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Continued ...

So what does the Trolltech acquisition mean for the remaining mobile Linux contenders? When you consider the fact that Trolltech has been in the market for 14 years; has revenues in excess of $40 million; has paying customers; is shipping on more than 10 handsets; is experiencing year-on-year sales growth of more than 40%; but despite this, it has been unable to improve it value position from two years ago - where does that leave the other Linux hopefuls which have no revenue and have yet to ship on a commercial product?

At the very least, it means a high valuation exit is unlikely for these companies for the foreseeable future. For the smaller players, raising venture funding will also be difficult since many VCs will run a mile when looking at the Trolltech deal as a comparable. Instead it means these companies will have to go the organic route, fighting hard to win mindshare, customers and handset models in the difficult pursuit of winning market share.

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