And that, Typaldos said, is a key ingredient for the company's continuing success: SMBs have been much slower to look at Linux over Windows because of the specialized skills traditionally involved.

"SMB IT people don't have needed Linux skills," Typaldos said. "They have Windows-oriented skills, not Linux-oriented skills. Xandros gives them a Linux solution that leverages Windows skill sets. A Windows administrator will be able to administer in Xandros in similar ways."

By making the administration and workflow of Xandros Linux easier than other Linux operating systems, the company hopes to carve out a bigger chunk of the SMB marketplace, Typaldos said.

"This is a huge step," he said. "The big idea here is community management by controlling workflow to make installation and configuration fail-proof ... which is what you need for smaller departments and SMBs. Linux can now go where it has never gone before. That's what we're bringing to the Linux community."

Dana Gardner, an analyst with Interarbor Solutions LLC in Gilford, N.H., said Xandros' approach could be successful in the Linux marketplace for many SMBs. "I think there has been inevitable creep in the kernel," Gardner said. "There are instances where people want a slim and lean approach" as opposed to a large-scale operating system. "Businesses that want to have that will want this kind of thing in the marketplace. It starts as a niche, but it could become prominent," depending on how it is offered and encouraged by resellers.