jeffy124 writes: "Red Hat and Lineo, the major spearheads of Embedded Linux, have said that Microsoft's recent white paper comparing Linux and Windows XP embedded is full of inaccuracies, false facts, and overall distorts the value of Linux in general. Lineo has gone as far to say it flat out lies about Linux. ZDNet has Lineo's response, Red Hat comments, and a summary article." Updated by HeUnique: LynuxWorks has also wrote a response (only this one is a bit more detailed).
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