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ARTICLE — TCO COMPARISON

Article — SME Technology Choice

Microsoft stack vs open source for South African SMEs. Up to 30 users.

Most small and medium businesses default to Microsoft because it is familiar. But a complete open-source desktop-and-server stack exists today that costs nothing to license. This article compares the two paths using software you can download and install directly — no enterprise agreements, no per-user subscriptions, no minimum seat counts.

STACK

The two stacks compared

Direct-download software
Layer Microsoft path Open-source path
Server operating system Windows Server 2025 Standard
16-core licence MSRP ~$1,176 one-off (perpetual). Requires CALs for every user or device (~$40–60/user). Datacenter edition ~$6,771.
Ubuntu Server LTS, Rocky Linux or AlmaLinux
Free ISO download. Five years of security updates included. No CALs. Optional paid support is available from third parties, but the base OS is $0.
Desktop operating system Windows 11 Pro
Retail ~$200–250/device one-off; business volume licensing lowers this. Feature updates delivered by Microsoft.
Ubuntu Desktop LTS or Linux Mint
Free ISO download. Five years of updates, Active Directory join support, Microsoft-compatible fonts. $0.
Office productivity Microsoft 365 Business Standard
Desktop + web Office apps, Outlook, 1 TB OneDrive. ~$168/user/year ($14/user/month on an annual commitment since July 2026).
ArtCraft WordCraft, GridCraft + DeckCraft
Word processing, spreadsheets and presentations as native apps for Windows, macOS and Linux that also run in the browser. One free launcher installs and updates them all. $0 under Apache-2.0.

Or Protea Office from SciBit: thirteen fast, native apps for documents, spreadsheets, presentations, PDF, photos, video, sound and design, installed and updated by one launcher. Open source, $0 licence fees.
Files & cloud storage OneDrive / SharePoint
Included in Microsoft 365. 1 TB/user, sync clients for Windows, macOS, mobile.
Nextcloud Server
Self-hosted sync & share with desktop and mobile clients, external sharing, versioning. $0 under AGPL.
Team communication Microsoft Teams
Included in Business Standard and above.
Nextcloud Talk
Chat, voice, video and screen share. Runs entirely on your server. $0.
Email & calendar Exchange Online
Included in Microsoft 365. Hosted mail, shared calendars, contacts.
Mailcow or iRedMail on the server + Thunderbird on desktops
Self-hosted mail server, webmail and desktop client. $0 community editions.
Directory & identity Microsoft Entra ID / Active Directory
Included in Microsoft 365; advanced features require Premium plans.
FreeIPA or Linux LDAP/AD integration
Central login, password policies and single sign-on. $0.

Note: Prices are public USD list prices or best estimates as of October 2026 and exclude VAT. Microsoft reseller pricing, Azure Hybrid Benefit and volume discounts can change these figures. The open-source products listed are free, directly downloadable editions — support is either community-based or purchased separately from a partner like SciBit. The ArtCraft apps were released as open source in October 2026 and are maturing quickly; check each app’s status page before a production rollout.

TCO

What it costs a 20-person SME

Licence-only estimate

Below is a first-year comparison for a small business with one on-premises server and 20 staff members. Labour, hardware and internet are the same on both sides and are excluded.

Microsoft stack

~$5,500 / year
  • Windows Server 2025 Standard 16-core: ~$1,176
  • 20 × Windows Server CALs: ~$1,000
  • 20 × Microsoft 365 Business Standard: ~$3,360
  • Windows 11 Pro device licences amortised and excluded (one-off ~$4,000 over 5 years)

Open-source stack

$0 / year licences
  • Ubuntu Server + 20 × Ubuntu Desktop or Linux Mint: free
  • ArtCraft WordCraft, GridCraft + DeckCraft, or Protea Office: free
  • Nextcloud (files, talk, groupware): free
  • Mailcow or iRedMail + Thunderbird: free
  • You pay for implementation, migration and ongoing support only

Reality check: The open-source path saves recurring licence fees, but it is not zero-cost IT. Someone must install, patch, back up and support it. For an SME without in-house Linux skills, the smart move is usually to run the open-source stack under a managed services agreement so the savings become real and sustainable.

CHOICE

When each path makes sense for an SME

No religion, just fit

Microsoft Stay on the Microsoft stack if…

  • Your accounting, ERP or design tools only run on Windows.
  • Your team is already productive in Windows, Outlook and Excel.
  • You prefer one predictable invoice per user per month.
  • You rely on complex Excel macros, Power BI or SharePoint workflows.
  • You have no appetite for Linux administration or a support partner.

Open Source Consider the open-source stack if…

  • You want to eliminate per-user subscriptions as you grow to 30 users.
  • Your work is mostly documents, email, file sharing and video calls.
  • You want your data on a server you control, in South Africa.
  • You have a Linux-capable IT person or a managed-services partner.
  • You value being able to inspect, modify or extend the software.
BEYOND

Beyond Microsoft: PDF, CAD and creative tools

ArtCraft Crafting Apps

Office licences are rarely the only per-seat cost. PDF editors, CAD and design suites are often the most expensive subscriptions in a small business. The same ArtCraft launcher that installs the office apps also installs open-source replacements for these, on Windows, macOS and Linux.

Category Common proprietary tool ArtCraft replacement
PDF Adobe Acrobat PdfCraft
Read, organise, combine, split and secure PDFs. $0.
CAD & drafting Autodesk AutoCAD CADCraft
Computer-aided design and drafting. $0.
Image editing Adobe Photoshop PhotoCraft
Layered image editing; opens and saves PSD and PSB files. $0.
Vector illustration Adobe Illustrator VectorCraft
Logos, diagrams and vector artwork. $0.
Page layout & publishing Adobe InDesign DesignCraft
Brochures, reports and print-ready layouts. $0.
Photo library & raw Adobe Lightroom LightCraft
Photo library and raw developer that runs on your own machine. $0.
Video editing Adobe Premiere Pro FilmCraft
Video editing for marketing and training content. $0.
Motion graphics & VFX Adobe After Effects EffectCraft
Motion graphics and visual effects. $0.
Audio Avid Pro Tools / Adobe Audition SoundCraft
Audio recording, editing and mixing. $0.

Note: These tools are outside the Microsoft TCO estimate above. All twelve ArtCraft apps are licensed under Apache-2.0, run locally, and all but FilmCraft also run in the browser. Protea Office from SciBit covers the same ground with its own open-source apps: Protea PDF, CAD, Image, Draw, Layout, Darkroom, Video, Effects and Sound.

DOWNLOADS

Try the open-source stack directly

Free community editions

Ubuntu Server LTS

Enterprise-grade Linux with five years of free security updates.

ubuntu.com/download/server →

Linux Mint

A familiar Windows-like desktop that runs well on older hardware.

linuxmint.com/download →

ArtCraft Crafting Apps

Twelve native apps — office, PDF, CAD and creative — installed and kept current by one free launcher.

getartcraft.com/apps →

Protea Office

Thirteen fast, native apps for everyday and creative work, with no licence fees. From SciBit.

protea.today/office →

Nextcloud

Files, talk, mail, calendar and contacts on your own server.

nextcloud.com/install →

Thunderbird

Open-source desktop email, calendar and contacts client.

thunderbird.net →

Mailcow

Self-hosted mail server suite with webmail and ActiveSync.

mailcow.email →
NEXT

Get a comparison for your actual environment

SciBit supports both paths

We run Microsoft and open-source environments for South African SMEs. Tell us your user count, current apps and data-sovereignty needs and we will return an honest 3-year cost model for each path — including migration, hardware and support.