Re: [Marketing] Investing In Research Development

2006-01-16 Thread Simon Phipps


On Jan 11, 2006, at 23:50, Graham wrote:

I've rarely seen this explained so succintly,  a definite addition  
to my quote file.

Thanks



Thanks, Graham.  I have turned it into a blog posting[1] so I can  
find it again when I need it.


S.

[1]  http://blogs.sun.com/roller/page/webmink?entry=free_r_d


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Re: [Marketing] Investing In Research Development

2006-01-13 Thread WebDev
On Monday 09 January 2006 11:41 pm, DC Parris wrote:
 Greetings!

 I am responding to an article that claims Microsoft invests $50b/year in
 RD - as if the libre software community doesn't invest in RD.  I believe
 it does.  Can the OOo team help me quantify what gets invested in RD?  I
 am also contacting some other major projects, but would like to get some
 input from the folks at OOo.

 Don

I appreciate everyone's input.  My article on this has been published:

Linux News raises questions about Microsoft's alleged $6 billion per year 
investment in RD. Is it money well spent, or are they just throwing it away?  
How does their investment compare to that of the Libre Software community.

http://lxer.com/module/newswire/view/51763/index.html

Enjoy!

-- 
Web Developer
Oakdale Christian Fellowship
http://matheteuo.org/

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Re: [Marketing] Investing In Research Development

2006-01-11 Thread DC Parris

On Tue, January 10, 2006 21:37, Simon Phipps wrote:

 On Jan 11, 2006, at 02:24, Steven Shelton wrote:

 Simon Phipps wrote:
 I was with you at the beginning of that, Don, but I'm surprised to
 hear you saying free RD given what you've written on LXer
 recently. It's not free/gratis. It costs every one of us time,
 many of us money as well. As the cost of the R  D is not bourne
 by a single entity, you're right that it's pointless to try to
 estimate a dollar value for it unless you also establish the
 exchange rate. But it's not free/gratis. Each community member
 invests according to their ability and goals, and they do so
 because they expect to see a return on that investment on their
 own terms and timescale.

 I think that what he was saying is that it's free to the company
 that takes advantage of it, not to the people who actually do the RD.

 While there are contexts in which it's perhaps reasonable to say
 that, *in the context Don is discussing* I'd assert that's missing
 the point. That only works if you think you're an island[1].  Each of
 us has to put in effort, and each of us will yield a return. Saying
 that compared to Microsoft's $50bn investment all of F/OSS is free
 both perpetuates the abuse of the word free and perpetuates the
 idea that open source is about freeloading.

 It only matters in Don's original context though. Not worth an
 argument :-)


 S.

 [1]  http://polyticks.com/home/Visions/NoManIsl.htm


My point was that companies may not be paying for the RD.  Still, your
point is well taken, and is part of my point.

Don
-- 
DC Parris
http://matheteuo.org/  http://chaddb.sourceforge.net/
Hey man, whatever pickles your file!

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Re: [Marketing] Investing In Research Development

2006-01-11 Thread Lars D . Noodén
Another route would be to question the basis of MS' claims for investing 
$50 bn in RD.  After all, what are the visible results, we'd expect some 
results, right?


I am fairly skeptical that far from the full amount is actually used for 
research or development.  One reason for this skepticism is that for a 
while MS' form 10k, 10q and corrections seemed to suggest that marketing 
was the largest expense.  When people started laughing at them publicly 
for it, there came a series of high profile announcements proclaiming the 
emphasis on RD.


http://www.sec.gov/cgi-bin/browse-edgar?type=10dateb=owner=includecount=40action=getcompanyCIK=789019

I don't know how one would dig deeper, but I suspect a lot of Microsoft's 
budget under the heading 'research and development' is in practice still 
used on marketing and/or legal fees.


-Lars
Lars Nooden ([EMAIL PROTECTED])
Software patents endanger the legal certainty of software.
Keep them out of the EU by writing your MEP, keep the market open.

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Re: [Marketing] Investing In Research Development

2006-01-11 Thread Graham

Simon Phipps wrote:



I was with you at the beginning of that, Don, but I'm surprised to  
hear you saying free RD given what you've written on LXer  
recently. It's not free/gratis. It costs every one of us time, many  
of us money as well. As the cost of the R  D is not bourne by a  
single entity, you're right that it's pointless to try to estimate a  
dollar value for it unless you also establish the exchange rate. But  
it's not free/gratis. Each community member invests according to  
their ability and goals, and they do so because they expect to see a  
return on that investment on their own terms and timescale.


