LG, Samsung bet on new mobile Linux platform

By Tarmo Virki

BARCELONA (Reuters) - Samsung (005930.KS) and LG Electronics (066570.KS) on Monday showed new phones using free Linux software from Mobile Linux foundation, which said in total 18 phones from seven vendors would use its software.

The world's second largest cellphone maker Samsung, which has used Linux in its phones in 2006, launched new SGH-i800 phone model running on LiMo software at the Mobile World Congress trade show, while LG Electronics showed a prototype phone LG LiMo.

The Linux operating system has so far had little success on cellphones but its presence is increasing with LiMo rolling out its software platform, boosting the speed of new models reaching the market. Google (GOOG.O) is also using Linux to build its Android platform on.

"Having the Koreans on board is good news for LiMo as they will drive innovation," said Ben Wood, research director at consultancy CCS Insight.

"That said, we know that these companies will quickly desert the initiative if it does not deliver against the ambitious expectations it has set," he said.

Linux is the most popular type of free, or so-called open source, computer operating system which is available to the public to be used, revised and shared. Linux suppliers earn money selling improvements and technical services, and Linux competes directly with Microsoft (MSFT.O), which charges for its Windows software and opposes freely sharing its code.

The foundation said it has also signed up 9 new members, including France Telecom's (FTE.PA) mobile arm Orange, SoftBank (9984.T) and STMicroelectronics (STM.PA).

The market for software platforms on cellphones is lead by Nokia's (NOK1V.HE) S60, built on Symbian operating system, well ahead of Microsoft's Windows Mobile.