Dell Joins Dying Alliance

Dell (DELL) has hooked up with the Microsoft (MSFT) partnership with Linux software provider Novell (NOVL). The purpose of the original alliance was to marry Microsoft Windows and the competing open source Linux OS into a package for corporate clients. Dell wants to load the new products onto its servers.

The problem is that the Novell deal with the world's largest software company is under fire from the licensing authority that contols Linux. As ZD Net recently said: For many, it's a betrayal of the fundamental ethos of free and open software — a pact with the devil. 

If the open source community succeeds in crippling the deal, there is not much there for Dell. At least not much beyond a press release. Microsoft, on the other hand, will have gotten into bed with an enemy and caused fighting among the various Linux programmers.

And, as for Novell, its stock price is down 12% in the last year. The market does not think much of the Microsoft deal  Not while people in the Linux camp are throwing bricks at each other.

Douglas A. McIntyre