If you went to your bank manager and said you had a great idea for a business in which you gave away your core product to your competitors, it is likely you would be instantly shown the door and not just because of the credit crunch. Yet this is exactly what some of the most successful companies in the world are doing.

Red Hat, the company which spearheads the development of the Linux operating system, generated revenues of half a billion dollars in the 2008 financial year, the vast proportion of which was profit, while IT company, Sun Microsystems, spent $1 billion in February 2008 to acquire database provider, MySQL.

The common thread is that both Linux and MySQL are open source systems. So what is open source?

The core concept is that software developed in this way can be freely redistributed by others. Open source also guarantees open access to the software’s source code, the lines of programming that make up the application, to enable others to develop and improve it.

This may sound as though the evolution of open source software is a free-for-all, but the truth is far from it. The development of open source technology is usually overseen by some form of governing organisation, which determines the general direction the development takes and which improvements are included in new versions.

This organisation can take the form of a broad community of developers and users, as is the case with the Apache web server, or a dominant single company taking input from other companies and individuals, such as MySQL.

Martin Michlmayr, a former project leader for Debian, an open source operating system, argues: “Open source is not a lawless frontier at all. There are clear license terms that have to be followed, even though open source generally offers more freedoms than proprietary software. It’s true, that many organisations are still struggling to understand open source and its license terms. That’s why Hewlett Packard, together with other partners, started a open source governance community, FOSSBazaar, to share best practices.”

While the open source concept may seem unusual in a business sense, it is far from new, with Red Hat arguing that scientists and mathematicians have shared their discoveries with each other for centuries with the goal of pushing forward the entire pool of knowledge.

It is this culture of openness and transparency that open source supporters say enables applications to be developed far more quickly and at a lower cost than proprietary alternatives. Also, as open source software is freely redistributed, this can lead to a rapid uptake among a user base. Take, for example, the speed at which open source web browsers such as Mozilla Firefox and Google’s Chrome have been eating into Microsoft Internet Explorer’s domination of the sector.

However, it is not just individuals who are downloading and using open source software, businesses are embracing open source too. LinkedIn, the professional social networking website, started using MySQL to handle its database of more than 30 million people around the world last year. At the time, the company’s chief technology officer, Jean-Luc Vaillant, said that the “open and reliable environment” it provides saves the company both “time and money”.

According to John Newton, chief technology officer and co-founder of Alfresco, a provider of open source content management systems used by organisations as diverse as Islington Borough Council, the French Air Force and games maker Electronic Arts, the company’s software has been downloaded more than 1.5 million times. “It is probably the most widely used content management system from an open source perspective. We built the product, people try it and they may pay for it but they may not,” he says.

The company makes its money through providing around 1,000 enterprises with technical support, training or consulting services to develop their own applications using Alfresco as a platform.

Read More….

An open source to a brighter future? – Times Online.

Skyfire is a mobile web browser that seems like it’s been in beta forever.  That feeling won’t go away soon as the latest beta version has just been released, 0.9.  This new version of Skyfire adds support for new screen sizes on the Windows Mobile platform, WVGA and WQVGA, which means it will now work on the Samsung Omnia and the Sony Ericsson Xperia X1.

Skyfire is the server-based browser that can handle virtually any video streaming and that sets it apart from just about every other mobile browser out there. This new version is also adding social networking with the ability to aggregate your Twitter, Facebook and other network updates right on a convenient page.  From the press release:

The most noticeable change in the new version of Skyfire is a real-time activity wall which aggregates customized feeds from news, media, Facebook and Twitter. Skyfire is preconfigured with feeds from Digg, ESPN, Google News, Hulu, YouTube and Yahoo! News that display real-time updates on the start page. It is easy to customize your experience and add new feeds from your favorite websites.  Skyfire now always keeps you connected with the newest content that is relevant to you.

Windows Mobile is not the only platform to get this new beta as a new Symbian beta is going live too.  Owners of Nokia E or N series phones will be able to give Skyfire a good workout too.  Owners of phones on either platform can get Skyfire Beta 0.9 from the web site.  I have been running this new beta on the HTC Advantage for a few days and it works pretty well, although I am running RealVGA and it sometimes creates display problems.

Last year we interviewed the CEO of Skyfire, who gave us a glimpse of what this new version brings to the small screen and also where the browser is headed.

Gadget Gurus – GigaOM – Salon.com.

