Jim wrote:
>I took very conservative costs for the Intel machines ($2K per server)...

I assume you also factored in the staffing cost differences, which can be 
huge.

Unfortunately, those in power usually "manage by perception, or magazine". 
 There was an early case where SIAC replaced many Sun servers with Linux 
on zSeries, but it got barely a raised eye brow.

http://www-03.ibm.com/servers/eserver/zseries/os/linux/zseries_stock.html

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