Open Source and business models

Talk "Open Source and business models" delivered at Ibiza Tech Forum 2024

Transcript

1. Open Source and business models Juan Luis Cano Rodríguez <hello@juanlu.space> 2024-04-25 Ibiza Tech Forum
2. 2011 - Marc Andreessen: "Software is eating the world"
3. 2022 - Joseph Jacks: "Open Source Is Eating Software FASTER than Software Is Eating The World"
4. Europe: €1 bn invested, impact of €65 to €95 bn ("The impact of Open Source Software and Hardware on technological independence, competitiveness and innovation in the EU economy", European Commission, 2021) Globally: $8.8 tn value, would require 3.5x more spend if it didn't exist ("The Value of Open Source Software", Harvard Business School, 2024)
5. WordPress: +40% of all websites MySQL: Used at Facebook to manage petabytes of data Linux: +96% of all web servers, 100% of world's 500 fastest supercomputers PyTorch: Powers ChatGPT and most open Large Language Models
7. Open Source Definition 1. Free Redistribution 2. Source Code 3. Derived Works ... 6. No Discrimination Against Fields of Endeavor
8. Permission is hereby granted, free of charge, to any person obtaining a copy of this software and associated documentation files (the “Software”), to deal in the Software without restriction, including without limitation the rights to use, copy, modify, merge, publish, distribute, sublicense, and/or sell copies of the Software, and to permit persons to whom the Software is furnished to do so, subject to the following conditions: The above copyright notice and this permission notice shall be included in all copies or substantial portions of the Software. THE SOFTWARE IS PROVIDED “AS IS”, WITHOUT WARRANTY OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND NONINFRINGEMENT. IN NO EVENT SHALL THE AUTHORS OR COPYRIGHT HOLDERS BE LIABLE FOR ANY CLAIM, DAMAGES OR OTHER LIABILITY, WHETHER IN AN ACTION OF CONTRACT, TORT OR OTHERWISE, ARISING FROM, OUT OF OR IN CONNECTION WITH THE SOFTWARE OR THE USE OR OTHER DEALINGS IN THE SOFTWARE.
9. Everybody consumes open source. How to monetize its creation?
10. Why to open source? ➡ Brand recognition among developers ➡ Top of funnel awareness ➡ Tech talent attraction and retention ➡ Commoditize technology ➡ ESG
11. How to open source? (Short answer)
12. How to open source? (Long answer) ➡ Dual licensing Restrict commercial applications in open product, sell commercial rights separately (Example: Qt) ➡ "Open Core" Basic product is open, users can purchase an enhanced version (Example: GitLab) ➡ SaaS (Software-as-a-Service) Self-hosted product is open, SaaS is paid (Example: Penpot) ➡ Professional Services Product is open, offer consulting on top of it (Example: cURL)
13. 90 % of developers say belonging to a community has a profound impact ("State of European Tech Communities", Codemotion, 2023) Nurture your developer community
16. Open Source and business models Juan Luis Cano Rodríguez <hello@juanlu.space> 2024-04-25 Ibiza Tech Forum