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Open Source in European
                                                                        and Finnish public and
                                                                        private ecosystems

                                                                              Ilkka Lehtinen
                                                                              Executive Director
                                                                              The Finnish Centre for Open Source Solutions
                                                                              www.coss.fi
                                                                              9.12.2009

                                                                              ilkka.lehtinen@coss.fi +358 40 820 4600




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
COSS
                • Founded 2003
                • Strengthening the competitiveness of Finnish
                  and European software intensive industries
                • Catalysing the development of information
                  society supported by OSS
                • Promotes OSS solutions and opportunities for
                  different industrial sectors and user groups
                • Produces communications & business
                  development services for OSS companies
                • Supports the inter-organisational network that
                  enables new value systems to emerge



COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Achievements
           - The Finnish open source business ecosystem can be
           identified and accessed
           - Ecosystem is growing
           - Open source is more and more generally accepted
           - Shared vision about the future is emerging in specific sub-
           ecosystems
           - Businesses are better able to identify their strategies in rapidly
           evolving value networks
           - There is a long term commitment of key stakeholders to
           continue collaboration
           - International co-operation has started



COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Myth # 8: No Money to be made by
           OpenSorce

           • Truth is that most of money in IT Business is made through
             services rather than licensing
           • Open Source is way of producing and distributing software,
             not a businessmodel.
           • ...and the biggest successes in 2000’s have been software
             (OSS) driven businesses such as Google, Amazon, Ebay,
             Sulake Labs, MySQL...




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Why National Competence Center?
           • In relatively small market catalyzator is needed
                    • Avoiding ” chicken-egg” problem


           • Bringing all actors together
                    • Open source ecosystem usually contains new players
                    •
           • Networking, networking, networking
                    • New public services need new approach
                       • Case Denmark – why they are best on using OS in public sector
                       • Case Finland – why they are best on usuing OS in private sector




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Case Denmark – best in Public Sector
           Digital services
           • National funded competence center – softwareborsen.dk

                    • borger.dk and virk.dk -portals have been great success
                    • Iterative developement cycle
                    • Open source approach
                        • Easy and quick adaption of new features

                         • => Result: Denmark is #1 in Public Sector netservices:
                         • Goal: 2012 all correspondence between Public servants and
                           citizen and business entities can be electronic.




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Case Finland – best in OS usage on Private
           Sector
           • COSS focus area has been helping private sector business to
              benefit from OS




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Case Finland – why not good on Public
           Sector
           • No central guidance – money is divided in too small amount's on
              operational level
                    • Buying instead investing
                    •
           • No Public Sector competence centre
                    • COSS has been helping but not focusing because of funding




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Case München
           • LiMux – project: Target is convert major part of desktop's to Open
             Source
           • Project was heavily judged in early phase because of costs
                    • Now these investments are benficial for ALL German cities and
                      muncipalities




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Steps needed on way to benefical OS
           strategy
          • Schools first
                  • If you educate people with OS Solutions they will use them in worklife
                    also
          • Create National Competence Centre with adequate and long term
            funding
          • Collaborate with private business
                  • Work through competence centre
          • Use EU and other avaliable services and networks:
                  • www.osor.eu
                  • www.qsos.org
                  • www.ohloh.net
                  • www.eosdirectory.com
          • Create activity → National Open Source Conference etc.
COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Practical example: Ministry of Justice, FIN
           • Choosing between SmartSuite, MS Office and OpenOffice
           • 11000 workstations
           • Cost comparsion 2006-2011
                                                IBM SS                      MS Office               OO

                  License purch                            668 300 €                2 517 000 €          211 000 €

                  License maint                            737 000 €                3 545 000 €          737 000 €

             Training and support                          200 000 €                    370 000 €        580 000 €

                   Conversions                             105 000 €                    355 000 €        535 000 €

                        Total                            1 710 300 €                6 787 000 €      2 063 000 €




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!
Cost- and productivity studies
OpenOffice.org vs. Microsoft Office
• Ministry of science and technolgy, Denmark
   – ”Choosing an Office Suite” (Devoteam, 2005)
   – 6 organizations
      ” no obvious differences in productivity between Microsoft Office
       and OpenOffice.org ”
• EU Comission study
   – ”Study on the economic impact of open source...”(UNU-MERIT, 2006)
   – 6 european organization (Italy, Irland, Hungary, Macedonia)
      OpenOffice.org equals with Microsoft Office when compared on
       daily document processing work.
                                                                           13
Kiitokset -
           Thank You



        Ilkka Lehtinen
        Executive Director
        ilkka.lehtinen@coss.fi
        www.coss.fi




COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i   JOIN NOW!

