Because it's free, open-source, can be modified and used as desired without licensing issues in most scenarios.
It already can. There are some fax machines on the market with linux drivers. There is also linux based software that can run a computer-based fax (many fax servers run on Linux). There are also online fax services that will work on Linux through the web browser (they don't run "on the os" but they are fully browser-friendly).
Linux has already surpassed all other operating systems for web servers. The growth rate for new servers is slowing, but it is still ahead of Windows servers.
All types, from web browsers to CAD software, from image editing to web servers, from industrial control software to video games.
This is difficult to determine. Judging solely from server hardware sales, Linux has only about 30% of the market. However, most high level sites run Linux, and it seems likely that Linux has a much higher market share than is indicated. More importantly, since the majority of Linux distributions are available freely, a large portion of Linux servers are not accounted for in many market share statistics because these stastics are approximated based on license sales. Therefore the very large number of Linux servers that are running on freely distributed licenses are not included in these calculations.
Businesses use Linux for a wide variety of purposes. Some use it for web servers or other file servers. Others use them for engineering or multimedia workstations. Others use them directly as the operating system for products they make, such as cell phones and PDAs. Google does all of the above with Linux.
Just about anything. But most people deploy them as web servers.
There are really to many to accurately list Generally Linux is deployed for most dedicated servers and host and array of different things the most common of which is LAMP (Linux Apache MYSQL PHP) which is the Linux based Web Server package
The difference is simply what operating system the web host's servers are running. Linux web hosts typically support PHP, MySQL, and related software. Windows hosts typically support ASP and related software (along with some form of an SQL server, but that varies by host). It does not matter whether you run Windows or Linux (or another operating system) on your machine.
Yes. Most web cams are supported by the v4l (Video for Linux) module.
In my personal opinion, No, a Linux server is the better answer for the web. I would recommend a windows server only when running asp/.net, and with the introduction of mono (an apache module), Linux machines can run .net (although I've never used this, myself, and it is in its infancy). Linux, in general, has much better thread and memory handling than Windows. In a multi-threaded web server, it should serve you better. Remember, that things like this are always a personal preference type of thing, and the debate between Windows and Linux is fierce. My advice would be to look up benchmarking information for Windows web servers and Linux web servers, and see which would suit your needs.
There are numerous web servers available on Linux, but by far the most popular and most well-supported has to be Apache, which also serves the majority of web sites on the Internet.
Sure it can, and its the default browser of ubuntu-linux