4TH Annual Leadership Keynote
Tim Yeaton
President & CEO
Larry Augustin
CEO
Dries Buytaert
CTO & Co-FounderJim Whitehurst
President & CEO
Michael Skok
General Partner
January 22, 2015 2
Direction
January 22, 2015 3
Industry
Investment
Industry
Investment
Direction
1/22/2015 4
January 22, 2015 5
Who Took the
2010 Survey?
20092010
January 22, 2015 6
Vendors Non-Vendors
%%
January 22, 2015 7
Vendors Non-Vendors
January 22, 2015 8
Which sectors are susceptible to disruption?
What are the barriers for Open Source?
What business strategies create value?
1/22/2015 9
242
206
181
Direction
January 22, 2015 10
Industry
Investment
Industry
Investment
Direction
January 22, 2015 11
0%
20%
40%
60%
80%
100%
Good Bad
2009 2010
Lower costs
Superior security
Freedom of VENDOR
Lock
Community support
Access to code libraries
Rapid pace of innovation
Freedom of DIY
Lower costs
Superior security
Freedom of VENDOR lock-
in
Better quality software
Access to code libraries
Rapid pace of innovation
Freedom of DIY
2008
2009 Lower costs
Superior security
Freedom of VENDOR lock-in
Better quality software
Access to code libraries
Rapid pace of innovation
Freedom of DIY
2010
January 22, 2015 12
Economic
Downturn
Public Sector
Adoption
Private Sector
Adoption
Past
Experience
With OSS
Other
January 22, 2015 13
January 22, 2015 14
Barriers to OSS?206
Unfamiliarity with open source solutions
Lack of internal technical skills
Lack of formal commercial vendor support
January 22, 2015 15
1
2
3
January 22, 2015 16
January 22, 2015 17
ERP/CRM
Office Productivity
WCM/CMS/
Social Software
Operating
Systems
Database
Security tools
MOST Susceptible to Disruption
LEAST Susceptible to Disruption
242
January 22, 2015 18
Office Productivity
MOST Susceptible to Disruption
LEAST Susceptible to Disruption
242
Office Productivity
MoreLess
Same
2009
2010
January 22, 2015 19
January 22, 2015 20
So, what ARE you
doing with OSS?
Vendors
Non-Vendors
January 22, 2015 21
Build & Sell
OSS
Exclusively
Build & Sell
OSS &
Proprietary
Build Solutions
on OSS
Limited OSS
Use
Substantial
OSS Use
Exclusive OSS
Use
Other
January 22, 2015 22
Services
Support
Custom
software for
clients
Traditional
license sales
SaaS
Cloud
computing
Other
Appliance
sales
12%
29%
27%
9%
31%
38%
Dual Licensing
Pro-Serv & Consulting
Subscription-based Support
2009
2010
January 22, 2015 23
Which business strategies will create
the most value for OSS Vendors ?
181
0% 20% 40% 60%
2010
2009
2008
January 22, 2015 24
SaaS
Virtualized
Infrastructure
Cloud
Computing
January 22, 2015 25
January 22, 2015 26
2009
2010
Direction
January 22, 2015 27
Industry
Investment
Industry
Investment
Direction
1/22/2015 28
37%
$375M
Dollars
Invested
20%
66
Deals
Done
12
12
M&A $4.3B
Overall
Exists
1.2
Direction
January 22, 2015 29
Industry
Investment
Industry
Investment
Direction
1/22/2015 30
OPEN
142
111
119
155
% of IT Deployment which is OSS
January 22, 2015 31
75%-100%
50%-75%
25%
-50%
0%-
25%
January 22, 2015 32
2009-2014
2010-2015
2008-2013
50% or more on OSS
Direction
January 22, 2015 33
Industry
Investment
Industry
Investment
Direction
Tipping point
New sectors
Innovation
But…
1/22/2015 34
See Try Buy Fly Die
See Try Buy Fly Die
Open Source barriers:
Skills?Visibility?
Unfamiliarity
Value add? Solo?
Vendor support
Free?
DeveloperUser
See Try Buy Fly Die
Live OpenCommercial Open Source v2.0:
Open Source barriers:
Marketplace
Friction free
Self service
On demand
… as a Service
Supported
Skills?Visibility?
Unfamiliarity
Value add? Solo?
Vendor support
Free?
Managed
January 22, 2015 38
tinyurl.com/FOOS2010

2010 North Bridge Future of Open Source Study