Linux Solutions

While the thought of Linux actually powering the massive financial exchange computer systems around the world would have been absurd just a couple of years ago, there is a growing feeling that the open source computer operating system is ready to make the jump. We are not talking about speculation, we are talking about solid performance figures which suggest it is possible. So what next?

Speakers at the recent Linux on Wall Street conference heard from Vinod Kutty of the massive Chicago Mercantile Exchange (CME) which recently replaced their network operating system with Red Hat Enterprise Linux which has proved very successful. Not only is the Linux based system able to handle the massive volumes flowing through the system, it has actually been instrumental in recent growth on the exchange. Surprisingly, the CME have also confirmed that the cost of Linux is cheaper than their old operating system, something which many had suspected for some time. So what next?

The seal of approval from the CME will have a major impact upon the way other exchanges view Linux in the future, and has already allayed many fears that Linux would be left wanting in the real-time environment of financial markets. The fact that Linux controlled trade reporting was faster than the prior system is also something which has not gone unnoticed. This now opens up what is a huge market for Linux, and puts more pressure on the likes of Microsoft who have had it too easy for too long in the eyes of many.

While a mass exodus to Linux based systems will not happen overnight, and may be delayed somewhat in light of the recent economic climate, we can safely assume that Linux will have a growing presence in the financial sector. Increasing up take in this sector will see the name of Linux hit the headlines worldwide and could possibly offer a useful way into other, more traditional markets.