Successfully reported this slideshow.
Free LibreOpen Source Software    Guest Lecture for the course Business Aspectsof Software Industry     Prof. dr. Frederik...
This presentation can be found at             http://questier.comhttp://www.slideshare.net/Frederik_Questier
Learning objectives➢   What is FLOSS?➢   How is it developed?➢   What are possible business models?
Learning objectives➢   What are good reasons to    ➢   use FLOSS    ➢   contribute to FLOSS➢   as an    ➢   individual    ...
Contents➢   Ethics➢   Software model➢   Development model➢   Business models
Our social responsibility:              how open is the future?Werken met portfolios04/10/05 | pag. 7
Early software days➢   In the 1950s and into the 1960s almost all software was    produced by computer science academics a...
Open Letter toHobbyists:“Your sharing isstealing”Bill Gates, 1976
"The most fundamental  way of helping other          people,   is to teach peoplehow to do things better or how to better ...
1980s: RMS defined              “Free Software”➢   The freedom to➢   use➢   study➢   distribute➢   improve    the program ...
1998: “Open Source” sounds better as “Free Software”?
Different kinds of software➢   Proprietary software (closed source – commercial)    ➢   $$$➢   Shareware    ➢   x days for...
Free Software Licenses➢   The freedoms are guaranteed and enforced by licenses,    e.g.    ➢   GNU GPL (General Public Lic...
1991 comp sci    studentUsenet posting to thenewsgroup"comp.os.minix.":“Im doing a (free)operating system (just ahobby, wo...
6117 persons, 659 companieshave contributed to Linux kernel
Linus Torvalds“Making Linux GPLdwas definitelythe best thing I ever did.”                          18
"Congratulations, youre on the winning team.Linux has crossed the chasm to mainstream adoption."     ➢   Jeffrey Hammond, ...
Linux runs 92% of Top 500 Super Computers
Top 20 of 381 Linux Distributions  tracked by distrowatch.com
Copyleft Frederik Questier, Vrije Universiteit Brussel   22
Copyleft Frederik Questier, Vrije Universiteit Brussel   24
Copyleft Frederik Questier, Vrije Universiteit Brussel   25
“Halloween Document I” (1998) Microsoft confidential memo:➢   “OSS poses a direct, short-term revenue    and platform thre...
“Halloween Document I” (1998)     Microsoft confidential memo:➢   “Recent case studies (the Internet) provide very    dram...
“Halloween Document II” (1998)  Microsoft confidential memo:➢   “Linux represents a best-of-breed UNIX, that is    trusted...
“Halloween Document VII” (2002)Microsoft confidential survey results:➢   81% were at least somewhat familiar with OSS    ➢...
“Halloween Document VIII” (2002)  Microsoft confidential memo:➢   Microsoft tries to develop an emergency-    response tea...
“Halloween Document X” (2004)  Microsoft confidential memo:➢   Shows how Microsoft gave money under the    table to SCO to...
Open Source browsers dominate!
➢   Compatible with MS Office➢   Cross-platform (Win, Linux, Mac, ...)➢   Open document Format (ODF)    ➢   XML based, OAS...
Drupal meeting Antwerp 2005
Drupalcon DC 2009
Drupal    Content Management Platform➢   Powers 2% of websites    ➢   USA White House, MTV UK, Sony Music, Al Jazeera, ......
➢   Founded 2007➢   $23.5 million venture capital➢   700 enterprise customers➢   109 employees➢   quarterly revenue increa...
My personal example                      43
1998: how it started➢   In a Belgian University    ➢   many people were frustrated        by the inflexible, non-free elea...
2004: fork 1original author wants to break free➢   Growing number of users    ➢   outside the university    ➢   requesting...
2010: fork 2the community wants to break free                                46
Automated Chamilo analysis      by Ohloh.net                             47
48
Yes, there is ahuge world of FLOSS communities                                  49
Build and Manage  a Community?Werken met portfolios04/10/05 | pag. 50
DevelopmentLinus Torvalds stylerelease early and oftendelegate everything you canbe open to the point of promiscuityLinus ...
Book published underOpen Publication License19 lessons for open sourcedevelopmentCommercial development= Cathedral styleOp...
