MS small business server prices match Linux

But IDC does not dismiss the Linux threat saying: “The Linux platform with its open source addenda, have the potential to become better integrated and packaged than they are today, thus becoming more competitive with Microsoft's SBS 2003 offering.” While encouraging channel partners to evaluate Microsoft's SBS 2003 partnership program, the researcher said Microsoft needs to establish a greater awareness of this product line and found existing partners reporting that they would “appreciate” efforts to create demand.

The Microsoft commissioned report: Paths to opportunity for Microsoft Windows Small Business Server 2003 Partners, found partners reporting services margins on SBS deployments ranging from 25% to 68%.

IDC found that with 90% of small businesses owning PCs, server deployment is increasingly common in the SME market even at the micro business level. It said resellers have huge opportunities for ongoing service revenues in this market given the lack of in-house IT expertise at these sites.

IDC interviewed resellers as far afield as Austria and Singapore including the US, Canada and UK.µ

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