Economic Paradox




           If Open Source Software
     is distributed for free, where will the
               money come from?
Most Common Business Models
 Open Source and Commercial versions

 Advertising on free software

 New product development (based on existing OSS)

 Software Engineering Services (using OSS tools & frameworks/

 components)

 Consulting Services (Migration to OSS & customization)

 Technical Support

 Training

 Documentation

                                                                3
Open Source
Business Models
    in G2iX
G2iX

       Founded 2001
        Focused on enabling businesses with
        innovative solutions
           Award-winning engineering team         Globally Delivered Engineering Services
           World-class open source engineering
           automation
           Leading open source applications
           Scalable cloud computing platform            Build and Test Automation
       Our employees from Australia to Germany,
       from US to the Philippines consistently
       deliver innovation for our worldwide
       customers
                                                     Cloud Computing Infrastructure




                                                                                            5
G2iX
 important milestones

  Gluecode acquisition by IBM

  Logicblaze acquisition by IONA

 Open Source

  OSCON in Portland, POSS in PH, Software Freedom Day

  Eclipse Foundation & Apache Software Foundation

  Speakers in ApacheCon, Committers in Apache, Eclipse & OpenQA projects, First (and

  only) Filipina VP in Apache

 Awards




                                                                                       6
Software Development
 OS cuts down research & development cost

 Tools

  Redmine, Eclipse IDE, Maven, Selenium, etc.

 OS speeds up delivery

 examples

  For a telecom company, Liferay Portal was used as the core of their client facing portal

  For NPN, a financing company in LA, Spring framework was utilized to build the

  foundation of their loan & mortgage management system




                                                                                             7
Proprietary components to OSS

                      Oakgrove BPM




        Proprietary                  Open Source

                                                   8
New Product :: Maestro


                                  Distributed Engineering
                                   with a common build
                                          mapping




             Asynchronous                                      Extensive re-use
             Development                                          of software
              around the                                            artifacts
                 world                                           (Ingredients)




                                     Frequent testing of
                                  integration and functions


    Adapting the best practices of Open Source development processes to the Enterprise



                                                                                         9
Challenging Business Model

 Technical Support


      “Ad hoc support services are used by nearly 70% of the
        vendors assessed, but represent the primary revenue
     stream for fewer than 8% of open-source-related vendors”




  Codes in established OSS are really good

  Actual developers in the OS project

  Technical Support Engineers & Highly skilled Software Engineers



                                                                    10
Other points
 revenue not from the main product but from ancillary services

 skills needed

   Technical

   Management (Financial, Marketing, etc)




                                                                 11
Thank You

          Questions?
                  Jaque Sara
               jaque@g2ix.com
                www.g2ix.com
www.exist.com www.maestrodev.com www.mor.ph
G2iX University

Code Camp (April 2010)
   OJT (April 2010)

 inquire-ecc@g2ix.com
  apply-ecc@g2ix.com



             G2iXU
         existcodecamp

Open Source Business Models

  • 2.
    Economic Paradox If Open Source Software is distributed for free, where will the money come from?
  • 3.
    Most Common BusinessModels Open Source and Commercial versions Advertising on free software New product development (based on existing OSS) Software Engineering Services (using OSS tools & frameworks/ components) Consulting Services (Migration to OSS & customization) Technical Support Training Documentation 3
  • 4.
  • 5.
    G2iX Founded 2001 Focused on enabling businesses with innovative solutions Award-winning engineering team Globally Delivered Engineering Services World-class open source engineering automation Leading open source applications Scalable cloud computing platform Build and Test Automation Our employees from Australia to Germany, from US to the Philippines consistently deliver innovation for our worldwide customers Cloud Computing Infrastructure 5
  • 6.
    G2iX important milestones Gluecode acquisition by IBM Logicblaze acquisition by IONA Open Source OSCON in Portland, POSS in PH, Software Freedom Day Eclipse Foundation & Apache Software Foundation Speakers in ApacheCon, Committers in Apache, Eclipse & OpenQA projects, First (and only) Filipina VP in Apache Awards 6
  • 7.
    Software Development OScuts down research & development cost Tools Redmine, Eclipse IDE, Maven, Selenium, etc. OS speeds up delivery examples For a telecom company, Liferay Portal was used as the core of their client facing portal For NPN, a financing company in LA, Spring framework was utilized to build the foundation of their loan & mortgage management system 7
  • 8.
    Proprietary components toOSS Oakgrove BPM Proprietary Open Source 8
  • 9.
    New Product ::Maestro Distributed Engineering with a common build mapping Asynchronous Extensive re-use Development of software around the artifacts world (Ingredients) Frequent testing of integration and functions Adapting the best practices of Open Source development processes to the Enterprise 9
  • 10.
    Challenging Business Model Technical Support “Ad hoc support services are used by nearly 70% of the vendors assessed, but represent the primary revenue stream for fewer than 8% of open-source-related vendors” Codes in established OSS are really good Actual developers in the OS project Technical Support Engineers & Highly skilled Software Engineers 10
  • 11.
    Other points revenuenot from the main product but from ancillary services skills needed Technical Management (Financial, Marketing, etc) 11
  • 12.
    Thank You Questions? Jaque Sara jaque@g2ix.com www.g2ix.com www.exist.com www.maestrodev.com www.mor.ph
  • 13.
    G2iX University Code Camp(April 2010) OJT (April 2010) inquire-ecc@g2ix.com apply-ecc@g2ix.com G2iXU existcodecamp