53
54
The Cathedral and the Bazaar           about developers1. Every good work of software        starts by scratching a develo...
The Cathedral and the Bazaar              about users6. Treating your users as co-developers is your least-hassle    route...
The Cathedral and the Bazaar           about development17. A security system is only as secure as its secret.        Bewa...
FLOSS characteristics      User friendly                                      ← written by users for users      Cross-plat...
59
60
Business ?
Gartner:“24% of software market”
Study on Economic impact                         Study on the Economic impact of open source software on innovation       ...
Study on Economic impact                         Study on the Economic impact of open source software on innovation       ...
Study on Economic impact                         Study on the Economic impact of open source software on innovation       ...
"Open Source: Why Freedom                      Makes a Better Business Model"                      Mårten Mickos, CEO MySQ...
Success in FLOSS requires you to serve➢ those who spend time to save money➢ those who spend money to save time    -- Mårte...
"Open Source: Why Freedom                    Makes a Better Business Model"                    Mårten Mickos, CEO MySQL, 2...
Creating wealth by sharing     "Seven open source business strategies for competitive advantage”                John Koeni...
business models                         www.flossmetrics.org   2009Werken met portfolios04/10/05 | pag. 70
Werken met portfolios04/10/05 | pag. 71
Android
Possible effects on society and economy         Example: extremadura➢   poorly developed region → economic revival     ➢  ...
Issues and criticism                     about FLOSS➢   Plethora of choice. Not easy to select best➢   Compatibility issue...
Where to find more                            FLOSS?    ➢    Use your software package manager           ➢   if your are u...
Where to find more                             FLOSS?    ➢    http://livecdlist.com/           ➢   If you want to test sof...
Reflect about these questions➢   Why would you use FLOSS    as an individual?➢   Why would you use FLOSS internally    as ...
Why would you use FLOSS            as an individual?➢   Freedom➢   Quality    ➢   Made by users for users    ➢   Robustnes...
Why would you use FLOSS    internally as an organisation?➢   Less dependencies    ➢   No data lock-in    ➢   No vendor loc...
Why would you use FLOSS in yourproducts or contribute to/as FLOSS?  ➢   If selling licenses is not core of business model ...
JoachimHenkel,2004
Open Society? ➢     "How open is the future?        Future Economic, Social & Cultural Scenarios        based on Free & Op...
DARE                                                         TO SHARECopyleft Frederik Questier, Vrije Universiteit Brusse...
Qu    estTh      ion   ank     s?       s!
This presentation was made    with 100% Free Software    No animals were harmed@fquestie – http://questier.com
Copyright acknowledgements➢   Screenshot http://www.chamilo.org/➢   http://www.desktoplinux.com/news/NS7546509093.html➢   ...
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Free Libre Open Source Software - Business aspects of software industry
Upcoming SlideShare
Loading in …5
×

Free Libre Open Source Software - Business aspects of software industry

1,406 views

Published on

F. Questier, Free Libre Open Source Software - Guest Lecture for the course Business Aspects of Software Industry of Prof. M. Goldchstein and Prof. T. Crispeels, with students from management science, computer science and civil engineering, Vrije Universiteit Brussel (17/04/13)

Published in: Technology
  • Be the first to comment

Free Libre Open Source Software - Business aspects of software industry

  1. 1. Free LibreOpen Source Software Guest Lecture for the course Business Aspectsof Software Industry Prof. dr. Frederik Questier Vrije Universiteit Brussel 17th of April 2013
  2. 2. This presentation can be found at http://questier.comhttp://www.slideshare.net/Frederik_Questier
  3. 3. Learning objectives➢ What is FLOSS?➢ How is it developed?➢ What are possible business models?
  4. 4. Learning objectives➢ What are good reasons to ➢ use FLOSS ➢ contribute to FLOSS➢ as an ➢ individual ➢ organisation?
