Anne Wilson wrote on 16 Jan 2003, 9:41

> It's true that if it comes to the 'bitter end' then difficult
> decisions will have to be made, but I want to address the problem of
> where our money goes.  Much play has been made of the fact that it
> will go to pay off old debts, as though that were a completely
> negative position.  The reverse is the truth - debts mean interest
> payments and control by outsiders, both of which are very much against
> our interest.  Only by getting rid of those debts will they have the
> money and control to pay for the employment of those people we value,
> and who will in the future provide us with the distros that we want to
> see.
>
> Getting rid of those debts is crucial - make no mistake about it - and
> cannot therefore be seen as a waste of our money.

Well yes and no.  If you make the assumption that we need Mandrakesoft
then no it's not a waste of our money.  My point was that we don't
*NEED* Mandrakesoft.  It may be desirable to have them around for
reasons of selling the boxed sets, relationships with OEM, etc...

But as far as the community having the distribution, Mandrakesoft's
continued existence is not a prerequisite.  

As far as outside control.  Mandrakesoft gave up control the instant
they started taking VC money and started selling their stock on a public
market.  The company is in the hands of shareholders now (myself
included).  However, most of these shareholders are undoubtably not Free
Software advocates.  They are simply business people trying to make
money on a market.

Paying off the debts gets debtors off Mandrake's back.  It will not
get the shareholders off their backs.  Unless they find money to buy
back those shares, they'll never be free of that encumbrance as a
company.  

Now the fact that they are public shouldn't necessarily be construed as
negative.  Free software is an unusual business model the world has
never really dealt with before.  It doesn't mean it can't work, but it
does mean it might take some unusual business structures to make it
work.

The disadvantages of a public company is that shareholders are normally
very nervous of unusual business structures.  Ultimately, this fear will
slow the companies moves down.  

The question is then, will they be able to move fast enough to survive
in spite of this?  This is a question to which I do not have the answer.
Though we will all find out with time.

-- 
Ben Reser <[EMAIL PROTECTED]>
http://ben.reser.org

"America does not go abroad in search of monsters to destroy. She is
the well-wisher to the freedom and independence of all. She is the
champion only of her own." -- John Quincy Adams, July 4th, 1821

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