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Future of Open Source
5TH Annual Leadership Keynote
The Panel
2
Jim Whitehurst
President & CEO
Mike Olson
CEO
Michael Skok
General Partner
Tom Erickson
CEO
Adrian Kunzle
Managing Director
Agenda
3
Industry
Impact
Direction
Investment
Collaborators
4
5
Who we heard from.
(you!)
Survey Response
6
Survey Respondents
7
Vendors Non-Vendors
%%
Survey Respondent’s Titles
8
9
FutureOpensource.net
Agenda
10
Industry
Impact
Direction
Investment
Backdrop
11
Turbulent economy
Get Out the Vote!
12
66937
Is a turbulent economy
good (goodfor)
or
bad (badfor)
for Open Source?
Is a Turbulent Economy Good or Bad
for Open Source?
13
0%
20%
40%
60%
80%
100%
Good Bad
2009 2010 2011
LIVE Vote!
Txt Your Vote to 66937
15
What makes Open Source software
most attractive?
“quality”Better Quality Software….
Lower Acquisition Costs… “lower”
Abundance of Code…..…. “abundance”
Flexibility…………............. “flexibility”
Rapid Pace of Innovation.. “rapid”
Superior Security…………. “superior”
Vendor Freedom……….... “vendor”
What Makes OSS Attractive?
16
Lower costs
Freedom from
VENDOR Lock-in
Access to code
libraries
Lower costs
Superior security
Freedom from
VENDOR lock-in
Lower costs
Freedom from
VENDOR lock-in
Rapid pace of
innovation
2008 2009 2010 2011
Freedom from
VENDOR lock-in
Lower costs
Flexibility
18%
15%
15%
15%
14%
13%
7%
3%
Tipping Point – What’s Driving Adoption?
18
Vendor
Lock-in
Economic
Downturn
Public Sector
Adoption
Private Sector
Adoption
OSS
Experience
Quality
Other
Mobility
Top Barriers to OSS Selection
20
Lack of internal technical skills
Unfamiliarity with open source solutions
Lack of formal commercial vendor support
126
122
98
responses
84
65
Legal concerns about licensing
Does not conform to internal policies
What Sectors will be Disrupted by OSS
Over the Next 5 Years?
22
Mobile
OS
DatabaseMOST
LEASTERP/CRM
Office
Productivity
Business
Intelligence
How is the use of OSS Components impacting
the Manageability of Applications?
24
More
Less
None
29%
24%
47%
26%
20%
14%
15%
17%
8%
Top Vendor Revenue Sources Today
26
Custom
Development
Support
Subscriptions
Ad-hoc
Support
“Closed-source”
Licensing
Value-add
Subscriptions
Other
17%
25%
7%
20%
18%
9%
4%
+ 2
Years
Advertisements
LIVE Vote!
Txt Your Vote to 66937
29
Which of the following will have the greatest
impact on software delivery for OS vendors?
“software”Software-as-a-Service.......
Mobile Devices………….... “devices”
Private Clouds……………. “private”
Public Cloud Computing.... “computing”
App Stores………………... “stores”
Impact on OSS Vendors?
31
SaaS
Private
Cloud
Public
Cloud
App Stores
Mobile
Devices
Cool OSS Projects mentioned…
32
2009
Top 5 up & coming OSS Companies
35
2010 2011
Agenda
36
Industry
Impact
Direction
Investment
22% 72%
2.7%
24%
OSS Investment – by the numbers
37
2009
Dollars
Invested
Deals
Completed
Ave Deal
Size
Seed,
Series A
$375M 73 $5.7M $65M
$466M
71
$7.0M $112M
Agenda
39
Industry
Impact
Direction
Investment
96
67
62
75
42
94
89
85
OSS Deployed in Your Organization
40
75%-100%
50%-75%
25%
-50%
0%-
25%
Percentage of OSS is Deployed
Responses
Today
In 5
Yrs
IN 5 YEARS: What % of Software
Purchases Will be OSS?
42
2015
2014
50% or more on OSS
2016
2013
Wrap-up: The Open Source Path
43
OSS is Mainstream…
44
Private Sector
Adoption
Lower
Costs
Growing
Investments
Avoid Vendor
Lock-In
Public Sector
Adoption Higher
Quality
… But Not Yet Mature!
45
 Internal technical skills
 Unfamiliarity
 Vendor support
Watch for Path Traps
46
 Innovation vs. bloat
 Maintenance costs
 DevOps
Opportunities!
47
Big Data
Mobile
Cloud
49
http://www.northbridge.com
/open-source
A big thank you from North Bridge to…
50

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