  5. 5. Contents➢ Ethics➢ Software model➢ Development model➢ Business models
  6. 6. Our social responsibility: how open is the future?Werken met portfolios04/10/05 | pag. 7
  7. 7. Early software days➢ In the 1950s and into the 1960s almost all software was produced by computer science academics and corporate researchers working in collaboration.➢ Source code was generally distributed with the software➢ Examples: ➢ IBM “SHARE” user group ➢ Digital Equipment Computer Users Society (DECUS)Source code: if encrypt(password) == encryptedpassword, then login=1, endCompiled code: 00100101110101001100110000111101100011000111000110101
  8. 8. Open Letter toHobbyists:“Your sharing isstealing”Bill Gates, 1976
  9. 9. "The most fundamental way of helping other people, is to teach peoplehow to do things better or how to better their lives. For people who use computers, this means sharing the recipes you use on your computer, in other wordsthe programs you run." 10
  10. 10. 1980s: RMS defined “Free Software”➢ The freedom to➢ use➢ study➢ distribute➢ improve the program 11
  11. 11. 1998: “Open Source” sounds better as “Free Software”?
  12. 12. Different kinds of software➢ Proprietary software (closed source – commercial) ➢ $$$➢ Shareware ➢ x days for free, afterwards $➢ Adware ➢ for free, with ads➢ Freeware ➢ for free (small projects and often spyware!)➢ Free Software / Open Source Software ➢ Free as in Freedom, not as in free beer ➢ OSS, FOSS, FLOSS (Free Libre Open Source Software)
  13. 13. Free Software Licenses➢ The freedoms are guaranteed and enforced by licenses, e.g. ➢ GNU GPL (General Public License) ➢ The 4 freedoms + copyleft (share alike) ➢ if binary offered, source code must be offered too ➢ (on request, at low cost) ➢ must stay GPL. ➢ BSD (Berkeley Software Distribution) ➢ Attribution ➢ No copyleft requirements for distribution ➢ BSD code often in closed source software (MS, Mac, ...) ➢ Apple Public Source License v2
  14. 14. 1991 comp sci studentUsenet posting to thenewsgroup"comp.os.minix.":“Im doing a (free)operating system (just ahobby, wont be big andprofessional like gnu) for386(486) AT clones.”
  15. 15. 6117 persons, 659 companieshave contributed to Linux kernel
  16. 16. Linus Torvalds“Making Linux GPLdwas definitelythe best thing I ever did.” 18
  17. 17. "Congratulations, youre on the winning team.Linux has crossed the chasm to mainstream adoption." ➢ Jeffrey Hammond, principal analyst at Forrester Research, LinuxCon, 2010“Linux has come to dominate almost every category ofcomputing, with the exception of the desktop” ➢ Jim Zemlin, Linux Foundation Executive Director, 2011
  18. 18. Linux runs 92% of Top 500 Super Computers
  19. 19. Top 20 of 381 Linux Distributions tracked by distrowatch.com
  20. 20. Copyleft Frederik Questier, Vrije Universiteit Brussel 22
  21. 21. Copyleft Frederik Questier, Vrije Universiteit Brussel 24
  22. 22. Copyleft Frederik Questier, Vrije Universiteit Brussel 25
  23. 23. “Halloween Document I” (1998) Microsoft confidential memo:➢ “OSS poses a direct, short-term revenue and platform threat to Microsoft, particularly in server space.➢ Additionally, the intrinsic parallelism and free idea exchange in OSS has benefits that are not replicable with our current licensing model and therefore present a long term developer mindshare threat.”➢ FUD tactics can not be used to combat it.
  24. 24. “Halloween Document I” (1998) Microsoft confidential memo:➢ “Recent case studies (the Internet) provide very dramatic evidence ... that commercial quality can be achieved / exceeded by OSS projects.”➢ “Linux and other OSS advocates are making a progressively more credible argument that OSS software is at least as robust -- if not more -- than commercial alternatives. The Internet provides an ideal, high-visibility showcase for the OSS world.”➢ “OSS is long-term credible”
  25. 25. “Halloween Document II” (1998) Microsoft confidential memo:➢ “Linux represents a best-of-breed UNIX, that is trusted in mission critical applications, and - due to its open source code - has a long term credibility which exceeds many other competitive OSs.”➢ “Most of the primary apps that people require when they move to Linux are already available for free. This includes web servers, POP clients, mail servers, text editors, etc”➢ “Consumers Love It.”➢ “The effect of patents and copyright in combatting Linux remains to be investigated.”
