Open Source Business Model

Success of some companies in their OpenSource type of BusinessModel is said to be impacting results for even the gigantic MicrosoftWay in fiscal 2005. It is therefore important for people working in the InformationAndCommunicationTechnology industry have better understanding of why and how this work.

I am surprised to read in articles that some OpenSource software companies sell an ?identical version of their work to other software companies for a fee, and the buyer companies get the benefit of not having to release the source of their value added solution.

Why would that be a surprise? Seems like the obvious compromise.

Companies like SleepyCat?, who market BerkelyDbXml?, are said to be doing extremely well in 2004.

EmbraceAndExtend as part of the BusinessModel?

Did I read somewhere that companies, not limited to MicroSoft, donate their technology into the OpenSource, hoping to

gain points on reputation with endusers
gain converts (they call partners) who subsequently have to licence an "advanced version" of their donated standard (but nolonger OpenSource) to do more serious applications?

I don't know. Did you? And why are you asking me about what you read?

Resources

No consensus for a single model, and ... http://www.clickz.com/experts/brand/sense/article.php/3446031

The business of open source software http://www.hecker.org/writings/setting-up-shop

Focus on the product halo.. http://www.extropia.com/tutorials/misc/opensourcebiz.html

users don't want to pay http://www.pcquest.com/content/techtrends/100112905.asp

Also look up news about JBOSS, whose BusinessModel was admittedly adopted by OpenSource BusinessProcessManagementSystem? vendor of Intalio.

related material on C2

TheMozillaProject

CategoryEmployment