Bonum Certa Men Certa

Microsoft No Longer Able to Hide Financial Decline, More Losses to GNU/Linux in Russia

The beginning of the end of an era?

Following the great news from Brazil (reported only yesterday) we have a lot more positive news to share today.

On several occasions in the past we wrote about Microsoft hiding evidence of its real financial health. Well, this old paper-and-ink routine seems to have run out of stamina because Microsoft reported a significant drop in profits and its stock tanked. Here it is from Microsoft's 'back yard' press, whose bias -- if any -- typically works in Microsoft's favour.

Microsoft said today its fiscal third-quarter profit fell 11 percent compared with a year ago, when revenue from pre-sales of the new Windows Vista operating system pushed up results.

[...]

Earnings were also depressed by 15 cents per share due to a legal fine from the European Commission.

[...]

Microsoft shares fell $1.25 in after-hours trading, after adding 35 cents to $31.80 during the regular session.


Found moments ago there are also the following links which seem to indicate that the Moscow region government is moving to GNU/Linux. Both stories are in Russian:

http://www.mandriva.ru/novosti/mosk_obl/

http://www.comnews.ru/index.cfm?id=36491

There is some background to this and Microsoft is clearly losing grip in Russia. Recent stories of interest include:

Linux being launched at schools

Besides the operating system the package is to comprise some freely distributed programs, close to MS Office by their functionality, which are to be used on computers with the following characteristics: 233 MHz and 128MB DDR.


Russian Postal Service Wears Red Hat

Russian Post and American company Red Hat signed the Protocol of intentions on IT development based on open freeware earlier this month. Andrey Pogodin, Deputy Director General of FSUE Russian Post and Jim Whitehurst, President of Red Hat signed the document within the framework of meeting. The parties agreed to join efforts to implement operating system Linux and other software products with open code in Russian Post’s IT-structure.


IBM to offer Linux machines

The machines, it was announced, will come with Red Hat's Linux distro, and will come pre-loaded with software from IBM, including its Lotus Symphony suite.


OpenReferent - a New Open Source Challenge to Microsoft Desktop Software

Mr Pogodin, Deputy General Director of Post of Russia, said: "Post of Russia, which has 42,000 post offices through out the country, can significantly lower the cost of ownership of the Information System." Post of Russia is one of the first customers that signed up to evaluate themove from Microsoft based desktops to OpenReferent solution.

[...]

Open Referent is based on the recently announced IBM Lotus Open Collaboration Client Solution with Red Hat.

Business partners classified as Red Hat Advanced Business Partners and Lotus-authorized IBM Business Partners may sell the Red Hat and IBM Lotus products globally with a Red Hat Enterprise Linux subscription, and may additionally offer a six-month Red Hat Enterprise Linux Desktop trial.


Open Source Market: FOSS getting hot in Russia

Recent interest towards FOSS from the Russian government has boosted commercial activity in this field. No longer than a year ago there was no single large company that would say it is capable of doing FOSS system integration projects. Now there are three, and the number will probably grow.

Nobody is particularly sure about how to do business with FOSS, but it is already evident that it can be done somehow. That is why the larger ones are jumping on the bandwagon simply not to be late.


A bit older:

2010: Russia's open software market to grow 4-fold

Analysts note that Linux vendors are traditionally present on the mobile device market. According to forecasts the OS might become the leader in the segment accounting for 40% of it by 2010. "Currently the share of mobile devices with Linux OS is not big in Russia as compared to other countries, such as China, for instance. However, the producer's policy, Nokia in particular testifies to the fact the situation is changing for the better", Ms. Karaeva concluded.


Mandriva Linux selected as "Product of the Year 2007" at the Russian Softool event

Mandriva has been selected as 'Product of the Year 2007' in the Linux category at the Softool exhibition in Moscow. The 'Product of the Year 2007' competition was held by the department of information technologies and computing systems of the Russian Academy of Sciences, the Federal Agency of Information Technologies, the publishing house SK Press, and IT-expo.

