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Yes of course, Any of the major distros have a special business package. Look espesially into redhat www.redhat.com and debian (Google uses Debian) and Suse www.suse.com look into the business package, it's not going to be free but it's a great product.
There is no yes or no answer to that question. My suggestion to you is to go to the distro you want to use and look at their license. My understanding of the GNU and GPL license's state that as long as you don't sell their software for profit it's safe. It's nice to hear businesses moving this direction.
You can find plenty of info abou the GPL at the FSF website. It's OK to use Linux in a commercial environment. In fact there are plenty of businesses already using Linux. Yes, you can sell GPL software for "as much as they wish or can".
It's the (commercial)application that's the deciding factor in choosing an Operating Software.
Is Your application available for a certain OS.
If you have to develop a new application organization's who focus their efforts on linux offer lower costs then MS oriented organization's.
Linux is still more stable then MS windows although they have improved on that area.
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