  26. 26. “Halloween Document VII” (2002)Microsoft confidential survey results:➢ 81% were at least somewhat familiar with OSS ➢ 78% of those had a favorable impression of OSS➢ 77% were at least somewhat familiar with Linux ➢ 86% of those had a favorable impression of Linux➢ most compelling reasons to support OSS: ➢ 40%: “Low total cost of ownership” ➢ 34%: “Alternative to Microsoft”
  27. 27. “Halloween Document VIII” (2002) Microsoft confidential memo:➢ Microsoft tries to develop an emergency- response team to cope with Linux conversion announcements
  28. 28. “Halloween Document X” (2004) Microsoft confidential memo:➢ Shows how Microsoft gave money under the table to SCO to attack Linux with copyright claims.➢ 2007 & 2010: court ruled that Novell, not SCO, is the rightful owner of the copyrights covering the Unix operating system.➢ Novell announced "We dont believe there is Unix in Linux"
  29. 29. Open Source browsers dominate!
  30. 30. ➢ Compatible with MS Office➢ Cross-platform (Win, Linux, Mac, ...)➢ Open document Format (ODF) ➢ XML based, OASIS & ISO standard➢ PDF & Flash export➢ Bibliographic manager
  31. 31. Drupal meeting Antwerp 2005
  32. 32. Drupalcon DC 2009
  33. 33. Drupal Content Management Platform➢ Powers 2% of websites ➢ USA White House, MTV UK, Sony Music, Al Jazeera, ...➢ 1111 themes➢ 9732 modules➢ 7815 developers➢ 1M registered users on drupal.org➢ 2M/month unique visitors on drupal.org
  34. 34. ➢ Founded 2007➢ $23.5 million venture capital➢ 700 enterprise customers➢ 109 employees➢ quarterly revenue increased 300 percent between the first quarters of 2010 and 2011
  35. 35. My personal example 43
  36. 36. 1998: how it started➢ In a Belgian University ➢ many people were frustrated by the inflexible, non-free elearning systems they had to use ➢ Prof. dr. Thomas Depraetere ➢ starts the Claroline e-learning platform ➢ publishes it as Free Software ➢ got grants for it 44
  37. 37. 2004: fork 1original author wants to break free➢ Growing number of users ➢ outside the university ➢ requesting professional services ➢ Prof. dr. Thomas Depraetere ➢ starts a company, Dokeos ➢ cant call it Claroline, cause university has trademark ➢ can reuse software code, as it is Free !!! 45
  38. 38. 2010: fork 2the community wants to break free 46
  39. 39. Automated Chamilo analysis by Ohloh.net 47
  40. 40. 48
  41. 41. Yes, there is ahuge world of FLOSS communities 49
  42. 42. Build and Manage a Community?Werken met portfolios04/10/05 | pag. 50
  43. 43. DevelopmentLinus Torvalds stylerelease early and oftendelegate everything you canbe open to the point of promiscuityLinus Law"given enough eyeballs,all bugs are shallow." 51
  44. 44. Book published underOpen Publication License19 lessons for open sourcedevelopmentCommercial development= Cathedral styleOpen Source development= Bazaar style 52
  45. 45. 53
  46. 46. 54
  47. 47. The Cathedral and the Bazaar about developers1. Every good work of software starts by scratching a developers personal itch.2. Good programmers know what to write. Great ones know what to rewrite (and reuse). 55
  48. 48. The Cathedral and the Bazaar about users6. Treating your users as co-developers is your least-hassle route to rapid code improvement and effective debugging.7. Release early. Release often. And listen to your customers.8. Given a large enough beta-tester and co-developer base, almost every problem will be characterized quickly and the fix obvious to someone.11. The next best thing to having good ideas is recognizing good ideas from your users. Sometimes the latter is better. 56
  49. 49. The Cathedral and the Bazaar about development17. A security system is only as secure as its secret. Beware of pseudo-secrets.18. To solve an interesting problem, start by finding a problem that is interesting to you.19. Provided the development coordinator has a medium at least as good as the Internet, and knows how to lead without coercion, many heads are inevitably better than one. 57
  50. 50. FLOSS characteristics User friendly ← written by users for users Cross-platform ← recompile source code High development pace ← reuse of best modules High quality ← peer review, reuse = survival of the fittest High security ← peer review, Unix origin, modular, encryptionCopyleft Frederik Questier, Vrije Universiteit Brussel 58
  51. 51. 59
  52. 52. 60
  53. 53. Business ?