[...]

Mandriva Linux will also soon be certified by the Federal Service of Export and Technical Control, allowing public sector agencies and organizations dealing with confidential information to use Mandriva Linux.


Russian public agencies choose Mandriva

Mandriva development is carried out jointly by Mandriva's offices in Russia, France and Brazil. The Mandriva Linux OS is thus considered a national OS for Russia. The decision of FSTEC of the Russian Federation (RF) implied that Russian public agencies will be authorised to use the Mandriva Linux OS on PCs running confidential information.


Russian Government Will Migrate to OpenSource

Russia decided to follow after EU countries, where opensource solutions are more spread then in Russia. Currently, some Russian companies can offer their own Desktop Linux OS (the major companies are ASPLinux, ALTLinux, Linux-Online and LinuxCenter).


Russian schools abandon Windows after piracy scare

Microsoft says that the incident has nothing to do with them, but it appears that Russian schools in the area are so scared about being shipped off to a Siberian Gulag, that they are buying Linux gear instead.

[...]

According to Karpushin, schools would start using freely distributed software like the Linux OS, Russky office and Open office desktop apps, Ekho Moskvi reports.


Linux Education in America: Inspiration from Russia?

The reason that the Russian announcement is funny boils down to the perception over the years that Russia equates to totalitarianism, whilst here in America we're all about Freedom and innovation. Yet our educational system -- the very underpinnings of how we're growing out future technological talent, is based upon the inversion of what one would expect given the respective reputations of both countries.


Russia is latest country to move towards OpenDocument format and open standards

The stated rationale for this legislation is that “open standards will contribute to an increased number of bidders for government contracts and will increase opportunities for Russian software developers... [and] the problem of interoperability will be addressed as will the ability to access information into the future.”


Russian Linux (ALTLinux) to be installed in every school in Russia

Russian OS is to be installed on every school computer in Russia by 2009. Furthermore, every pupil will get the opportunity to operate the applied software produced in Russia, Leonid Reiman, acting Minister of Communication stated at a press conference. According to Mr. Reiman, that might significantly reduce Russian dependence on foreign software.


Linux being launched at schools

Besides the operating system the package is to comprise some freely distributed programs, close to MS Office by their functionality, which are to be used on computers with the following characteristics: 233 MHz and 128MB DDR.


Here is a story from yesterday:

Linux Ubuntu PCs set for sale in Russia

Linux Ubuntu installation on PCs sold by Excimer and NT Computer is to be launched within the nearest month. Consequently, Ubuntu sales in Russia might reach 300 thousand units. Ubuntu 8.04 released on April 24, 2008 is more likely to be preinstalled.


There are very good times for GNU/Linux, but vigilance is still necessary because Microsoft has plans for Russia. It also tries to sell lock-ins. Spotted a week or so ago:

Microsoft tightens hold in regions

The Leningrad Regional administration and the Microsoft Company have signed an agreement ‘of intent in IT implementation’. Thus, the Leningrad Region confirms its commitment to set up e-government following the suit of St. Petersburg, where a similar Bill Gates Corporation’s project has been used for more than half a year.


Eternal Vigilance is the Price of Liberty.

"A prominent example of open source software is the Linux operating system... To the extent open source software gains increasing market acceptance, sales of our products may decline, we may have to reduce the prices we charge for our products, and revenue and operating margins may consequently decline. "

--Microsoft (in its latest SEC filing)

Recent Techrights' Posts

Banning Things Versus Teaching People the Reason/s to Shun/Boycott Those Things
Prohibition has its limits
 