For some, the return is in the form of social good achieved, for  
example in enabling communities in the two-thirds world to function  
on equal terms with the globalisers. For others, the return is  
achieved in de-positioning commercial competitors who believe  
closed is a commercial advantage. For some, the return is achieved  
in the sustaining of a market in which their services have commercial  
value. For some, the return is achieved through the commercialisation  
of a software product built with code from the community in which  
they participate. For some, the return is a sense of satisfaction in  
working with software. All of these and more are in-play, and the  
dollar value of the investments is not really subject to analysis.


To describe the work of each of these community members as free/ 
gratis is to allow the framing of the conversation by the old world.  
The truth is that each open source community is built from a diverse  
mix of participants, each present on their own terms and for their  
own purposes and each working at cost to themselves in order to  
achieve the return they seek, without concern over either the costs  
or goals of other community members. /Each member is responsible for  
covering their own costs/ and because of that there's a level playing  
field for all participants.


So please don't say we're here providing free RD. The actual  
investment is huge, I would guess of the order of trillions of  
dollars for the aggregate F/OSS communities globally measured in US  
salaries. But no-one ever sees that cost because the F/OSS community  
is constructed from individual project communities each of which  
bears its own cost in exchange for its own return on its own terms.  
It's a different model and we collectively need commentators to  
realise that distributed participation is not the behaviour of anti- 
commercial crazies but rather the effective response of a global  
software community to globalisation by monopolists.


Please instead say measured the same way, the investment of the FOSS  
community of communities undoubtedly exceeds Microsoft's by an order  
of magnitude or more, but that's not relevant to the way F/OSS  
works. Take the opportunity to reframe the conversation.


Warmly,

Simon


I've rarely seen this explained so succintly,  a definite addition to my 
quote file.

Thanks

--
Graham Lauder
OpenOffice.org Marcon (Marketing Contact) NZ
http://marketing.openoffice.org/contacts.html

INGOTs Gold Assessor Trainer
http://www.theingots.org

Member Opendocument Fellowship
http://www.opendocumentfellowship.org

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Re: [Marketing] Investing In Research Development

2006-01-11 Thread Lars D . Noodén

On Wed, 11 Jan 2006, Alex Fisher wrote:
[snip]

They spend it on research and development for sure... Researching the market,
and developing their marketing ploys, researching their competitors patent
portfolio, and developing their own The term Research and Development
can mean anything you want it to (a bit like statistics, really).

[snip]

Then it will be important for Don's article to at least address the 
divergence between the definition MS uses and the definition used by 
everybody else.  A harder, but maybe with more results would be to find 
out how much of the mythical $5bn MS is really spending on RD.


On the humorous side of things maybe the dictionaries distributed with 
MS product include the MS definitions? e.g.


Last night two guys tried to innovate my wallet near the Greyhound
station.
or
I couldn't get extra tickets to the game because scalpers we
researching and developing them for three times the original price.
or
Prisma had a full page study in the paper about a 15%
discount next Saturday.
or
When the drive shaft on my car shattered, it cost me 1200 to get
that feature repaired.  That car is getting so many features
these days it's probably time to buy a new one.

-Lars
Lars Nooden ([EMAIL PROTECTED])
Software patents endanger the legal certainty of software.
Keep them out of the EU by writing your MEP, keep the market open.

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Re: [Marketing] Investing In Research Development

2006-01-10 Thread Charles-H.Schulz
Hello Don,

DC Parris wrote:

Greetings!

I am responding to an article that claims Microsoft invests $50b/year in
RD - as if the libre software community doesn't invest in RD.  I believe
it does.  Can the OOo team help me quantify what gets invested in RD?  I
am also contacting some other major projects, but would like to get some
input from the folks at OOo.
  

I think you may want to differentiate between hard budget spending in
the context of a corporate RD effort and the way RD wors in FOSS
communities. You can for instance ask to Sun, Novell, or Red Hat how
much they are spending for desktop Linux (OOo only would be too narrow
for real RD), but that would really be the visible edge of the iceberg.
Also, note that innovation happens elsewhere and that many new successful
FOSS projects started out of nothing and became funded and populated by
people paid by companies. I think Beagle is a good example of that, but
I may be wrong.
Hope this helps,
Charles.

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Re: [Marketing] Investing In Research Development

2006-01-10 Thread John McCreesh
On Mon, 2006-01-09 at 23:41 -0500, DC Parris wrote:
 Greetings!
 
