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February 18, 2004
Localization of software and emerging markets
Interesting article over at CNet (via /.arguing that localization (providing local language support) could turn out to be one of the drivers for adoption of open source software in emerging markets.
For now, such projects are largely curiosities. But analysts say they could present a significant long-term threat to Microsoft's dominance on PC desktops. Regions and language groups that don't have enough of a PC market now to justify development of proprietary commercial software will naturally turn to open-source alternatives, they say. And by the time those markets become big enough to draw the attention of Microsoft and other commercial software makers, open-source could be as entrenched as Microsoft is in developed countries now.
The article cites localization efforts underway at OpenOffice and presents the argument that since open source development is effectively decoupled from market forces and since open source is, well, open source, you could see grassroots efforts resulting in localization ahead of the growth in demand that would draw the attention of a Microsoft.
Open-source advocates believe they have the upper hand, however. By separating software development from profit motives, they can respond more quickly and completely as computing communities arise."It's one of those areas where proprietary software companies are fundamentally at a disadvantage because of their method of allocating resources," said Hiser. "You've got markets that are fragmentary at best, where software as we know it is not economically viable. But that doesn't matter for an open-source project. You just have to have a need and some people willing to work..."
Meanwhile, Microsoft isn't standing still either - see here for MSFT's Office localization for the Indian market.
The article also references another recent Cnet piece on Microsoft's recent decision to segment the Windows and Office product lines by creating an entry-level version to enter the Thai market.
Posted by Narasimha Chari at 09:48 PM in marketing, open source, Product Management, software | Permalink
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Comments
Wouldn't Microsoft just treat these emerging markets like start-ups... turn a blind eye (even potentially encourage it) to piracy of their software until the markets become succesful enought to afford it. In fact, it is hard to imagine, that many of these emerging countries will ever evolve their IP legal systems to a point where someone could collect licensing fees anyway (site cultural differences). Unless of course you buy this whole "globalization" broo-ha-ha. ;)
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