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Ilkka Lehtinen Coss

  • 1. Open Source in European and Finnish public and private ecosystems Ilkka Lehtinen Executive Director The Finnish Centre for Open Source Solutions www.coss.fi 9.12.2009 ilkka.lehtinen@coss.fi +358 40 820 4600 COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 2. COSS • Founded 2003 • Strengthening the competitiveness of Finnish and European software intensive industries • Catalysing the development of information society supported by OSS • Promotes OSS solutions and opportunities for different industrial sectors and user groups • Produces communications & business development services for OSS companies • Supports the inter-organisational network that enables new value systems to emerge COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 3. Achievements - The Finnish open source business ecosystem can be identified and accessed - Ecosystem is growing - Open source is more and more generally accepted - Shared vision about the future is emerging in specific sub- ecosystems - Businesses are better able to identify their strategies in rapidly evolving value networks - There is a long term commitment of key stakeholders to continue collaboration - International co-operation has started COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 4. COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 5. Myth # 8: No Money to be made by OpenSorce • Truth is that most of money in IT Business is made through services rather than licensing • Open Source is way of producing and distributing software, not a businessmodel. • ...and the biggest successes in 2000’s have been software (OSS) driven businesses such as Google, Amazon, Ebay, Sulake Labs, MySQL... COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 6. Why National Competence Center? • In relatively small market catalyzator is needed • Avoiding ” chicken-egg” problem • Bringing all actors together • Open source ecosystem usually contains new players • • Networking, networking, networking • New public services need new approach • Case Denmark – why they are best on using OS in public sector • Case Finland – why they are best on usuing OS in private sector COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 7. Case Denmark – best in Public Sector Digital services • National funded competence center – softwareborsen.dk • borger.dk and virk.dk -portals have been great success • Iterative developement cycle • Open source approach • Easy and quick adaption of new features • => Result: Denmark is #1 in Public Sector netservices: • Goal: 2012 all correspondence between Public servants and citizen and business entities can be electronic. COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 8. Case Finland – best in OS usage on Private Sector • COSS focus area has been helping private sector business to benefit from OS COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 9. Case Finland – why not good on Public Sector • No central guidance – money is divided in too small amount's on operational level • Buying instead investing • • No Public Sector competence centre • COSS has been helping but not focusing because of funding COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 10. Case München • LiMux – project: Target is convert major part of desktop's to Open Source • Project was heavily judged in early phase because of costs • Now these investments are benficial for ALL German cities and muncipalities COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 11. Steps needed on way to benefical OS strategy • Schools first • If you educate people with OS Solutions they will use them in worklife also • Create National Competence Centre with adequate and long term funding • Collaborate with private business • Work through competence centre • Use EU and other avaliable services and networks: • www.osor.eu • www.qsos.org • www.ohloh.net • www.eosdirectory.com • Create activity → National Open Source Conference etc. COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 12. Practical example: Ministry of Justice, FIN • Choosing between SmartSuite, MS Office and OpenOffice • 11000 workstations • Cost comparsion 2006-2011 IBM SS MS Office OO License purch 668 300 € 2 517 000 € 211 000 € License maint 737 000 € 3 545 000 € 737 000 € Training and support 200 000 € 370 000 € 580 000 € Conversions 105 000 € 355 000 € 535 000 € Total 1 710 300 € 6 787 000 € 2 063 000 € COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!
  • 13. Cost- and productivity studies OpenOffice.org vs. Microsoft Office • Ministry of science and technolgy, Denmark – ”Choosing an Office Suite” (Devoteam, 2005) – 6 organizations  ” no obvious differences in productivity between Microsoft Office and OpenOffice.org ” • EU Comission study – ”Study on the economic impact of open source...”(UNU-MERIT, 2006) – 6 european organization (Italy, Irland, Hungary, Macedonia)  OpenOffice.org equals with Microsoft Office when compared on daily document processing work. 13
  • 14. Kiitokset - Thank You Ilkka Lehtinen Executive Director ilkka.lehtinen@coss.fi www.coss.fi COSS – the Finnish Centre for Open Source Solutions w w w . c o s s . f i JOIN NOW!