the main growth drivers for Linux adoption. Constrained by limited budgets, Linux proved to be the right product for SMBs who were looking for a solution that could help them meet their business goals at a low cost.
“An interesting trend that has gained momentum in the recent past is the SMB demand for customized solutions. Today, enterprises look for products and solutions specifically designed to meet both their and their customers' needs and open-source solutions offer that flexibility,” said Sameer Bhatnagar, Senior Research Analyst at Springboard Research. “Also, high technical skill availability is one of the key accelerators of greater Linux adoption in India.”
Engineering Companies Lead Adoption across India
Springboard’s study notes that among all verticals, engineering led in Linux server OS adoption, with a healthy amount of Linux server OS installations coming from engineering, energy and entertainment sectors. Other verticals such as software, non-profit, education, government, BFSI (banking, financial services and insurance), and telecom have also actively started adopting open source solutions. Pricing coupled with a perception of strong server security are the key reasons for growing adoption of Linux-based servers across various verticals. This growing demand has led other OSS players like Red Hat and Novell, among others, to aggressively target the enterprise segment.
Linux vs. Windows (Server) Adoption Trend
Despite the growing installed base of Linux servers across the large enterprise and SMB segments, Windows still holds the upper hand in server OS adoption (91.8%) in India. In particular, Windows 2003 showed the highest adoption rate of 70%, an increase of 2.8 percentage points over a 12-month period.
“In spite of Linux’s gains in the SMB market, Microsoft’s platforms continue to monopolize India’s overall OS market and Linux is still only a distant threat, especially considering that many customers are not convinced of Linux support for mission-critical business requirements,” said Manish Bahl, Director, India and Research Operations. “To make headway in the large enterprises segment, the priority should be to increase Linux awareness by building an ecosystem of ISVs that support deployment while training partners for better reach,” Mr. Bahl added.
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About This Study
This report by Springboard Research provides a comprehensive analysis of the Linux marketplace in India. The study is intended to help outline major trends in India, including the relative maturity of Linux and the adoption rates of the leading server platforms across the region. Data has been compiled from 408,756 OS server devices in India. On-demand data reports are available based on a number of different metrics, including industry, enterprises, and date (year and month). More details about this report are available on Research Central.
About Springboard Research
With visionaries others pursue, methods others neglect and ideas others don’t consider, Springboard Research not only seeks to lead an industry – it seeks to transform it. Leveraging its pioneering research model and industry thought leaders, Springboard provides greater insight, analysis, and innovation specific to global emerging markets. Working with leading technology vendors, IT professionals, and local channels, Springboard helps its clients lead, rather than follow, market trends.
Springboard has a global presence with research centers in Australia, China, India, Japan, Malaysia, Pakistan, Singapore, the UAE, and the US. It has been acknowledged as an emerging leader and for the last three years been named a “Rising Star” in the global IT market research industry by Outsell, the leading research and advisory firm for the information industry. For more information and access to Springboard’s research, please visit www.springboardresearch.com
Media Contacts
Jonita Dhani, Marketing Executive
Springboard Research
91-11-4051-8252
[email protected]
Manish Bahl, Director, India and Research Operations
91-11-4051-8237
Sameer Bhatnagar, Senior Research Analyst
91-11-4051-8246