30 Minute Interview

“Customers want interoperability of proprietary systems with Linux”

Acquiring SuSE, forming a strategic alliance with Microsoft—Novell has been busy raising its profile in India where Linux as a server OS has entered production environments. Revathi Kasturi, managing director-West Asia, Novell speaks to Abhinav Singh about the pact and the positioning of Novell in the Indian market.

Revathi Kasturi

Three years ago, Novell acquired SuSE. At that time, Novell had hoped that by embracing Linux it could revive its software business. Recently you have made an announcement of Microsoft and Novell co-operating to make Windows and Linux work together. What’s the motivation behind this pact?

When Novell bought SuSE it was at a time that NetWare, Novell’s initial OS, was in decline. At that point of time, we thought that it was the right time to adopt Open Source and nurture Linux. Today our alignment with Microsoft is a vindication of that and Microsoft is signing the agreement saying that Linux is there and ready and they want to see that their systems are interoperable with it—it’s a win-win situation for both of us. This, we believe, is an acknowledgement that our Linux strategy has succeeded and a company, which is into proprietary systems [Microsoft], is agreeing that Linux is there and is an important option for customers. Customers are demanding interoperability of proprietary systems with Linux. The key point here is how we are going to make the whole thing work together seamlessly. Today Novell is a mixed source company. From an enterprise customer’s point of view there are areas where they clearly have Open Source options, such as databases, Web Services and Linux is one such area. Linux is a lean and rock solid as OS; there are no issues such as viruses and it is not so vulnerable when compared to the challenges that customers face with proprietary software. Additionally it is low-cost in comparison to a proprietary OS. We help customers access the areas that are suitable for deploying Linux. Novell’s mixed source strategy has been to align with our customer’s needs. Open Source is still growing and is in a nascent stage when compared to the proprietary software industry, which has already matured.

How will the Indian market benefit from your alliance with Microsoft?

Soon after the pact was signed in November 2006 we spoke to many of our top customers in India and the feedback was overwhelming that they are happy about this pact because they want a mixed environment where systems interoperate. Secondly they do not want any legal complications as even when they are using some key technologies such as virtualization, they can confidently use it. Finally from a customer’s point of view if vendors work together, it is a happy moment for them. Worldwide there have been deals after this pact and we have had customers such as Deutsche Bank, Credit Suisse and AIG Technologies signing up. Microsoft is going to deliver SuSE Linux certificates to them allowing them to use Linux as well as Microsoft. The advantage here is that in cases where Microsoft is their partner they can purchase Linux from Microsoft directly. In India, we are still talking to some customers and hope to have some wins as a result of the pact with Microsoft.

How effective will this strategy be in countering the popularity of Red Hat Linux in India and how will you target customers running mixed environments with both Linux and Windows?

As I said, we are a mixed source company offering SuSE Linux both for the server and the desktop besides offering all the things, which go on top of these. For instance we provide a Resource Management solution that helps customers manage a mixed environment having Windows and Linux desktops and servers. Our strategy is that SuSE Linux is Open Source and on top of it there is a lot of proprietary software which helps customers manage interoperable environments and also helps them manage key areas such as security, assets and compliance. This strategy differentiates us from Red Hat, which is only into Linux. Moreover, we are a mixed source company. Our focus will be on the enterprise and the government segments. For large customers we go direct and we work with our partners and OEMs, ISVs to improve the availability of applications and to improve our coverage in the market. Our aim is to make Linux training and support available across the country directly from us or from our partners.