The bulk of the book, titled “140 Characters, A Style Guide for the Short Form,” will revolve around eight key lessons from the Twitter universe, such as the importance of simplicity, honesty and humor. The project will also highlight notable figures worth following on Twitter, anecdotes from the community and even examples of the few occasions Twitterers have gone overboard: For example, Mr. Sagolla points to “bathroom tweets,” or messages about bodily functions, as falling into the category of things not to post to Twitter.

“This is a new genre of writing,” said Mr. Sagolla. “A new form of literature, in some ways.”

A portion of the book will also double as a memoir from the perspective of Mr. Sagolla, who was involved in the early stages of development for the tool. Mr. Sagolla, who now works at Adobe Systems as an engineer, is also planning on including a mini-dictionary of Twitter lingo, like “retweet,” the reposting of another Twitterer’s message, or “twoosh,” a message that is exactly 140 characters.

The book came about after Mr. Jackson and Mr. Sagolla met after an informal gathering of iPhone developers and began chatting about Twitter. Mr. Sagolla decided to bring Mr. Jackson, who he said updates his Twitter feed as many as 10 times an hour, into the fold.

The two expect the book to be available for download on Apple’s iPhone by the end of the month. Although the plan is to eventually get a version of “140 Characters” in print, Mr. Sagolla said releasing the book through iTunes first would be a good way to reduce the need for a major investment upfront, as well as a springboard to attract interested publishing houses.

“140 Characters” isn’t the first book written about the popular San Francisco, Calif., micro-blogging company. There’s also “Twitter Revolution,” “Twitter Means Business” and “Twitter for Dummies,” for starters. But Mr. Sagolla says that while the previous publications tended to home in more on the business and money-making potential aspect of the tool, “140 Characters” is an attempt to create easy rules for all sorts of social networking sites, including Facebook.

“Our goal is to make Twitter applicable to any kind of user,” said Mr. Sagolla.

The Anatomy of a Tweet: Twitter Gets a Style Guide – Bits Blog – NYTimes.com.

This past weekend’s announcement by Facebook that the company would be opening up its APIs to allow for posting of notes, videos and more has left some companies scrambling to add new functionality to existing applications. Below we’ve highlighted a handful of the ones that let you post to Facebook from a desktop client, be it standalone or something that plugs into your browser.

We’ve talked to the people at each one to see when you should be expecting to be able to make use of the new API in each app:

“Blogo already supports Facebook status updates through its integration with Ping.fm,” says Benjamin Jackson, Blogo’s technical director. “As for more robust Facebook integration, you can be absolutely certain that we’ll be running to integrate this as quickly as possible. We’ll be shooting to send out a beta next week.”

Friendbar creator Edo Segal says “we love the fact that facebook [is] opening up more services,” and “definitely plan to include support for these API’s in upcoming versions.” Segal also says he wants a higher level of access to that data. “For example, to be able to post comments to users photos and status updates, and to directly send a Facebook message to a user via the API.”

Posting of notes through Ping.fm is up and running. “We’re still assembling some other ideas on how to use their new features,” says founder and CEO Sean McCullough. Worth a mention is that many of the services on this list go through Ping.fm to re-syndicate user messages.

“Sociagami has always been committed to deep integration with social networking sites like Facebook and Myspace and we will definitely be taking advantage of the new API features in 2.0,” says Charlie Robbins, director of social network integration for Sociagami. “Unfortunately, using an API based implementation will mean that Sociagami 2.0 will not have the messaging and wall posting features that came with 1.0.”

Working on it for an upcoming build. “The video part will be an important one!” says Loic Le Meur, CEO of Seesmic which acquired/owns Twhirl. The latest version, which was released on Monday added in Ping.fm support, letting you cross post messages to your Facebook profile.

“Yes, we are actively working on implementing the new Facebook API and rolling it out ASAP,” says Regan Fletcher, Yoono‘s VP of business development. Our overall objective really is to maximize our use of the Facebook API in order to allow users who have added Facebook to Yoono to have the best possible experience and functionality.”

“It does look like some of this new functionality is available via the REST API which we use and we can run FQL queries (which we do),” says AlertThingy creator Clive Howard. “We will be revisiting this prior to the next version and if we can do then I’m sure it will make it into 3.x.” Version 3 of AlertThingy was released on Monday morning.
Apps that we pinged but have not yet responded: Flock, Feedalizr, Moodswing/blast, and Gwibber. We’ll update this post if we hear back.

Which apps are using the new Facebook APIs? | Webware – CNET.

