This lecture looks at Open Source products as the shape of things to come. Open Source is completely changing the software industry and the same models are starting to be applied to hardware and creative works.
2. Overview
What is Open Source
Open Source companies
- How can you make money when you give away
your IP?
Examples and adoption
Open Source Licenses
Open Source creations and hardware
Future of Open Source
3. What is Open Source?
Extension of free
Free so far:
- Give away product or service
Open Source:
- Give away the Intellectual Property
- Allows others to
- Read the code
- Fix bugs and add features
- Sell the software or service
Uses other meaning free (Libra)
- Free as in Speech
5. Linux
Free, Open Source Operating System
Created by Linus Torvalds
Licensed under GNU GPL
Originally PC only
Now ported to more platforms than any other OS
95% of top 500 fastest computers use Linux
Many Distributions
- Ubuntu
- Debian
- Red Hat / Fedora
- SUSE
6. Andoid
Linux-based mobile operating system
Most popular Mobile OS
- 83% smart phone market
- 1 million apps published
- 50B apps downloaded
- 1B Android devices activated
Acquired by Google 2005
2007 Nov - Open Handset Alliance
- Google, Samsung, HTC, Sony, Sprint Nextel, T-Mobile,
Qualcomm, Texas Instruments
2008 Oct - HTC Dream
7. Apache Server
Originally based on
NCSA HTTPd
2005 - Work started
2009 - first to serve
100 million websites
Today – Powers 54.2%
active websites
- Followed by Microsoft
16%
8. MySQL
Most popular OSS server DB
Defacto standard for Web
development
Powers many big websites
Company bought by sun and
now Oracle
Developers left and forked
the code: MariaDB
14. Why do people use it?
800 vendor and non
vendor respondents
1. Quality
2. Freedom from lock-in
3. Flexibility of access to
large software libraries
4. Scalability
5. Superior security
6. Pace of innovaton
7. Lower cost
8. Access to source code
"It's been recognized that software
is eating the world,” said Michael
Skok, general partner at North
Bridge Venture Partners. “Our
survey points to the fact that open
source is eating the software
world."
http://www.pcworld.com/article/2035651/open-source-is-taking-over-the-software-world-survey-says.html
15. Open Source Adoption
“We migrated key functions from Windows to Linux because we needed an operating
system that was stable and reliable -- one that would give us in-house control. So if we
needed to patch, adjust, or adapt, we could.”
United Space Alliance,
Manages computer systems for
the International Space Station
"Every license for Office plus Windows in Brazil - a country in
which 22 million people are starving - means we have to
export 60 sacks of soybeans," says Marcelo D'Elia Branco,
coordinator of the country’s Free Software Project
16. Open Source Adoption
Major websites all run on open source
- Facebook
- Twitter
- Linkedin
- Google
- Amazon
- Wikipedia
Virgin America (in-flight entertainment)
KLM – Web services
London stock exchange – trading platform
New York stock exchange – trading applications
Banco do Brasil – biggest bank in Brazil, desktops, ATMs
French Parliament moved to Ubuntu on desktop PCs in 2007
French Gendarmerie Nationale switch to Ubuntu by 2015
http://en.wikipedia.org/wiki/List_of_Linux_adopters
Linux Ecosystem is
around $30B [IDC]
- Red Hat
- Ubuntu
- IBM’s open source
consulting
17. Where did it come from?
Richard Stallman
- Software fredom activist
- Free Software Foundation
- GNU project
- “Information SHOULD be free”
Linus Torvalis
- Creator of Linux
- Most pervasive OSS project
Apache foundation
- Founded 1999
- Community collaboration
- Apache server
- Apache license
- OSS brand
"open source is an intellectual property destroyer. I can't imagine something
that could be worse than this for the software business and the intellectual-
property business.”- Jim Allchin Microsoft executive (2001)
18. Open Source origins
1998 Netscape public release of browser
- Was Navigator became Firefox
Meeting convened by Tim O’Reilly
New term: Open Source
- Avoided “free” muddied by Stallman ideology
19. Why would anyone do it?
Corporations
Everyone uses open source
- Except small number of
Windows only shops
- Software involves solving the
same problems over and over
- Open source means someone
solves is right once and
everyone else uses it
- Sharing makes sense for non-
competitive features
Attracting top talent
- Developers go to places that
support it
Developers
Way to make a name
- Celebrity developers
- Proven abilities
- High salaries
Even pre-celebrity
- Create a portfolio
- Good for job seeking
20. How can you make
money from OSS?
Ownership comes from
- Knowledge of code base
- Active development
- Community support
- Brand
Can sell
- Pro version / Close source add-ons (i.e. Freemium model)
- IDEA Intellij,
- A SaaS service using the software (usually Freemium)
- e.g. Wordpress, Suger Sync
- Other services
- Custom development services
- Support and maintenance
23. OSS Licenses
PermissiveConstrained
BSD
ApacheGNU GPL
Lesser GNU GPL
Mozilla
Netscape
Viral: Requires
modifications are open
sourced under the
same license
“Copy Left”
Non-Viral: No
restrictions on the
publication of
modifications
Implied license of
patents
24. Creative Commons
OS licenses for creative works
“The Flower of Scotland”
- CC license
License control
- Distribution
- Attribution
- Derivative works
- Sharing
- Commercial/Non-commercial
25. Open Source Hardware
Open source hardware designs
Benefit from community input
Business models leverage Brand
Popular in emerging areas
- 3d printers
- Arial drones
- Robotics
RepRap 3D printer
26. Future
Prediction: Within 10 years all broadly adopted
software will be either Open Source or SaaS
Why?
- Free is an economic force of gravity
- Reproducing software has zero marginal cost
- For every piece of broadly adopted software today,
someone is making an Open Source version
- Many of these are getting better and better
- Once its good enough the free version will win
Will Paid software continue to exist?
- Yes – High end needs, niche functionality
27. Summary
What is Open Source
Open Source companies
- How can you make money when you give away
your IP?
Examples and adoption
Open Source Licenses
Open Source creations and hardware
Future of Open Source