The lack of an OS licensing fee has the potential to dramatically lower the cost of producing embedded devices. To date, though, there hasn't been much focus on how such products could empower small businesses. The candidates include Internet appliances, PDAs, mobile devices, and intelligent devices built into factory equipment, or even into your next automobile. In fact, embedded Linux is a candidate for just about anything that requires an operating system but is not a full-fledged computer. Embedded Linux is not itself an operating system.
Developers are interested because they avoid licensing fees for the OS that runs their applications.
Right now, to create a calculator based on Windows, a developer must pay a license fee to Microsoft. For some of today's startups, the fee alone could kill the project. PDAs and mobile phones are but the tip of the iceberg. Other companies developing applications with embedded Linux include Compaq Computer Corp. , Ericsson , and Hewlett-Packard Co ., along with traditional Linux vendors such as Red Hat . Some detractors claim that Linux, particularly the X Windows interface, requires too large a footprint for embedded systems.