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Red Hat to build 'Global Desktop'

Low cost Linux bundle system to target emerging markets  —  UPDATE - Red Hat is preparing to release a new "Red Hat Global Desktop" that over time will grow into an online desktop that integrates online services into a client desktop platform.

vnunet Tom Sanders

Context & Ripple Effects

This extends an arc that started at least as far back as ZDNet's November 2005 look at desktop Linux for small business, when Red Hat-style vendors were still probing whether the client side of Linux had a paying market beyond servers. Two years on, Red Hat's answer is a deliberately cheap bundle aimed at buyers where Windows licensing costs bite hardest.

What makes the announcement more than a price play is the confirmed plan to evolve Global Desktop into an online desktop that folds hosted services into the client — positioning the product as a delivery vehicle for Red Hat's subscription economics rather than a one-time shrink-wrapped OS.

First-order effects

  • Red Hat gains a low-priced client offering for emerging markets, giving its channel something to sell where full enterprise subscriptions are out of reach and putting a named Linux rival directly against Windows on cost-sensitive desktops.
  • Independent software vendors targeting those markets get a defined, supported Red Hat client platform to certify applications against.

Second-order effects

  • Microsoft faces renewed price pressure in exactly the segments where its licensing revenue is most volume-dependent, reviving the discount-or-defend choice it has faced from desktop Linux pushes before.
  • Rival desktop Linux efforts — community distributions and other commercial vendors chasing the same emerging-market buyers — are forced to differentiate on polish or services rather than price alone once Red Hat's support brand enters the segment.

Third-order effects

  • If the online-desktop roadmap holds, the client OS shifts from a standalone license to a front end for hosted services, tying desktop revenue to recurring subscriptions — a structure that favors vendors already running service infrastructure over pure box-software sellers.
  • Sustained low-cost bundles in emerging markets could normalize Linux as a first desktop experience for a generation of first-time computer buyers, shifting the long-run installed-base contest away from developed-market upgrade cycles.

The trend: Commercial Linux vendors are extending their server-borne subscription models down into the client desktop, using emerging markets and hosted-service integration as the entry wedge.