Amar; it sounds like apples and oranges to me. Lots of factors to consider, and there are significant differences in going with a hosted, supported, proprietary system versus an open source system. Feel free to contact me for specific recommendations.

I assume that you have looked at http://www.edutools.info for a feature comparison? Also, have you considered a http://moodle.com solution provider?

Anyway, there are many factors to consider.