Mumbai, June 8 (UNI) A Technological shift may well be in store for Banks, Financial Services&Insurance (BFSI) sectors as Linux and supported applications are emerging as preferred platforms for technological heads in recent times, says a study.
''Linux adoption in these sectors has started to show an upswing and has made major inroads in areas like insurance and total branch automotion. Four out of the top five public sector insurance companies are already on Linux'', said Sameer Kochhar, CEO of Skoch Consultancy, who conducted the study.
According to industry sources, Linux is being changed into an attractive option as a computing platform for IT managers to run the powerful computer servers as it was an open source software in contrast to a commercial software.
An Open Source Software allows the user to access the source code and thus enable him/her to copy, modify and redistribute the source code of the software.
This access also allows programmers to inspect and understand the underlying program of the software and thus to enhance the operations executed.
Source code is the original format in which the software is made which is later compiled into an executable object code format that runs on the computer.
By contrast, a Commercial Software is distributed under commercial license agreements usually in a pay-for-service-mode.
Unlike an open software, the user of a commercial software does not receive the copyrighted software source code and typically cannot redistribute the software itself or extensions to that software.
''Linux and Linux based applications are emerging as a preference for Micro-finance and Non-banking financial companies in instances like Grameen Bank in Bangladesh. A similar trend may catch on in India.'', said Kochhar.
According to Skoch, packaged software worth USD 263 million was purchased by BFSI sector in the country in the year 2006 and the cost is expected to go up to USD 305 Million by the end of the ongoing fiscal.
The BFSI sector in the country was likely to give a major thrust to adoption of packaged software in areas beyond core banking as well as complete IT services, according to sources.
UNI
''Linux adoption in these sectors has started to show an upswing and has made major inroads in areas like insurance and total branch automotion. Four out of the top five public sector insurance companies are already on Linux'', said Sameer Kochhar, CEO of Skoch Consultancy, who conducted the study.
According to industry sources, Linux is being changed into an attractive option as a computing platform for IT managers to run the powerful computer servers as it was an open source software in contrast to a commercial software.
An Open Source Software allows the user to access the source code and thus enable him/her to copy, modify and redistribute the source code of the software.
This access also allows programmers to inspect and understand the underlying program of the software and thus to enhance the operations executed.
Source code is the original format in which the software is made which is later compiled into an executable object code format that runs on the computer.
By contrast, a Commercial Software is distributed under commercial license agreements usually in a pay-for-service-mode.
Unlike an open software, the user of a commercial software does not receive the copyrighted software source code and typically cannot redistribute the software itself or extensions to that software.
''Linux and Linux based applications are emerging as a preference for Micro-finance and Non-banking financial companies in instances like Grameen Bank in Bangladesh. A similar trend may catch on in India.'', said Kochhar.
According to Skoch, packaged software worth USD 263 million was purchased by BFSI sector in the country in the year 2006 and the cost is expected to go up to USD 305 Million by the end of the ongoing fiscal.
The BFSI sector in the country was likely to give a major thrust to adoption of packaged software in areas beyond core banking as well as complete IT services, according to sources.
UNI
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