Tuesday, September 10, 2013

India embraces open source to save its economy

The economy crisis in India has caused both corporations and government agencies to move to open source as a way to cut costs and ensure future compatibility.

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The economy in India is doing anything but good and the currency, rupier, has been free falling for some time now. This has resulted in massive increase in license costs for both corporations and government agencies since most licenses are priced in USD.

In order to find ways to cut down the cost of software the Indian magazine The Economic Times has reported that government agencies as well as private companies/corporations are investing significantly into the field of open source software and platforms, instead of the conventional solutions from SAP, IBM and Oracle. These larger corporations include Hungarna Digital Entertainment, Uttam Energy, Bilcare and IGate.

As an example, the CTO of Hungarna, Amit Vora, has claimed that open source solutions can aid in reducing the costs by up to 70%. In addition, open source also ensures future compatibility and that the company will not be dependent on one or a few companies to provide support.

India has had some tradition in open source and for the last two years, more and more companies have been shifting to open source instead of closed source solutions, in particular on the servers. However, the difference now is that the shift to open source also involves critical software such as business-intelligence and CRM software.

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