© 2012 Amadeus IT Group SA 1 Professor Jim Norton Freng On : 2012/12/09

© 2012 Amadeus IT Group SA 2 2 About the Author Open For Business:

© 2012 Amadeus IT Group SA 3 3 About Amadeus Open For Business: Amadeus IT Group is a leading transaction processor and provider of advanced technology solutions fot the global travel and industry. First investor in R&D for the computer services and travel and tourism sectors (€340m in 2011) Committed both to Open Source and to thought leadership. Currently using Open Source in key projects like Altéa Reservations, Inventory, Departure Control System, among others. We have sponsored this new White Paper that urges the travel industry to embrace the benefits of open source software (OSS).

© 2012 Amadeus IT Group SA 4 4 What is Open Source Software? Open For Business: In computing, open systems refers to systems built using OSS standards. They offer a good level of portability and independence from the hardware platforms on which they operate. The three characteristics of OSS are openness, availability, and no restrictions. 1.Open The standard must not withhold any detail necessary for the exchange and use of information. 2.Available The standard must be freely and publicly available under royalty free terms at a reasonable cost. 3.Unrestricted All patents essential to implementation of the standard must be licensed under royalty free terms for unrestricted use.

© 2012 Amadeus IT Group SA 5 5 From closed to open systems Open For Business: The concept of open systems started around 1960s, where the first steps were taken to link different computer systems together across communications networks. Following this, attention turned to the attached computer systems. Most practical implementations lie somewhere on the spectrum between open and closed systems. 1. From virtualisation to cloud computing "Virtualisation" means a single mainframe computer can run separate instances of the same operating system at the same time; the creation of "Cloud Computing" from virtualisation came through the development of "orchestration", allowing many virtual machines to be managed across a range of physical hardware. 2. Open systems success Almost all of the successful “Web” businesses launched in the last ten years have drawn on this base of Virtualised open systems, familiar names such as Google, Amazon, YouTube, Facebook and Twitter all operate in this way.

© 2012 Amadeus IT Group SA 6 6 Cloud Computing Open For Business: The combination of virtualised open systems plus sophisticated orchestration leads to the concept of purchasing computing capability as a utility: cloud computing. 1. Infrastructure Basic virtual machines, virtualised storage and network access are made available to users. 2. Platform This adds a pre-configured operating system and middleware. 3. Software Responsibility for the application software is transferred to the cloud service provider 4. Business Process Complete suite of applications to perform a major business function. 5. (highlight) Growth of the cloud Cloud Computing is the fastest growing service type in the outsourcing market (+48% growth last year, with total spending of $5bn).

© 2012 Amadeus IT Group SA 7 7 How does Amadeus use open systems? Open For Business: Altéa Customer Management System At the operating system level, Amadeus is successfully transitioning from proprietary systems to Linux to run its leading Altéa Customer Management System for airlines. Amadeus leading online innovations Leading innovations online, including e-Retail, Dynamic Website Manager and Extreme Search have been built with extensive use of open source components in ways that would not be possible using legacy components. Amadeus open source framework Leading innovations online, including e-Retail, Dynamic Website Manager and Extreme Search have been built with extensive use of open source components in ways that would not be possible using legacy components.

© 2012 Amadeus IT Group SA 8 8 Advantages to the business customer Open For Business: Access to greater innovation The combination of open source software, open systems interoperability and open standards has created a community of shared research and development and a pooling of creative ideas. Those that show promise in testing and development are implemented and adopted more quickly Faster responses to changing requirements Customer engagement and involvement and the influence of social networks place further demands on immediacy of process. Access to a range of cost effective development tools, ability to scale rapidly and access to a global knowledge base, all favour the use of the "open" approach. Multi-system support Business organisations use a wide variety of current legacy systems all at different stages of their lifecycle. The ability, through open systems, to draw on an extensive range of standards and interfaces shared and developed over 20 years can be a key differentiator.

© 2012 Amadeus IT Group SA 9 9 Advantages to the provider Open For Business: Access to skilled, motivated and innovative staff: A whole generation has grown up with access to both the Internet and open source. They want to work freely with these systems and tools. Rapid adoption of new technology developments: New developments in hardware, network based storage and software are a regular occurrence. It is important to have timely access to these innovations which the open source community offers. Drawing on the global community: The open source community now numbers in the millions, and includes software architects, analysts, designers, programmers and key universities. There are extensive opportunities for collaboration. Avoidance of dependencies: A whole generation has grown up with access to both the Internet and open source. They want to work freely with these systems and tools. Lower total cost of ownership: Open Source is generally free to obtain, but in order to compare costs we have to consider the total cost of ownership (TCO) over the lifetime of use of the software. Industry lore is that a TCO saving of around 20% is achievable. Full visibility and confidence on the source code: Extensive public review and correction of the code can minimise the avenues for attack and offer a more rapid response and defense against attacks.

© 2012 Amadeus IT Group SA 10 Advantages to the traveller Open For Business: Greater choice and depth of services Open source both enables greater (as well as faster) innovation and additionally makes it possible to deliver services that would not be financially viable under the economic model of proprietary software. Democratisation of services Functionality that would otherwise only be viable to provide on a limited scale or at a high price point – as it would be supported either by proprietary software or by manual activity – can be offered widely when supported by open source software.

© 2012 Amadeus IT Group SA 11 Key Findings Open For Business: Benefits for the business customer: OSS is now applicable in the most demanding real-time processing environments. Benefits to business providers: Benefits for travellers: The transition from closed to open systems represents a major integrity and fitnessa. Where key functions can move between countries or continents on demand, new approaches and working relationships are required. OSS and cloud computing will have a great impact in computing and informatics o Greater innovation o Faster response to change o Ability to support heterogeneous systems. o Access to motivated and skilled development and support staff o Reduced cost of ownership and independency from monopily suppliers o Faster exploitation of new technology developments o Higher visibility and trust in the source code o Greater choice and depht of services o Democratisation of services