In 2004, MySQL was a small, $ 10 million Scandinavian software company that seriously challenged the big three IT companies, IBM, Microsoft, Oracle, and their high-margin, $ 10 billion database business. A new phenomenon in the software industry - Open Source - providing ways for new entrants to challenge incumbents and gain a foothold in a budget segment. This case provides an opportunity to study the forces that would determine the MySQL may change the category of database software on a Linux server space made for the operating system. MySQL relies on low-cost business model with global, virtual organization, and it frames the question, this innovative, Internet business model can be extended to a large, profitable growth. The case describes the phenomenon of open software in a specific case, MySQL, and the innovator's dilemma: MySQL foothold on the needs of the growing market for Web services, which have been ignored by the big three players in the DBMS. Once the beachhead was established, MySQL is in the position of potentially challenge each player database on the market. "Hide
by Robert A. Burgelman, Sami Inkinen, Christof Wittig Source: Stanford Graduate School of Business 34 pages. Publication Date: June 12, 2004. Prod. #: SM124-PDF-ENG
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