 I am responding to an article that claims Microsoft invests $50b/year in
 RD - as if the libre software community doesn't invest in RD.  I believe
 it does.  Can the OOo team help me quantify what gets invested in RD?  I
 am also contacting some other major projects, but would like to get some
 input from the folks at OOo.
 
 Don

To compare like with like, you may need to look at developer manhours
per annum generated by Microsoft compared to the open-source
community...

John


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Re: [Marketing] Investing In Research Development

2006-01-10 Thread DC Parris
On Tue, January 10, 2006 13:42, John McCreesh wrote:
 On Mon, 2006-01-09 at 23:41 -0500, DC Parris wrote:
 Greetings!

 I am responding to an article that claims Microsoft invests $50b/year in
 RD - as if the libre software community doesn't invest in RD.  I
 believe
 it does.  Can the OOo team help me quantify what gets invested in RD?
 I
 am also contacting some other major projects, but would like to get some
 input from the folks at OOo.

 Don

 To compare like with like, you may need to look at developer manhours
 per annum generated by Microsoft compared to the open-source
 community...

 John


Here's the general gist - which I have communicated to most of the folks
I've contacted:

The gist of my article is that RD for GNU/Linux and FOSS has to be
considered on a different basis than Microsoft's approach.  As an example,
Microsoft may well spend $50 billion/year in RD.  Against the backdrop of
what they distribute, it seems like they're throwing money away.  After
$50b, a WMF vulnerability puts 600 million users at risk.  On the FOSS
side of the house, no single company has a need to invest $50 billion/year
because they are essentially getting free RD, and much of that goes
unaccounted for.

Don
-- 
DC Parris
http://matheteuo.org/  http://chaddb.sourceforge.net/
Hey man, whatever pickles your file!

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Re: [Marketing] Investing In Research Development

2006-01-10 Thread Simon Phipps


On Jan 11, 2006, at 02:24, Steven Shelton wrote:


Simon Phipps wrote:
I was with you at the beginning of that, Don, but I'm surprised to  
hear you saying free RD given what you've written on LXer  
recently. It's not free/gratis. It costs every one of us time,  
many of us money as well. As the cost of the R  D is not bourne  
by a single entity, you're right that it's pointless to try to  
estimate a dollar value for it unless you also establish the  
exchange rate. But it's not free/gratis. Each community member  
invests according to their ability and goals, and they do so  
because they expect to see a return on that investment on their  
own terms and timescale.


I think that what he was saying is that it's free to the company  
that takes advantage of it, not to the people who actually do the RD.


While there are contexts in which it's perhaps reasonable to say  
that, *in the context Don is discussing* I'd assert that's missing  
the point. That only works if you think you're an island[1].  Each of  
us has to put in effort, and each of us will yield a return. Saying  
that compared to Microsoft's $50bn investment all of F/OSS is free  
both perpetuates the abuse of the word free and perpetuates the  
idea that open source is about freeloading.


It only matters in Don's original context though. Not worth an  
argument :-)



S.

[1]  http://polyticks.com/home/Visions/NoManIsl.htm

smime.p7s
Description: S/MIME cryptographic signature


Re: [Marketing] Investing In Research Development

2006-01-10 Thread Steven Shelton

Simon Phipps wrote:
I was with you at the beginning of that, Don, but I'm surprised to 
hear you saying free RD given what you've written on LXer recently. 
It's not free/gratis. It costs every one of us time, many of us money 
as well. As the cost of the R  D is not bourne by a single entity, 
you're right that it's pointless to try to estimate a dollar value for 
it unless you also establish the exchange rate. But it's not 
free/gratis. Each community member invests according to their ability 
and goals, and they do so because they expect to see a return on that 
investment on their own terms and timescale. 


I think that what he was saying is that it's free to the company that 
takes advantage of it, not to the people who actually do the RD.


--
Steven Shelton
Twilight Media  Design
www.TwilightMD.com
www.GLOAMING.us

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Re: [Marketing] Investing In Research Development

2006-01-10 Thread Cor Nouws

Hi Don,

DC Parris wrote:

Greetings!

I am responding to an article that claims Microsoft invests $50b/year in
RD - as if the libre software community doesn't invest in RD.  I believe
it does.  Can the OOo team help me quantify what gets invested in RD?  I
am also contacting some other major projects, but would like to get some
input from the folks at OOo.

Don


Thinking in percentages, I always get the impression that MS works with 
the 20-80 rule: 20% quality, 80% marketing.


Seeing the rare ocurence of OOo-advertising, 90-10 at least is 
appropriate for OOo, IMHO.


Greetings,
Cor


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