] The city of Munich said on Wednesday it would switch
] 14,000 computers from Microsoft's (nasdaq: MSFT - news -
] people) Windows operating system to rival Linux in a deal
] estimated to be worth tens of millions of euros.
]
]
] The decision is a blow to U.S. giant Microsoft, whose
] chief executive Steve Ballmer had personally campaigned
] for Microsoft's counter-offer to the city, based on
] Windows XP.
]
]
] Microsoft has created two funds to discount its products
] against the emerging Linux software, which is eating into
] its most profitable business.
]
]
] "This strategic decision makes Munich less dependent on
] one IT supplier and sets a trend towards more
] competition," Munich mayor Christian Ude said in a
] statement.
]
]
] Analysts said Munich's decision to choose open source
] software, which means Linux, was a breakthrough.
]
]
] "It is one of the largest desktop migrations to Linux
] ever seen," said Gartner Dataquest analyst Nikos Drakos
] in London.

Microsoft even underbid IBM/SUSE by $3m, and Munich still went for Linux. Interesting.

Forbes.com: UPDATE 2-Microsoft loses city of Munich deal to Linux