ODF, MS and MASS: Now you see the dots (and now you don’t)

First, let’s put the Microsoft grant in context.  There is nothing unique about such an action by Microsoft, and many of its competitors make similar donations (here are some examples of programs maintained by IBM and Sun).  The generic reason is that today’s students are tomorrow’s life-long potential customers, and a relatively small marketing investment by way of an educational grant at this stage can reap decades of benefits from future product sales.  The rewards for acquiring an adherent to an operating system or core applications such as Windows and Office (or Solaris and StarOffice) are particularly great, due to the tendency to stick with what you know, and to buy further products compatible with what you have.  Not surprisingly, Microsoft’s charitable programs for educational institutions, libraries and other non-profits are particularly extensive.

To be fair, the commitment of Bill Gates (at least) to education is sincere, as evidenced by the fact that one of the two foci of the Bill & Melinda Gates Foundation is learning (the other is health), and by his announcement this week that the work of the Foundation will become his major challenge in the future.  It’s a classic case of doing good while doing well, and can be an important source of technology for worthy and chronically under-funded institutions.

Still, as they say, timing is everything.  There are, after all, 50 states to choose among on any given day when granting such largesse, and Microsoft is doubtless mindful of the fact that opponents Sun and IBM each has thousands of (voting) employees in Massachusetts, while Microsoft employs orders of magnitude fewer.   It’s also interesting to note by way of comparison that (as the AP reports) the total cash and software contributions made by Microsoft to Massachusetts educational and all other worthy types of organizations combined totaled approximately $40 million over the last five years.

So is this an effort to influence legislative behavior in an election year?  And if it is, how does that square with the passage of the economic stimulus bill sans amendment?  Why reward a state that failed to rein in an Information Technology Division whose policy on office formats Microsoft had by all accounts lobbied very aggressively against?

Here’s where the back story comes into play.  I am told by an informed source that the amendment lives on – but now as an attachment to the Senate version of the current fiscal budget (you may recall that the Chairman of the Senate Post Audit and Oversight Committee had put then-CIO Peter Quinn through the wringer at a hearing held on October 31 of last year).  In other words, the game isn’t over, and the ITC task force initiative may yet come to a vote.

And, of course, the current administration will leave office in only a few months, leaving the top job up for grabs, and  the usual large proportion of state legislators is also coming up for election.  All of those at-risk legislators and their hopeful challengers will be out on the stump stating their beliefs, and answering voter questions.  Many of those voters doubtless have read the press coverage of the grant, and the state teachers union will presumably also be mindful of the spanking new technology that can be obtained from Microsoft without the expenditure of a single dollar of local property taxes.

What can we definitively make of this?  At this point, no more than that a compromise was reached to pull the amendment in order permit passage of an obviously attractive (and, incidentally, pork-packed) bill in an election year, while reserving the ability to resume battle on the same amendment, attached to a different bill, at a later day.

And perhaps with less public scrutiny as well.

How’s that?  First, I’m not aware of any public report (beyond this blog entry) of the switch, so how would anyone have known that the amendment had not simply died?  Second, I’d like to provide a link to the new bill, so that we could all see how the amendment now reads.  Unfortunately, the appropriate page of the Massachusetts State Website was last updated…on October 18 2005.  Perhaps I’ll be able to obtain a copy through a public record request.

All of which illustrates once again the sad and opaque state of politics as usual on Beacon Hill, where transparency in public affairs is not deemed to be desirable, and where dots can easily disappear from public pages, only to find a new home on others that are invisible to the public eye, perhaps remaining so until after it’s too late to matter.

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Comments (7)

  1. It would be more sincere if Microsoft was giving the resources in terms of personal computers (any manufacturer, take the ‘low bid’), electricity to run the computers, technicians to maintain the computers, and teachers to teach ‘literacy’, ‘maths’, ‘presentation skills’.

    Set the computers up to dual-boot WIndows and Linux, provide Microsoft Office for Windows, implement and provide Microsoft Office for Linux, provide OpenOffice for Windows, provide OpenOffice for Linux.

    Really. $800M at ‘list price’ of Microsoft software, without the matching donations to enable it to be used to achieve what education is supposed to achieve (independent upstanding citizens empowered to define the future, who can use all the tools at their disposal … commercial software, free software, and ‘pencil, paper, and brain’) is like $800M at ‘list price’ of heroin. Will only cause dependency.

    • Its common for one government agency to ‘piggy-back’ onto another government agency’s contract.

      What we need now is for some government agency to push the issue to get the same deal that Mass. is getting.

      The logical extension of this is that the software itself will end up being free. Like in the open source world its the support contract that will cost money.

  2. If Micrsoft had such a great heart … donating the $$$$ would have been a true donation…  NOT software…   here is the HOOK of their OH so selfless donations..

    let see…  where to start…  ok so you donate client software…  windows and office..  lets assume they (the school) are running MS servers..  for the school to be able to use this…  they will need to purchase cals so the clients can access the servers…..  but lets not forget..  that once you have windows running you NEED to purchase antivirus software…which i garantee is not part of thier donation…    and countless other software that is ot MS…….  here is the next hook…  we can safely assume that these donations will not come with free upgrade or SA for life…  so tack on more spending in the future….      

    everyone is only looking at the donation at face value,,   but the $30M is nothing when you take those donations to their ultimate conclusion.

    • Actually, they make money on the deal.  Software donations are basically a tax shelter–you claim the value of the donation as list price, but they don’t of course cost you anything resembling list price to reproduce.  So you spend a small amount, but get a tax break on a much larger amount.
      That’s true whether the donor is Microsoft, IBM, or the Bill and Melinda Gates Foundation.

  3. Um, Massachusetts is a small state – one of the smallest in the country. But ranked by population, Massachusetts is a relatively large state – it’s the 13th largest when ranked by population.

  4. IBM has 2 policies; the ‘schools and charities’ thing, which any school
    or charity (worldwide) can avail itself of; rather like a different
    list price for IBM goods and services becuase they are a school or
    charity. And the ‘Shared University Research’ program, whereby IBM may
    donate cash to a university for pursuit of a specific agreed research
    program; on this one, the donating IBM organistion is not permitted to
    tie the donation to any purchase of IBM goods or services, the
    university can do what it wants with the funds in pursuit of the

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