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Tue, Apr 8, 2008 19:19 EDT

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Posted by: Abbie Lundberg in Questions Topic: Development Blog: Difference Engine
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Open source provides a way for CIOs to invest in new system development without coding themselves into a corner. According to Mike Milinkovich, executive director of the Eclipse Foundation, enterprise users of technology are catching on to something the ISVs have known for a while now -- that if you develop in an open source model and other companies adopt what you develop, you have a higher chance of longevity in the code base. In other words, you can develop a custom solution to a unique business problem with less fear that your solution will turn into a dead-end legacy system when things, inevitably, change in a few years. Milinkovich also sees more CIOs banding together with industry peers to develop common open-source solutions to standard industry processes, thereby saving money by sharing costs and ensuring interoperability.
This was the first I've heard of a real top-down, CIO-sanctioned investment in open source for either innovation/competitive advantage on the one hand or industry-standard common good on the other. Milinkovich pointed to a few companies as examples -- in particular, Deutsche Post and Boeing. But he said none of the analyst firms had tagged this as a trend yet.
If you know of IT organizations that are systematically using open source as part of their innovation strategy -- or collaborating with industry colleagues on projects -- I'd love to hear about what they're doing and why.
Another example is in the healthcare industry. Open Health Tools is a collaboration between gov't agencies, including Canada Health Infoway, Austrilian National e-Health Transition Authority, UK National Health Service, and the US Veterans Health Administration.
Ian Skerrett
Eclipse Foundation
Companies like Collaborative Software Initiative which apply the successful open source software model to essential application development among like-minded IT companies at a fraction of the cost of developing themselves, or collabworks bet on collaborative sourcing providing expertise, processes, and legal and collaborative infrastructure to help enterprise build trusted relationships, solve important problems, and share them among a growing network of enterprise participants. These companies leverage their respective strengths and typically save 3-4x over typical outsourcing strategies. By fostering customer collaboration networks, suppliers benefit from consolidated customer requirements and more aligned value chains. Domain experts and thought leaders benefit by extending their skills across a network of enterprise participants.