Open Source IPOs in 2008

Matthew Aslett at the 451 Group blogged on a Fortune article on IPOs in 2008 noting that 3 of the top 5 are open source including MySQL, Ingres and SugarCRM, all of which are partners of Alfresco and good friends. The 4th is an open source project sponsor, Parallels. The Fortune noted that even if a recession is coming that doesn't mean that business still don't need to innovate or cut costs.

On MySQL, the company most likely to go first, Matt says:

"MySQL has been talking up its IPO credentials for some time, and a 2008 offering was always more likely than 2007. The plan has not changed as far as The 451 Group is aware. What has changed is that the company has stopped being so open about its financial performance, which is typical of a company preparing to go public. Previously the company publicly claimed revenue of $50m in 2006 and $34m in 2005. Expect an IPO sooner rather than later."

The disruptive nature of open source and its low cost development and distribution model will ultimately thrive in a recessionary environment. The result could be very similar to previous recessions that created much bigger markets for mini-computers, relational databases, PCS, client/server and web-based technologies that ultimately cut costs of using older technology and made people more productive. The same will be true for the current generation of open source tools, applications and technologies. Companies just won't be able to afford using the old technology just because it is there.