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Players and driving forces

of the evolving Open Source landscape

and how to make use of them



                        ...
Players and driving forces

of the evolving Open Source landscape

and how to make use of them


        1) Overview types...
"It is not from the benevolence of the butcher,

the brewer or the baker, that we expect our dinner,

but from their regar...
Economy is a Value-Adding human activity allowing sustainable growth of wealth
(for those having access to restricted reso...
Changing business model


Proprietary:                                      Open Source:
characteristics the of “War model...
Economy will remain the Value-Adding human activity where:

     1) growth of wealth becomes more and more dependent on in...
Every Economy regardless of business models must be self-sustainable:




                                - value is being...
Who are the main participants nowadays?



          - End-user


          - Hacker


          - Corporate


          -...
Private user (early acceptor)

Motivation / Interests:
                   - cost savings;
                   - support an ...
Hacker / developer (one of the first inhabitants of the eco-system)

Motivation / Interests:
                   - sharing ...
Corporate

Motivation / Interests:
                   - free basis for their commercial products;
                   - fre...
Academia

Motivation / Interests:
                   - of scientific research.

Commitment:
                    - to long-...
Public Administration (late comer)

Motivation / Interests:
                   - political: independence of foreign suppli...
Product focused foundations (e.g. Apache, Blender, Mozilla, NLnet Labs)

Motivation / Interests:
                   - test...
Foundations with mission

Motivation / Interests:
                   - fulfil own mission.

Commitment:
                  ...
t   !                                                Av
                              en                                  ...
Netto Payers




             Public administration


                                              Academia
Mission
focus...
Playground of FLOSS contributors



                                         Corporate



                                ...
If you as user need working tools to operate ...




   Corporate

   Product Foundation                                  ...
If you need to earn money ...

                                                        As long, as our worldwide economy
 ...
If you need to save money ...



                                       - buy products with OSS
   End-user               ...
The message is simple:
                                                    Acting out of your own self-interest
          ...
Not everything is Economy and Commerce

So, if you have idealistic intentions:




                                       ...
Advise to corporates:           Learn the “Microsoft trick”


In most countries donations to a charity organisation are de...
Apply the “Microsoft trick” to make money and improve the world




>> Set up non-profit organisation or use an existing o...
Proprietary:                              Open Source:
characteristics of the “War model”        characteristics of the “O...
Make [code you] Love - Not War !
10011000101000111010011000011001011001110001100110101001010000110110011010001110000
01010...
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"Players and driving forces of the evolving Open Source landscape" by Valer Mischenko @ eLiberatica 2009

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This is a presentation held at eLiberatica 2009.

http://www.eliberatica.ro/2009/

One of the biggest events of its kind in Eastern Europe, eLiberatica brings community leaders from around the world to discuss about the hottest topics in FLOSS movement, demonstrating the advantages of adopting, using and developing Open Source and Free Software solutions.

The eLiberatica organizational committee together with our speakers and guests, have graciously allowed media representatives and all attendees to photograph, videotape and otherwise record their sessions, on the condition that the photos, videos and recordings are licensed under the Creative Commons Share-Alike 3.0 License.

Published in: Technology, News & Politics
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"Players and driving forces of the evolving Open Source landscape" by Valer Mischenko @ eLiberatica 2009

