Actually it is pronounced "Open Source."  I chose this title because I have determined a definite demographic line in the computing world.  I am 45 years old.  I remember the golden age of IBM in the '70s and '80s, and then their fall from grace in the '90s as Microsoft came on strong.  I still remember going to COMDEX and sitting with my 20 and 30 something peers pointing out how IBM just didn't get it.  They just didn't understand the freedom and power that came with the Microsoft personal computing paradigm.

Guess what?  We are entering a new paradigm and I am now in the generation that doesn't see it coming; much like the IBMers of the '80s and '90s.  That paradigm is Open Source.  Before you leave thinking I am a complete anarchist; let me state for the record that I am an ardent free market supporter.  I also believe there is a market for traditional licensed software.

Years ago I use to put a formula up on the screen at all of our sales force meetings - "VALUE = MARGIN."  The premise is this;  the greater the value an organization can demonstrate the greater the margin can be derived from that value.  All products follow a similar lifecycle.

1. Add market value where other products miss.
2. Gain market share based on this market value differential.
3. Watch competitors adopt this new value.
4. Jump to Step 1, Get Acquired, or Die!

The challenge with software development today is globalization.  A market value opportunity available in the United States today may already be identified in another part of the globe.  Now factor in the web and the ability for individuals to organize and communicate 24 hours a day 365 days a year.  So, someone sees a market value opportunity in Taiwan, gets with a buddy in Europe and finds the same opportunity.  They spend one day googling for a solution and don't find it.  They set up a WiKi and find others with the same market deficiency.  Finally, they band together into a development team and solve the problem in an Open Source paradigm.  Not only do they solve the additional value issue but they build a competitive product to a licensed product.

So the $700B dollar question (I upped it due to inflation) is:  "Where is value left that can generate revenue?"  The answer lies in Open Source's one deficiency - relationship.   Products don't sell, train, and maintain themselves.  The most capable solution is an entity that maintains a personal relationship with the end-user.

Now back to my opening paragraph.  "No one ever got fired for buying IBM" was the statement of the day in the '80s and '90s.  Today we supplant the name IBM with any of a dozen names.  The statement is still used by those in the 40+ year old bracket.  Those in their 20's and 30's are experimenting with open source products on a daily basis, all the while looking at my generation and shaking their head - "They just don't understand the freedom and power that comes with the open source computing paradigm."  History always repeats itself.