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  Billions, Billions of Linux Bucks Served?
Time: 20:11 EST/01:11 GMT | News Source: eWeek | Posted By: Todd Richardson

It's next to impossible to disprove or prove anything IBM says. The company keeps its numbers way too private to make any sense to ordinary people or most financial analysts. It just feels contrived that IBM is claiming revenue of $1 billion on Linux. After all, just a little more than a year ago, IBM claimed it would invest $1 billion in Linux development. Certainly, IBM sells a lot of products and services, but claiming $1 billion of investment and then getting all that back a year later seems like a CFO dream at best and artificial at worst. If it's true, then IBM has managed to generate an ROI that most companies would die for.

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#1 By 7797 (64.105.197.82) at 2/10/2003 8:54:14 PM
yeah must be a lie

#2 By 3653 (63.162.177.140) at 2/11/2003 12:13:05 PM
Are they saying $1B in revenue? Are they counting HARDWARE? If so, this is meaningless.

"claiming $1 billion of investment and then getting all that back a year later seems like a CFO dream at best and artificial at worst. If it's true, then IBM has managed to generate an ROI that most companies would die for"

Ah, but $1B spent in R&D for only $1B in revenue is not a great ROI. Especially if they are including hardware, which was developed outside their initial $1B investment.

#3 By 3653 (63.162.177.140) at 2/12/2003 11:42:53 AM
zOOker, I would still argue that it isn't a good ROI. RETURN is not a function of revenue, but a function of profit.

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