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Investment in open source software set to rise

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CIOL Bureau
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NEW YORK, USA: The open source software market has reached a turning point, with organizations in the United States, United Kingdom and Ireland now committing to clear strategies and policies for open source software development.

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According to the findings of a survey released today by Accenture, more than two-thirds of organizations (69 percent) anticipate increased investment in 2010, with more than a third (38 percent) expecting to migrate mission-critical software to open source in the next twelve months.

The survey of 300 large organizations in both the private and public sector found that half of the respondents (50 percent) are fully committed to open source in their business while almost a third (28 percent) say they are experimenting with open source and keeping an open mind to using it.

Furthermore, two-thirds of all respondents (65 percent) noted that they have a fully documented strategic approach for using open source in their business, while another third (32 percent) are developing a strategic plan. Of the organizations using open source, almost nine out of ten (88 percent) will increase their investment in the software in 2010 compared to 2009.

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"What we are seeing is the coming of age of open source," said Paul Daugherty, chief technology architect, Accenture.

He added, "Through both our research and our work with clients, we are seeing an increase in demand for open source based on quality, reliability and speed, not just cost savings. This is a significant change from just two years ago when uptake was driven mainly by cost savings. We can expect to see this trend develop as open source continues to evolve and address even more business critical functions."

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When it comes to the benefits of open source, the cost was no longer viewed as the key benefit, with respondents focusing instead on other aspects:

* 76 percent of respondents in the UK and US cited quality as a key benefit of open source

* Two-thirds overall (70 percent) cited improved reliability

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* Better security/bug fixing was cited by nearly as many (69 percent) across both countries.

Cost control with open source

Although cost savings are not the primary driver for open source adoption, half of the respondents (50 percent) do cite open source as contributing to an overall lower total cost of ownership.

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When asked about the greatest cost savings in open source, the vast majority of organizations surveyed believe they can be made on software maintenance costs (71 percent), initial software development time (33 percent) and initial development costs (33 percent).

Open source software development on the rise but companies still not so open to sharing

The volume of open source software development is set to rise over the next three years. In 2009, 20 percent of software developments were in open source. This is expected to rise marginally to 23 percent in 2010 and to 27 percent by 2013.

One notable finding, however, is that less than a third (29 percent) are willing to contribute their own solutions back to the community.

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