Communicating With Freedom - Part III - Quibble Envisioned as a New and Easily Accessible Communications Platform Based on LibreJS
the FSF really needs to become more active if not proactive in promoting those sorts of things
Clownflare Says Majority of Web Traffic is Now Bots, But the Net is Another Story
Bots are to Clownflare what lawsuits are to lawyers
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, June 07, 2026
IRC logs for Sunday, June 07, 2026
The Strikes at the European Patent Office Planned to Carry on for the Entire Year, Maybe Future Years as Well
There's a cautionary tale somewhere
Number of Patent Grants Has Plunged 23% Amid Strikes at the European Patent Office, Today There Are More Strikes (Strike Participation at Over 3,000, More Than Doubled Since Winter)
There is a growing crisis at the European Patent Office
E.E.E. Still Ongoing, the War on Copyleft/GPL Enables That
It also imperils security.
Gemini Links 07/06/2026: Lynx in the 'Modern' Web and 'Overcooked' (Plagiarised by LLM) Code
Links for the day
Links 07/06/2026: Java Needs Seawall, Egypt Blasted for Arbitrary Detention of Activists
Links for the day
SLAPP Censorship - Part 100 Out of 200: Interlude and Outline of the First Half, 3+ Months That Got Us Death Threats Connected to Brett Wilson LLP (and Cyber Attacks That Are Difficult to Attribute)
This week we plan to have a good time
Links 07/06/2026: NASA's Mars Maven Declared Dead, Telegram Founder Pavel Durov Bemoans Russia's Crackdown
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, June 06, 2026
IRC logs for Saturday, June 06, 2026
Gemini Links 07/06/2026: How to Train Your Dragon (2010) and "Six Days of Play"
Links for the day
Links 06/06/2026: 'Epstein Problem' in Board of Directors of Microsoft, Surveillance Giant Google Under Legal Threats for Online Misuses
Links for the day
Software Freedom Takes a Lot More Than Coding
some of the roles in the Free software community that don't receive (m)any grateful words
Ubuntu is Losing to Other GNU/Linux Distros
"Linux Mint"
Old Articles Explaining That Patents - Especially Software Patents - Are Bad for Innovation
We've omitted more than 50% of the articles we had gathered as candidates for inclusion
European Patent Office (EPO) Crisis: Huge EPO Strikes, Profound Corruption, and Cocaine Use by Managers Tolerated
These strikes won't be ending any time soon
Why GNU and FSF Will Choose AV1 Over AV2 (It's More Widely Supported)
for the foreseeable future they'll stick with AV1
Mass Layoffs (RAs) and PIPs (Excuses to Sack) at IBM: Insiders Tell No Relation to Actual Performance
If many thousands are impacted by this, then certainly it is newsworthy
Links 06/06/2026: LinkedIn Infested With Spies, Ethernet WiFi Router On Pi Pico 2W
Links for the day
25 Years With PalmOS
That my Palm PDA still works in 2026 (not in mint condition but close to that) says a lot about the "build quality" of gadgets 20+ years ago
Why We Dumped Online Shopping (Groceries)
subsidies kept the "online" stuff artificially cheap
Microsoft Fell to All-Time Low in Monaco Last Month
So says statCounter anyway
Lawsuits That Don't Work
Not as expected anyway
SLAPP Censorship - Part 99 Out of 200: Graveley and Garrett Seem to Have Crashed Brett Wilson LLP (Worse Than Taking Russian Oligarchs as SLAPP Clients)
a state of disarray
Microsoft Has Spent Months Preparing Lists of People to Cull in Massive Wave of Layoffs (Allegedly Start of July)
There is some consensus that we're weeks away from mega-layoffs at Microsoft
Gemini Links 06/06/2026: "Competing" With LLMs and "Automation of Any Kind"
Links for the day
Links 06/06/2026: 'Linux' Foundation Openwashing Slop on Microsoft's Payroll, Ukraine Wants Permanent Ceasefire With Russia
Links for the day
50% of the 'Gains' Made by "Quantum" Hype Already Evaporated
"It was all hype about quantum nonsense. Heading back to reality now. Expect sub-$220 after earnings release next month."
Heap of Trash Online, Not Just the Fault of LLM Slop But Enabled by Slop
Google News has just promoted a pair of prolific slopfarms
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, June 05, 2026
IRC logs for Friday, June 05, 2026