  1. 1. Players and driving forces of the evolving Open Source landscape and how to make use of them V.Mischenko NLnet Foundation Amsterdam, The Netherlands eLiberatica 2009, Bucharest, May 23 This presentation does not necessarily reflect the official positions of NLnet Foundation
  2. 2. Players and driving forces of the evolving Open Source landscape and how to make use of them 1) Overview types of players, their motivations, financial and other interests in Open Source 2) How they reach their goals by utilizing the interest of the others 3) Reveal the 'Microsoft trick' – earn money by doing nothing 4) Propose the scheme which helps corporates earn / save money and at the same time make our world better
  3. 3. "It is not from the benevolence of the butcher, the brewer or the baker, that we expect our dinner, but from their regard to their own self interest. We address ourselves, not to their humanity but to their self-love, and never talk to them of our own necessities but of their advantages". Adam Smith, The Wealth of Nations
  4. 4. Economy is a Value-Adding human activity allowing sustainable growth of wealth (for those having access to restricted resources) Natural & other restricted resources So urc e Maker $ User Wo e lu ed rk Va dd A Product
  5. 5. Changing business model Proprietary: Open Source: characteristics the of “War model” characteristics of the “Open model” - World as battlefield - World as construction site - Assault the market - Defend principles - Kill competitor - Encourage to join in - Occupy and defend territory - Discover new free territories - Seal all ways out - Open all ways - Spy (on customer) - Be transparent - Keep all information secret - Keep all information open - Propaganda as important weapon - Advantages are evident, to one thinking - Punish any freedom claims on the - Stimulate to take as much freedom as occupied territory one can endure
  6. 6. Economy will remain the Value-Adding human activity where: 1) growth of wealth becomes more and more dependent on intellectual resources; 2) access to these 'new natural resources' cannot be restricted by any concessions. Creator (Hacker) in Bra k wor (Semi-finished) Intellectual product So urc e Maker € User Wo e lu ed rk Va dd A Product
  7. 7. Every Economy regardless of business models must be self-sustainable: - value is being added by participants, - all participants benefit from their participation, - new comers are encouraged to join. Self-sustainability prerequisite: participants acting out of their self-interest can reach their goals by utilizing the interest of the others.
  8. 8. Who are the main participants nowadays? - End-user - Hacker - Corporate - Academia - Public administration - Product focused foundations - Mission focused foundations
  9. 9. Private user (early acceptor) Motivation / Interests: - cost savings; - support an idea, a product or a group doing right things; - interoperability; - addition to own experiments; - lack of proprietor solution. Commitment: - short-term to zero. Contribution (-): - testing / feed-back; - donations (“Here are some bucks I can, but you guys cannot miss”) Earning (+): - cost saving.
  10. 10. Hacker / developer (one of the first inhabitants of the eco-system) Motivation / Interests: - sharing and learning; - excitement by getting things working and working better; - reputation, positive feedback from users; - being part of community. Commitment: - mostly short-term to mid-term Contribution (-): - valuable ideas; - development / testing time; - produce documentation; - train / help others; - own hardware. Earning (+): - working for companies developing open source technology; - making living out of consultancy, implementation, support, writing documentation; - getting grants and donations.
  11. 11. Corporate Motivation / Interests: - free basis for their commercial products; - free improvements from community; - development is regarded as internal investment; - influence on the market via standards; - saving on cost of use within the company; - social responsibility / public image. Commitment: - mostly long-term, to earn back investments made. Contribution (-): - concepts; - development: - intra-enterprise development, - extra-enterprise (“award” model); - infrastructure; - documentation; - offer free support. Earning (+): - selling 'packaged' open source product; - selling proprietory parts atop of open source; - selling related services and products; - selling knowledge.
  12. 12. Academia Motivation / Interests: - of scientific research. Commitment: - to long-term. Contribution (-): - research; - prototyping. Earning (+): - government funds for research; - cost saving.
  13. 13. Public Administration (late comer) Motivation / Interests: - political: independence of foreign supplier, security; - continuity; - save money on commercial licenses; - get rid of vendor-lock; - stimulating scientific research; - establishing standards; - creating local skills and jobs. Commitment: - long-term. Contribution (-): - provide funding to developers; - create broader base of users. Earning (+): - local public budgets; - government funds.
  14. 14. Product focused foundations (e.g. Apache, Blender, Mozilla, NLnet Labs) Motivation / Interests: - test a vision; - idealistic - help others; - implement exciting idea; - provide free / better alternative to proprietory product. Commitment: - long-term. Contribution (-): - vision and roadmap; - ready to use product; - support. Earning (+): - donations; - get paid for features on-demand; - selling consultancy.
  15. 15. Foundations with mission Motivation / Interests: - fulfil own mission. Commitment: - mid-term. Contribution (-): - cash for research and development; - own network of contacts. Earning (+): - varying sources.
  16. 16. t ! Av en e g ! rtis em Re rtism in cla e a rn dve mă nt ! W ke a ! i sl ook hisl T Dutch charity fund, which stimulates research and development in the domain of network technology We are interested in your inspiring ideas! + Non-bureaucratic, straightforward and quick application procedures + Strict and clear criteria for assessing incoming project proposals + No requirements to organisational or legal status of the applicant + No requirements to the own capital of the applicant, neither to sponsoring from other sources + Great deal of our own technological expertise, as well as reliance on the broad network of experts + Dedication to Open Source principles and methods
