[nzlug] Cost Analysis

[Simon Bridge]

On Mon, 2007-03-19 at 06:46 +1200, SIMON WALKDEN wrote:
> These prices are from Ingram Micro, and are the recommended retail
> prices inclusive of GST.
> 
> Microsoft Server 2003 standard revision 2, 64-bit version, incl. 5
> user licenses:   $2610
> Microsoft Server 2003 20 user license pack:    $1166
> 
> Ubuntu Linux Server 6.10:  $FREE
> SAMBA:                           $FREE
> iptables (for some security) : $FREE
> any other OSS you require:   $FREE
> 
> NB: the above price for server 2003 does NOT include the exchange
> mailserver, or ISA network gateway/logging server - these must be
> purchased seperately (FYI, around the region of a few thousand dollars
> a piece).
> 
> - Simon

This and little or no change in IT staff and resources should make this
an easy choice. So how come I am hearing all these reports of cost
overruns in high profile migrations?

TCO has become something of a buzz-TLA for folk advising against linux.
For these people, these cost overruns are being touted as proof that the
TCO of linux is higher than UNIX or Windows. They cite the relative
complexity as a major factor.

http://techupdate.zdnet.com/techupdate/stories/main/0,14179,2914387,00.html
> For example, Linux requires more staffing resources and effort to
> match the reliability, availability, and scalability of high-end Unix
> and Windows 2000 or XP servers. Users must purchase high-availability
> add-ons (e.g., clustering partitioning, “journaled” file systems) and
> support from third parties, which increases cost and complexity.
> 
... but surely all the cost overruns have been in the *migration* stage,
and smack of poor management. I think it is significant that these
overruns are associated with government - well known for its financial
efficiency (not).

But what are they talking about there... I didn't know one had to
"purchase" a journaled file-system or clustering partitioning?

Third party support is, presumably, the same for windows (though, I
gather, windows techs are a dime-a-dozen) and UNIX - and mostly a matter
of picking the right firm.

To what extent can the Win2000 and WinXP servers be justifiably
described as "high end" or "scalable"?

Why would staffing increase - in-place the server would have less
maintenance, so IT staff can be used more efficiently. Why would
staffing levels increase? (Note: in govt - any change typically leads to
a staffing increase.)

The apparent complexity of an open source system is due to it's modular
nature - complexity in proprietary systems are hidden by licenses and by
monolithic design - surely. Can the modular design be argued to
*decrease* complexity (after all, it allows fewer duplications of
running processes...)?

I this article manages a quite fud content. But it seems typical. I'm
having a hard time finding out anything concrete.

On the home machine front - the analysis is quite simple. Try taking a
standard retail PC, then subtracting the (OEM) price of all the windows
software that comes with it.

Of course it is not that simple - build the same box from the other end
(just add hardware) and it is more expensive than the retail box sans
windows... I wonder if it may be financially sound to buy a retail box
and then request money-back on all the unused software, I could even use
advertised oem prices to support my calculations?

Someone want to correct the following estimates?

> A sample Vista Computer: (Dick Smith Electronics Website, Feb 2007)
> Compaq Presario SR5020AN PC ($798 call it $800)
> CeleronD 3.33GHz, 512MiB RAM, 80GiB HDD, radeon 1100.
> 
>  Microsoft® Windows Media Player and Windows Moviemaker, 
> Microsoft® Internet Explorer, Microsoft® Works 8.0, Money 2005, 
> Adobe® Acrobat® Reader®, Intervideo™ WinDVD Player SE basic version, 
> Norton Internet Security 2006 (includes Norton Antivirus, 
> Norton Personal Firewall, Norton Privacy Control, Norton AntiSpam, 
> Norton Parental Control),  includes 60 days of free updates, RealOne Player™, 
> Sonic RecordNow with LightScribe Labelling, Recovery CD Creator, PC Doctor,
> 
> Breakdown using typical OEM prices.
> (Note: these may not be the prices charged by DSE.)
> Vista Home Basic $180
> MS Works 8.0 $52
> MS Money 2005 $38
> WinDVD Player $17
> Norton Internet Security $40
> 
> Total: $393.00 (Call it $400)
> i.e. half the price is software licenses.
> 
... hmmm.... I think this hardware could be assembled for $400!
I'm not sure I got all the software licenses - though much of the listed software is bundled into one license.
I also don't know of any additional deductions DS are able to provide due to bulk ordering (for eg).

And another thing:
512MiB seems a bit on the lean side for Vista doesn't it? Will the Radeon 1100 be HDCP compliant?