>>Now, it seems that MS is planning on releasing "Windows .NET web server", a >stripped down version of the WinXX platform, at a greatly reduced price, or >even free, in an effort to combat Linux. See:
>>http://www.cw360.com/bin/bladerunner?>REQUNIQ=1021490350&REQSESS=GG44721G9&REQHOST=site1&2131REQEVENT=&CFLAV=1&CCA>T=-99999&CCHAN=-99999&CARTI=112468
>

The real implications of that news is not that Microsoft is attempting to "combat" Linux. Few of those now running Linux will ever return to a Microsoft platform. It is also obvious that more of those trying Linux for the first time are staying with it than are returning to WinXX, else Linux wouldn't be posing the threat to WinXX that Microsoft percieves it to be.

Then who is Microsoft marketing a stripped down .NET web server version of Windows to? Current WinXX users, that's who. But, it is a doubled edge sword. By offering current WinXX users a cheaper (or free) .NET web server they are eliminating sales of their much more expensive WinXX+IIS combo. For a software house that is already experiencing a possible 75% ground shift in their customer base away from XP or subsequent offerings, this tactic could be a fianancial disaster. And, if it comes with a variation of the License 6 model, especially the part that levies a license on all PCs in an organization, not just those running WinXX, it will meet the same resistance.

One has to ask... is this the end of a monoply and the beginning of a more level playing field? Can Microsoft survive if they can't make the rules of the game as they play it? For example, now that Walmart is offering computers that include peripherals that can be used by any OS, and at prices that put OEMs featuring WinXX at higher prices at a competative disadvantage, can those OEMs continue to compete without following Walmart's lead? Can Microsoft continue to force OEMs to abide by secret agreements that are violations of the Sherman-Clayton antitrust act? Can Microsfot buy off Walmart or in some way force them back to the party line? Time will tell.