  17. 17. Netto Payers Public administration Academia Mission focused foundation (end) User Product focused foundation Hacker Corporate Netto Contributors
  18. 18. Playground of FLOSS contributors Corporate Hacker Product foundation Academia Average profitability Research Oper. Systems Standard Solutions Services & extensions, Applications embedded User
  19. 19. If you as user need working tools to operate ... Corporate Product Foundation - get semi-finished product (code) for free Academia - customize for fit Public Administration If you want something from an OSS project, put your money where your demands are - contribute ideas End-user - test - donate
  20. 20. If you need to earn money ... As long, as our worldwide economy requires me to pay my bills, I need someone to pay me for my work. - customization, - implementation, Hacker - training for customized solution, - support, Corporate - apply for donations, but never base your business model upon keep awake, another noteworthy advise for corporates will follow shortly
  21. 21. If you need to save money ... - buy products with OSS End-user - search for applications and features Corporate - actively shop for customization Academia - shop for support - these all might be cheaper than you think Public Administration The time of crisis is the time of change – not vendor change, but attitude change!
  22. 22. The message is simple: Acting out of your own self-interest you can reach your goals by utilizing the interest of the others In the language of the hacker: - If Bob needs something what Alice can make, Bob is ready to pay Alice for that. - If Alice makes something what Bob needs, she can earn money on that. This is universal, i.e. valid for both the old type and the new type of business model
  23. 23. Not everything is Economy and Commerce So, if you have idealistic intentions: - Learn - Teach - Use Academia - Stimulate - Promote - Donate Public Administration Corporate ess ve € € in exc Hacker If you finally ha End-user - Establish your own Mission- or Product- focused Foundation
  24. 24. Advise to corporates: Learn the “Microsoft trick” In most countries donations to a charity organisation are deductible from taxation Microsoft and others do that: >> Give you software packages to non-profits for free (preferably the most expensive ones) - No costs involved – reproduction costs for the software nears zero. - Enslave even bigger part of the market and keep competitors away. - Keep non-profits away from Open Source. - Get great public relation without any marketing expenses. >> Generate cash by doing virtually nothing! (not paying taxes is earning money). “Microsoft trick” applied within the War model
  25. 25. Apply the “Microsoft trick” to make money and improve the world >> Set up non-profit organisation or use an existing one >> Donate development hours to this organisation (e.g. your development overcapacity) >> Develop within these hours great Open Source products (software, hardware, creative work, everything) >> Release these products to the whole world >> Make world better and earn money on that! This works very good in economic downturn, but will remain working for high-days too. Or even better. Utilize “Microsoft trick” within the Open model !
  26. 26. Proprietary: Open Source: characteristics of the “War model” characteristics of the “Open model” - World as battlefield - World as construction site - Assault the market - Defend the concept - Kill competitor - Encourage to join in - Occupy and defend territory - Offer new free territories - Seal all ways out - Open all ways - Spy (on customer) - Transparent - Keep all information secret - Keep all information open - Propaganda as important weapon - Advantages are evident to one thinking - Punish any freedom claims on occupied - Stimulate to take as much freedom as territory one can endure Make the History – step out of the War model
  27. 27. Make [code you] Love - Not War ! 10011000101000111010011000011001011001110001100110101001010000110110011010001110000 01010011001001100110010100111000111110000101010101011010100110001010100011001011010 11000101000111010011000011001011001110001100110101001010000110110011010001110000101 10011001001100110010100111000111110000101010101011010100110001010100011001011011011 00101000111010011000011001011001110001100110101001010000110110011010001110000101010 11001001100110010100111000111110000101010101011010100110001010100011001011010011000 01000111010011000011001011001110001100110101001010000110110011010001110000111010011 10011001100101001110001111100001010101010110101001100010101000110010110100110001010 01110100110000110010110011100011001101010010100001101100110100011100001010100110010 11001100101001110001111100001010101010110101001100010101000110010110100110001010001 10100110000110010110110100110001010001110100110000110010110011100011001101010010100 01101100110100011100001010100110010011001100101001110001111100001010101010110101001 00010101000110010110100110001010001110100110000110010110011100011100110101001010000 10110011010001110000101010011001001100110010100111000111110000101010101011010100110 01010100011001011010011000101000111010011000011001011001110001110011010100101000011 11001101000111000010101001100100110011001010011100011111000010101010101101010011000 01010001100101101001100010100011101001100001100101101101001100010100011101001100001 00101100111000110011010100101000011011001101000111000010101100110010011001100101001 10001111100001010101010110101001100010101000110010110100111000101000111010011000011 01011001110001100110101001010000110110011010001110000101011101100100110011001010011 00111110000101010101011010100110001010100011001011010011000101000111010011000011001 11001110001100110101001010000110110011010001110000101011101100100110011001010011100 11110000101010101011010100110001010100011001011010011000101000111010011000011001010 0010101010101101010011000101010001100101101001100010100011100001010101010110101001

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