The Wall Street Journal reported Monday that Microsoft is getting ready to launch an online marketplace akin to Apple’s App Store. Microsoft is also readying a more sophisticated version of its mobile operating system called Windows Mobile 6.5, the Journal reported.

Smartphones are sophisticated mobile phones that offer users access to the Web and e-mail, as well as, provide phone calling and all kinds of other messaging options. This category of device is the hottest thing going in the mobile market and is seen as the biggest growth engine for mobile devices over the next few years.

Microsoft, which only makes the operating software for these devices, holds third place in terms of worldwide market share, according to research firm IDC. Symbian, which powers Nokia’s smartphones, is by far the leader, followed by Research In Motion with its BlackBerry devices. Even though Apple seems to be the most talked about smartphone on the market these days, it’s only in fifth place in terms of overall market share for 2008, IDC said.

But Apple is quickly gobbling up market share and has become a serious threat to Microsoft and every other company competing in the smartphone market. With the release of the iPhone 3G last summer, Apple has tripled its market share from 3 percent in 2007 to 9 percent in 2008, according to IDC. Meanwhile, Microsoft only grew from 11 percent market share in 2007 to 12.3 percent in 2008.

Microsoft is facing several challenges as it tries to catch Apple’s growth rate. For one, the company’s business model is based primarily on licensing software to hardware vendors. While this business model worked fine just a couple of years ago, it’s difficult to justify now given that device makers can get free software from Symbian, Google Android, and Linux.

The second problem that Microsoft faces is that the company has been almost exclusively focused on business customers. Over the past year, smartphone users have gravitated toward more consumer applications. In addition, to their work e-mail, they want multimedia functionality and social-networking applications on their phones.

“Microsoft is in a really tough spot,” said Ryan Reith, an analyst with IDC. “It has to change its value proposition. And a big part of that is refreshing its user interface and making the device more consumer-friendly.”

Reith believes this is why it’s critical for Microsoft to develop an application marketplace that can compete with Apple’s App Store. The App Store went live last summer and offers thousands of applications for the iPhone and iPod Touch music player. The store has been very successful with users downloading thousands of free and fee-based applications.

Microsoft already has a developer community creating applications for Windows Mobile devices. But the problem is that many of these applications have been geared toward business users. And there is not a single destination that makes it easy for users to discover and download different applications.

“Clearly smartphones are not just for business users anymore,” Reith said. “Microsoft needs to work with the developer community to get more consumer applications out there.”

Microsoft’s executives have gotten the message that consumer functionality is hot. And Andy Lees, head of Microsoft’s mobile business unit, told the Journal that the company is about to put more emphasis on multimedia and other consumer functions like music and photos.

Microsoft is expected to unveil its new offerings next week at the Mobile World Congress trade show in Barcelona, Spain. Chief Executive Steve Ballmer will be delivering a keynote speech there on February 16. I will be there next week covering the news from the show, as will my CNET Reviews colleagues Bonnie Cha and Kent German.

But even with these enhancements, Microsoft has a tough road ahead of it. Competition in the smartphone market is increasing. And several competitors, including Android and RIM, are launching their own version of an application store.

Read Further…

Microsoft readies smartphone assault on Apple | Wireless – CNET News.

Improvements in the Kindle 2 design bring a thinner footprint, a metal back plate, and stereo speakers. As I mentioned last October, when the first Kindle 2 pictures surfaced, the design cues bring back memories of the first Apple iPods. As usual, the information is purely speculative but the forum reads that Kindle 2 will be available on February 24 for $359.

Kindle 2 features rounded corners, a black and white screen (apparently the same size as the original Kindle), a 3.5mm headphone jack with a sliding sleep button at the top and a unified QWERTY keyboard under the screen. Smaller navigation buttons are placed on both the left and right sides of Kindle 2. A joystick now replaces the original Kindle scroll wheel.

Amazon’s new Kindle will use the same EV-DO wireless technology for over-the-air downloads as the original. Storage-wise, Kindle 2 is said to come with a 2GB on-board memory. Form the leaked pictures, no SD card slot can be seen but my guess is that there will be a way to expand Kindle’s memory – maybe a microSD slot.

Leak: Amazon Kindle 2 Pictures and Pricing – PC World.

Facebook has joined the board of the OpenID Foundation, the company has announced. The move is a ringing endorsement of OpenID, which already has the corporate backing of Google, Microsoft, IBM, PayPal and other web heavyweights.