  54. 54. Gartner:“24% of software market”
  55. 55. Study on Economic impact Study on the Economic impact of open source software on innovation and the competitiveness of the Information and Communication Technologies (ICT) sector in the EU, 2006, R.A. Ghosh, UNU-MERIT, NL. et al., 287 pp. ➢ FLOSS applications are 1st, 2nd, 3rd in many markets ➢ High market penetration ➢ 65% written by individuals, 15% companies, 20% other institutions ➢ FLOSS code base = $12B ➢ FLOSS code base = 131000 programmers years ➢ FLOSS code base doubles every 18-24 months ➢ Proprietary software firms only responsible for 10% of total software developers, so no cannibalisation fear ➢ FLOSS can save companies 36% on R&D costs ➢ Unique (European) opportunities to create new software businessesWerken met portfolios04/10/05 | pag. 63
  56. 56. Study on Economic impact Study on the Economic impact of open source software on innovation and the competitiveness of the Information and Communication Technologies (ICT) sector in the EU, 2006, R.A. Ghosh, UNU-MERIT, NL. et al., 287 pp.Werken met portfolios04/10/05 | pag. 64
  57. 57. Study on Economic impact Study on the Economic impact of open source software on innovation and the competitiveness of the Information and Communication Technologies (ICT) sector in the EU, 2006, R.A. Ghosh, UNU-MERIT, NL. et al., 287 pp.Werken met portfolios04/10/05 | pag. 65
  58. 58. "Open Source: Why Freedom Makes a Better Business Model" Mårten Mickos, CEO MySQL, 2009 ➢ FLOSS ➢ is ➢ not against ownership ➢ not anti-commercial ➢ not a business model ➢ but is ➢ a smarter way to produce the goods ➢ a smarter way to distribute the goods ➢ Differentiation!Werken met portfolios04/10/05 | pag. 66
  59. 59. Success in FLOSS requires you to serve➢ those who spend time to save money➢ those who spend money to save time -- Mårten Mickos, CEO MySQL 67
  60. 60. "Open Source: Why Freedom Makes a Better Business Model" Mårten Mickos, CEO MySQL, 2009 ➢ Software freedom allows you to tap into innovation power and network effects otherwise not availableWerken met portfolios04/10/05 | pag. 68
  61. 61. Creating wealth by sharing "Seven open source business strategies for competitive advantage” John Koenig, IT Managers Journal, 2004“Companies continue towaste their developmentdollars on softwarefunctionality that isotherwise free andavailable through OpenSource. They persist inbuying third-partyproprietary platforms orcreating their ownproprietary developmentplatforms that delivermarginal productdifferentiation and limitedvalue to customers” Picture reproduced with permission 69
  62. 62. business models www.flossmetrics.org 2009Werken met portfolios04/10/05 | pag. 70
  63. 63. Werken met portfolios04/10/05 | pag. 71
  64. 64. Android
  65. 65. Possible effects on society and economy Example: extremadura➢ poorly developed region → economic revival ➢ based on FLOSS (customized GNU/LinEx)➢ computer access for every student ➢ saved >18M € on initial 80,000 school computers ➢ total software cost: 1.08 Euro/PC/year➢ bigger project ➢ stimuli for companies, centres for citizens➢ economic revival -> European regional innovation award
  66. 66. Issues and criticism about FLOSS➢ Plethora of choice. Not easy to select best➢ Compatibility issues, mainly with software that keeps formats secret➢ Limited out of the box support in free downloads for: ➢ DRMed media ➢ Encrypted media (decryption of DVD needs a paid license) ➢ Patented multimedia codecs➢ Sometimes limited support for exotic hardware➢ Less games available➢ “Copyleft licenses are viral” (Steve Balmer)➢ “Linux is a cancer” (Steve Balmer)
  67. 67. Where to find more FLOSS? ➢ Use your software package manager ➢ if your are using a Free and Open Operating System! ➢ Sourceforge.net ➢ Hosting and tools for >240K Open Source projects ➢ >2M registered users (contributors) ➢ Freshmeat.net ➢ >40.000 projects, mostly Free Software ➢ Google: x AND GPL OR “open source” ➢ Osalt.com : Open Source alternativesWerken met portfolios04/10/05 | pag. 77
  68. 68. Where to find more FLOSS? ➢ http://livecdlist.com/ ➢ If you want to test software without installing ➢ http://www.theopendisc.com/ ➢ High Quality OSS for Windows: Firefox, Openoffice, Inkscape, Scribus, Clamwin, GIMP, Audacity, Filezilla, 7- zip, PDFCreator, Freemind, ...Werken met portfolios04/10/05 | pag. 78
  69. 69. Reflect about these questions➢ Why would you use FLOSS as an individual?➢ Why would you use FLOSS internally as an organisation?➢ Why would you use FLOSS in your products or contribute to FLOSS as an organisation?
