In recent years, a general trend has changed as more and more people are shifting towards open source software. Before bringing out the differences between open and closed source software, it is important to understand what the two means. Software comprises of two parts i.e. source code and object code. A source code means logically written statements which are executed with the help of compiler. The source code is not used directly by the software, but is kept in a compiled form with the help of compiler. This compiled form is known as object code. This object code is the one which is used by the software. Closed source software is one where the source code is kept by the vendor and the user is only provided with the object code, thus restricting the freedom to modify the source code. Most of the time, internal functionality cannot be modified in case of close source softwares. While, in case of open source, the vendor also provides the source code, thus offering the user greater freedom to modify and copy the software. Closed source software as a result has to bring out new versions each time, new modifications are done on the software. But in recent times, closed source software has been criticized by many people because people feel that most of the time there is not much of difference between the old and new versions and it’s just a business strategy to showcase a new version as better product than previous version to increase its sales (MacCormack, 2006). This report will compare the two mostly used operating systems: Windows and Linux bring out the differences and benefits of Linux over Windows. Linux isopen source software while Windows has been closed source software which is owned by Microsoft. This report will also focus on the changing of trend in recent years.