In a blog post Thursday, Facebook’s Mike Schroepfer (formerly of Mozilla), said, “It is our hope that we can take the success of Facebook Connect and work together with the community to build easy-to-use, safe, open and secure distributed identity frameworks for use across the web.”

Prior to the announcement, Facebook was seen as a sideline player — and even a disruptive presence — for the open-source single sign-on technology. Late last year, Facebook launched its own trusted authentication technology for letting its users log in and participate on other websites. The company’s system, Facebook Connect, has since been implemented by around 4,000 websites, including numerous high-profile destinations like CitySearch and TechCrunch.

With Facebook Connect, the company came up with an elegant, easy-to-use experience that effectively solved several of OpenID’s problems with user experience, trust and security. However, Facebook Connect was built with proprietary code, and was therefore largely incompatible with competing open-source technologies like OpenID.

The resulting effects of this partnership on data portability are unclear. And whether Facebook and the rest of the internet are now part of the same big happy family remains to be seen. But for those worried about Facebook Connect derailing OpenID or causing it to die on the vine, this is huge.

Certainly, we can expect OpenID’s public profile and reach to get a boost. Also, a post on OpenID’s website trumpets Facebook’s dedication to improving OpenID’s user experience.

More from Facebook’s Schroepfer:

The future of an open and social web will be measured not by protocols, but by how much we collectively improve the standards and technologies that enable us and others to give people more powerful ways to share and connect.

There’s even an OpenID design summit being planned for next week, to be hosted (where else?) at Facebook’s offices in Palo Alto, California.

Facebook Throws its Weight Behind OpenID | Epicenter from Wired.com.

(Credit: Jajah)

Internet phone company Jajah can turn the iPod Touch into an iPhone. (Download from CNET Download.com.)

The company, which competes with other low-cost Internet calling applications such as Skype, announced Thursday a new application that will allow Touch users to call and text messages using a voice over IP network instead of a carrier’s cellular network.

All that is needed to start making calls is the Jajah application, the latest version of the iPod Touch, a microphone headset, and a Wi-Fi connection. While the Jajah service can reduce calling costs up to 98 percent, the fact that it must be connected via a Wi-Fi network limits where it can be used. For this reason, it’s unlikely that the Jajah-enabled Touch would really steal business away from the iPhone, which is a full-fledged mobile phone that operates over a traditional cellular network.

Jajah plans to sell the application as a “white label” service. This means that it will license the application to wireless operators and non-wireless operators who offer it under their own brand instead of a standalone Jajah application. It’s unlikely the service will be offered for free. Instead, service providers might offer the application for $10 a month.

The application could be very useful for iPhone users too, especially those wanting to make low-cost international calls from their iPhones. But it’s not clear yet whether Apple would allow the application on its App Store, since it essentially bypasses the carrier network. Skype, which also provides free and cheap Internet calling, is not available on the App Store. That said, iPhone users can access Skype functions and users through other applications such as Fring and Truphone.

Jajah adds calling and texting to iPod Touch | Crave – CNET.

Skype 4.0 (download) became available for free on Tuesday to Windows users. The free desktop VoIP communicator is a worthy final version that brings some key enhancements with video and audio bandwidth, though it leaves behind some of the extra adornments of version 3.8, the last stable build.

Those who have been following the triple release of betas since the summer won’t see more than a few changes. If 4.0 is new to you, however, the developments are more notable.

Skype concentrates on video size, quality, and performance in this version. From version 3.8 to version 4.0, every design change has been made to draw video and IM to the forefront, and for the most part it works. The video window has expanded and calls are easier to start. The classic two-pane interface has consolidated into one, though you can still split them apart if you prefer.

Skype’s beautifully staged marketing shot shows Skype 4.0′s new videotopia.

(Credit: Skype)

As the culmination of the beta series, Skype 4.0 gets a pumped-up video and a completely new audio engine. Compared with other codecs out there, the new audio engine, named Silk, is touted to give Skype superwide-band audio (which operates like broadband), but uses half the bandwidth. Fewer bandwidth demands gives Skypers with dial-up connections (like a lot of people in India and Brazil) a bigger boost, keeping calls from being dropped or mangled beyond recognition.

I’ll attest to the great call quality during my interview with Skype’s London-based product manager. It was clear and the vocal timbre sounded true. Keep in mind that I dialed in from a newish, memory-loaded Asus computer with full broadband support and a set of top-tier headphones. Quality will still depend on your Internet connection and hardware configuration. Using headphones that support ultra-wideband audio will help.