  70. 70. Why would you use FLOSS as an individual?➢ Freedom➢ Quality ➢ Made by users for users ➢ Robustness➢ Security & trust➢ Fun - learn skills➢ Use on old / many machines➢ No costs➢ Avoid piracy
  71. 71. Why would you use FLOSS internally as an organisation?➢ Less dependencies ➢ No data lock-in ➢ No vendor lock-in ➢ Many companies can give support ➢ Eternal license ➢ Platform independency (code can be recompiled)➢ No license costs, low TCO➢ No license management burden➢ Security audits possible
  72. 72. Why would you use FLOSS in yourproducts or contribute to/as FLOSS? ➢ If selling licenses is not core of business model ➢ Non-paying users can be useful in different ways (market share, feedback, contributions, ...) ➢ No need for anti-piracy and sales efforts ➢ Less development costs by reuse ➢ Join bigger networks, collaboration ➢ Foster external innovation ➢ Reputation ➢ No exclusion when clients require FLOSS
  73. 73. JoachimHenkel,2004
  74. 74. Open Society? ➢ "How open is the future? Future Economic, Social & Cultural Scenarios based on Free & Open Source Software" Book: Eds. M. Wynants & J. Cornelis (Crosstalks) Open Courseware and Open Scientific Publications Chapter: F. Questier, W. Schreurs Openly published under CCPL See questier.com, crosstalks.vub.ac.beWerken met portfolios04/10/05 | pag. 84
  75. 75. DARE TO SHARECopyleft Frederik Questier, Vrije Universiteit Brussel 85
  76. 76. Qu estTh ion ank s? s!
  77. 77. This presentation was made with 100% Free Software No animals were harmed@fquestie – http://questier.com
  78. 78. Copyright acknowledgements➢ Screenshot http://www.chamilo.org/➢ http://www.desktoplinux.com/news/NS7546509093.html➢ L’associazione studentesca S.P.R.I.Te. http://www.geektees.com/funny-shirts/software-is-like-sex-its-better-when-its-free-t-shirt/➢ Cartoon Open Source Fish by openssoft➢ Question mark CC-by by Stefan Baudy➢ Photo Gears: Ralphbijker @ Flickr (CC-by)➢ T-Shirt “Best things in life are free” by http://zazzle.com➢ Photo Linus Torvalds: GFDL. Permission of Martin Streicher, Editor-in-Chief, LINUXMAG.com➢ The Cathedral & The Bazaar from http://diyda.org➢ The Cathedral & The Bazaar [visual notes] #oped12, CC-by-nc-sa by giulia.forsythe➢ Picture (open source business strategies) from IT Managers Journal, may 2004, with personal permission from John Koenig➢ Drupalcon DC 2009 copyright by “Chris” (Flickr)➢ Screenshot Acquia➢ Screenshot http://www.openhandsetalliance.com/➢ Screenshot https://developers.facebook.com/opensource/➢ Screenshot ohloh.net➢ Screenshot Google➢ http://www.graphs.net/201208/byod-in-schools-and-companies.html➢ GNU Head Joseph W. Reiss Free Art License or the GNU GPLv2➢ Share matches CC-by-nc-nd by Josh Harper

×