Future of Open Source 5TH
Annual Leadership Keynote Michael Skok

The PanelJim Whitehurst Tom Erickson
Michael Skok Mike Olson Adrian KunzlePresident & CEO CEO General Partner CEO Managing Director 2

Welcome! Industry Investment Impact Direction
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Collaborators 4

Who we heard from. (you!)
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Survey Response 6

Survey Respondents Vendors Non-Vendors %
% 7

Survey Respondent’s Titles 8

Agenda Industry Impact Investment Direction
9

Is a Turbulent Economy Good
or Badfor Open Source?100% 2009 2010 2011 80% 60% 40% 20% 0% Good Bad 10

What Makes OSS Attractive? 2008
2009 2010 2011 Lower costs Lower costs Lower costs Freedom from VENDOR lock-in Freedom from Superior security Freedom fromVENDOR Lock-in VENDOR lock-in Lower costsAccess to code Freedom from Rapid pace of libraries VENDOR lock-in innovation Flexibility 11

Tipping Point – What’s Driving
Adoption? Other Mobility Vendor 3% 7% Lock-in 18% Quality 13% Economic 15% Downturn 14%Private Sector Adoption 15% 15% Public Sector OSS Adoption Experience 12

Top 5 Barriers to OSS
Selection Lack of internal technical skills 126 responses Unfamiliarity with open source solutions 122 Lack of formal commercial vendor support 98 Legal concerns about licensing 84 65 Does not conform to internal policies 13

Agenda Industry Investment Impact Direction
14

What Sectors will be Disrupted
by OSSOver the Next 5 Years? MobileMOST Database OS Office Productivity ERP/CRM LEAST Business Intelligence 15

How is The Use of
OSS ComponentsImpacting the Manageability of Applications? More 29% Less 24% None 47% 16

Top Vendor Revenue Sources Today,
and 2 years out… Other Advertisements Custom 8% Development Ad-hoc 4% 26% Support 17% 9% 17% 18% +2 Years 25% Value-add 15% 20%Subscriptions 7% 20% Support 14% Subscriptions “Closed-source” Licensing 17

What Licensing Strategy do you
use? (vendor question)Total Survey 45Responses 40 35 30 25 20 15 10 5 0 18

Impact on OSS Vendors? Mobile
Devices SaaS App Stores Public Cloud Private Cloud 19

Agenda Industry Investment Impact Direction
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Cool OSS Projects mentioned… 21

Up & Coming OSS Companies
2009 2010 2011 22

Magic Numbers $466M $7.0M $112M
24% 22% 72% Dollars Deals Ave Deal Seed, Invested Completed Size Series A2009 $375M 73 $5.7M $65M 2.7% 71 23

OSS Deployed in Your Organization
96 94 89 85 75Responses 67 62 42 0%- 25% 25% 75%-100% -50% 50%-75% In 5 Today Yrs Percentage of OSS is Deployed 24

IN 5 YEARS: What %
of SoftwarePurchases Will be OSS?50% or more on OSS 2016 2015 2014 2013 25

Wrap-up: The Open Source Path
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OSS is Mainstream… GrowingPublic Sector
Investments Higher Private Sector Adoption Adoption Quality Avoid Vendor Lower Lock-In Costs 27

… But Not Yet Mature!
Internal technical skills Unfamiliarity Vendor support 28

Watch for Path Traps 
Innovation vs. bloat  Maintenance costs  Ops-Dev 29

CloudOpportunities! Mobile Big Data 30

FutureOpensource.net 31

A big thank you from
North Bridge to… 32