Microsoft Sees Open-Source Threat Looming Ever Larger

Seems Microsoft may finally be getting the picture that Linux and Open Source are for real and pose a serious threat. One thing I don't quite get though. From the article:
“while we believe our products provide customers with significant advantages in security and productivity, and generally have a lower total cost of ownership than open-source software, the popularization of the noncommercial software model continues to pose a significant challenge to our business model, including recent efforts by proponents of open-source software to convince governments worldwide to mandate the use of open-source software in their purchase and deployment of software products,”
Now, first I think it's fairly clear that at least parts of the MSFT solution are not secure. That aside though, they seem to be confusing Open Source and noncommercial. Ask Red Hat or Novell if their Open Source solutions are commercial or not. Remember, libre != gratis. Considering this info was in a “public” MSFT doc, you'd think due diligence would have caught this…
–jeremy