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Linux and Open Source

Steven J. Vaughan-Nichols & Paula Rooney

Changing open source terms bad move in a recession

By | October 8, 2008, 7:25am PDT

Summary: A lot of open source companies will merge or combine or sink in the next several months, and this was no time to stick a fork in the liferaft.

SpringSource logoIn a time of recession people look closely at the fine print.

They want everything they are entitled to, and will not spend a penny more than they have to.

It’s a bad time to change your terms in search of support contracts, as SpringSource learned recently.

In a bid to raise enterprise contract revenues, SpringSource decided last month to limit updates for its community version.  Now it has reversed course, CEO Rod Johnson explaining things in this blog post.

Some have stated concerns that Spring would cease to be open source. The phrase “license change” kept being bandied around—despite the fact that we were not changing the licenses of any Spring code. While such speculation was unfounded, it’s still concerning.

Yes indeedy doodily.

Both the action, and reaction, were born out of fear, which needs no reason.

It’s possible that in flush times these changes might have stuck. They were not license changes. They reflected only terms under which SpringSource would give away code. It’s a corporate-managed code base used mainly by enterprises.

But life is unfair, and now SpringSource has to live through stories telling people who never heard of it how it tried to grab code out of the hands of script kiddies. Or not give them updates.

All this hurts its position as it tries to dance the survival dance with other players in enterprise open source. A lot of open source companies will merge or combine or sink in the next several months, and this was no time to stick a fork in the liferaft. 

Don’t make the same mistake.

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Dana Blankenhorn has been a business journalist for 30 years, a tech freelancer since 1983.

Disclosure

Dana Blankenhorn

Dana Blankenhorn has been a journalist, writer and part-time futurist for over 30 years.

At the present moment I run only a personal blog in addition to my ZDNet open source blog.

DanaBlankenhorn.Com has the subtitle The War Against Oil. In the past I have used it to write about political history, e-commerce, personal matters, some ideas related to open source, and The World of Always On, which is the idea of using sensors, motes and RFID to turn WiFi links into platforms for applications which live in the air.

My IRA account at Schwab holds a few tech shares, most notably some Intel and Applied Materials, but there are no open source companies in it. I don’t even own any CBS stock.

Biography

Dana Blankenhorn

Dana Blankenhorn has been a business journalist for nearly 25 years and has covered the online world professionally since 1985. He founded the Interactive Age Daily for CMP Media, and has written for the Chicago Tribune, Advertising Age's "NetMarketing" supplement, and dozens of other publications over the years.

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Open source is more than just a model.
piddlypoo 9th Oct 2008
It's practically a whole other culture. So, of course if you only look at it from your own culture's perspective it would defy common sense. To understand open source, try being open minded.
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Open Source flawed model
LuciusF@... 8th Oct 2008
If a car manufacture engineers a car, it does not release its blue-prints for free. If an architect designs a house he or she does not release his plans for free.
The equivalent of an engineering blue print or architecural drawing is source code.
Why would someone believe that basic rules of capitalism are different for open source. It defies common sense.
The financial crisis and the economic recession might finally uncover the open source economic flaw.
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What "defies common sense"...
Henrik Moller 8th Oct 2008
...is how, after years and years of having it explained, some people Just Don't Get It about open source. Words on one syllable:

We don't sell bits, we sell service.

(Well, "service" has two syllables.)

Your car mechanic doesn't sell cars, or anything else tangible, but still manages to stay in business. People who paint houses don't sell you anything either, nor does your family doctor.

Why is it so hard for you to grasp that people will pay for services and that code, like your car, needs to be serviced once in a while?
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Re: Open Source flawed model
fred.flintstone.1032 8th Oct 2008
First off, the idea that the Open Source model is flawed is so patently ridiculous that it's almost not worth responding to. Almost. If Open Source is so flawed, why have the incumbents like Microsoft and Sun been battling it so heavily? Why has Sun just given up and joined in the Open Source movement with OpenSolaris, Glassfish and making Java Open Source? Why are companies like Red Hat making over half a billion a year on Open Source? Seriously, that's just a stupid comment.

Second off, with the economy crashing in flames, Open Source will more likely do *better* than before. If you can get a commercially supported Open Source software package for a fraction of the cost of its closed source competitor, wouldn't you be fiscally irresponsible not to?

When times are tight, folks want to tighten the purse strings. Open Source fits quite nicely there.
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Analogies are a flawed model
daengbo 9th Oct 2008
Analogies are ultimately flawed, but I'd say that the OSS model is more like a condominium developer than an architect-- more a mechanic than a car manufacturer.

I'm sure a condo developer could release its designs for free because there is so much more to the business than just the plans. There's location. There's the zoning. There are the condo fees and service which continue to bring in revenue for years.

A mechanic could probably tell you exactly what parts and procedure he uses, even though you might be able to go home and do it yourself later.

I don't really know much about those professions, but I DO know about restaurants. Any chef at a fine dining restaurant will be happy to give you a complete recipe for any dish because:
1) You can't cook it as well as he will; and
2) You go to the restaurant for much more than the food. It's the entire experience.
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It's practically a whole other culture. So, of course if you only look at it from your own culture's perspective it would defy common sense. To understand open source, try being open minded.
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No change needed for OSS
Linux Geek 8th Oct 2008
At the end of the day the OSS companies will be profitable and the M$ and Apple will be in line for bailout.
They'll keep him nice and toasty with satisfaction when he's standing on the Bread Line....

Snark aside - OSS uses a business case similar to television (selling advertising and services) as opposed to going to the movies (leasing the limited use of an intangible). Which has been steadily doing better, and is better able to cope w/a flop - like THE POSTMAN, or Windws Vista, say...?

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