The video stream was similarly good. Though far from the perfection of TV, I noticed fewer jumps and blips and sound syncing that was very close to real-time. Problems that have beset Skype’s video calls in the past–a frozen or choppy image and packetized audio–were largely absent during test calls. According to Skype, that’s thanks to a new back-end addition that sticks a finger in the air of network conditions. As available bandwidth drops, the bandwidth manager tries to salvage audio first.

What my demo call looked like on a Vista set-up.

In choppy conditions, it helps steady the video, too, by lowering the rate of frames per second and by compressing images more heavily. Your friend on the other end may become blocky and the image delayed, but faces should also break up less than in previous versions.

Other new features include abuse reporting if you receive an invite from an unauthorized Skyper, and a light stub installer that pulls down the rest of the application.

Skype, it seems, has also been pulled into a toolbar partnership. Now when you install it, you’ll see that an optional toolbar that comes bundled with Skype 4.0. The free Browser Highlighter includes the ‘Compare on eBay’ tool for Firefox and Internet Explorer. Considering that eBay owns Skype, it’s not a surprising addition, but one I’ll nonetheless pass on every time.

What’s missing

There are two skins in version 4.0, the default light gray and blue combo called Skype ‘Chrome,’ and the classic hue. Skype hinted at more skin support in later versions coming out this year. There aren’t plans at the moment to support third-party skins, but customization, I’ve been assured, will get more attention.

Along these lines are absent customizations that had not been making beta testers happy. If you’ve been holding your breath for greater IM treatment in this release, or birthday reminders, you might breathe again until the next launch.

Those of you shouting about the cessation of public chats will be glad to know that Skype 4.0 for Windows will support those you already have, but it will keep you from adding new ones. Skype representatives told us they’re still playing around with ideas of how to become more Web-oriented. It could as easily look like a reshaped version of chats as it could go in a different direction.

That brings us to Skypecasts, another source of some users’ lamentations. Skypecasts was pulled last September because it just couldn’t grab the hoped-for attention. A similar(-ish) feature will probably be rolled into whatever public chats becomes in future releases.

For now, Skype has retreated to its bread-and-butter position of providing good, clean voice, video, and text chatting. If worldwide Windows users notice consistently improved audio and video quality, that’s not a bad place to be.

dwonload skype.

Davos town: not the most accessible venue Photo: Reuters

Preparing for the World Economic Forum – aka Davos – is such a stress. Not for me, but for my wonderful colleague Jane who spends weeks fixing, and then re-fixing, meetings so I can get the most out of it.

The beauty of Davos is that one can meet large numbers of the world’s most important/interesting/powerful/egotistical people in the space of four days. Interviews that would otherwise take months to arrange, and hours to travel to, take place in a small Swiss ski resort. It’s a journalist’s dream – and a PA’s nightmare.

* It being a ski resort, Davos is not the easiest place to get to. The flight to Zurich is fine, but then you have a choice – a train journey during which you have to change twice, or a two-and-a-half hour car journey with cartoonish icy mountain road bits thrown in free at the end. I plumped for a car this year, and used the time to start “tweeting” (ie micro-blogging on twitter). With no more than 140 characters to put in your email-cum-blog, it takes a while to get used to.

An innocent attempt to pass on a story about how Lord Levene (chairman of Lloyds of London) was impressed with the Davos hospital – after slipping and whacking his head on a ski – backfired. I ran out of characters and had to split the message in two, giving the impression that I had been pleased that the noble Lord had taken a tumble. I can only hope he dismisses it as a twitter schoolboy error on my part. And quite how interesting “traffic in Davos is bloomin’ awful. Worse than London/Atlanta” is to people, I’m not sure. But there is something quite compelling about it – I can see why Stephen Fry has become an addict.

* Americans have dominated Davos in all the years I have been attending. But they are nowhere to be seen, enabling the Chinese and Russians to flex their muscles. Chinese premier Wen Jiabao was a big hit with the business and media crowd at Wednesday’s private session. Knowledgeable and confident, he hit most of the right notes – including references to his recent re-reading of the work of Adam Smith. Warm applause from an audience including Henry Kravis of private equity house KKR, Sir Martin Sorrell of media conglomerate WPP, BP’s Tony Hayward, and Stephen Green of HSBC.

Davos is all a twitter with Wen and Vlad – Telegraph.