In Considering the Alternative, Matt Jadud makes a strong case for the use of open source learning management systems. Even when the institution has made an investment in proprietary technology (in this case WebCT) there are limitations to what you can do. While trying to integrate the existing WebCT platform with a Java application, Jadud found that the only viable options were to upgrade to WebCT Vista, for an additional >$65,000 investment, or leave the platform altogether. His research found that Moodle had all of the features and support of WebCT and Blackboard, for a tiny fraction of the cost.
Jadud concludes:
We believe there are few benefits to the community at large by investing in closed or proprietary solutions, especially when viable, open solutions exist. A course management solution like Moodle would have eliminated any question of whether our investment of integration effort would be possible (as we could easily use Moodle’s extensibility to our advantage) and valuable (as we would leverage one freely available educational product against another).

Moodle linkThere is a bad link in the blog entry, the correct link is moodle.org
moodle.orgchange made; thanks!