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it.can presentation on open source

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I gave a speech, along with Thomas Prowse (Genband) and Fred Dixon (Blindside Networks) at the IT.Can Annual Conference (PDF) in Montreal last week. The following is the paper that went along with the presentation, for whatever it’s worth. Not particularly earth-shattering but an approach that is a little different than user/purchaser centric approach I usually see about the topic in other papers and presentations, at least within the realm of those addressed to lawyers. Also in Word format: IT.Can 2010 open source (paper) v2.

Many other great presentations as well, by some of the leading IT practitioners in Canada. Not a member? Consider joining. Well worth it.

OPEN SOURCE BUSINESS MODELS

by David Ma[1]

1.                  INTRODUCTION

This paper will: (a) review some of the more common business models used to exploit intellectual property; (b) describe, in brief, what open source is; and (c) identify characteristics of open source licenses as they pertain to those business models.

It is oriented primarily to owners or developers of intellectual property that are contemplating the alternatives available to them in the commercial exploitation of that IP. The general context on which this paper focuses is the development and exploitation of software. However, some or all of the principles described below may be applied in other contexts, and we describe some of these briefly toward the end of the paper.

The intent of this paper is not to advocate open source business models as the definitive way to undertake such a venture. Rather, it is to familiarize the reader with the underpinnings of what is becoming an increasingly prevalent approach to exploiting IP which warrants serious consideration as an alternative to more traditional methods – namely, a proprietary licensing model which emphasizes the treatment of underlying source code as a trade secret. It may well be that the particular circumstances of a business undertaking do not lend themselves to such models. However, it would be, in the author’s opinion, inadvisable not to give them due consideration.

Read more it.can presentation on open source ›

chrome a windows killer? i doubt it

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Read an article in eWeek that left me scratching my head a bit. The nub below:

Google may be treading lightly with Chrome now, but the browser, combined with Google’s search and Apps, could end up being a big threat to Microsoft Windows’ market share.

Then later:

When Google accidentally leaked its Chrome comic book Sept. 1, reporters and analysts, including yours truly and my colleague Joe Wilcox, argued that Google could make Chrome the premier Web operating system by combining it with its market-leading search engine and increasingly popular SAAS (software as a service) applications. This would eventually constitute a threat to Windows.

And that would spell doom for Microsoft. It’s one thing to squeeze Microsoft out of the Internet game by dominating search and Web services. It’s another entirely to come after the software giant’s core operating system business, wielding the Web as your platform.

Must admit I have a lot of trouble seeing that, as I would have thought in order to supplant Windows, it would need to be gone, and to go from a browser that sits on an o/s to replacing the o/s seems to be a rather large leap. A huge leap, actually.

What they’re suggesting might happen is already a possibility today. There is definitely something that can supplant Windows altogether, and provide access to all the web-oriented apps, etc. that Google offers. Its cheap (sometimes free), stable and has pretty good UIs – in fact, a selection of UIs and different flavours. Its called Linux. However, for a variety reasons, it hasn’t kicked Microsoft’s ass yet (at least on the desktop – there are a few areas where it definitely does, such as web and other server functions).

To suggest, then, that, because Google has come out with a browser, that that will lead to the supplanting of Windows seems, IMHO, to be a bit far-fetched. I’m not suggesting that Google wouldn’t have the wherewithal to try to go after the desktop. They may do so. Though I’m not sure if they’d want to – they have a pretty good business model already…

Anyway, if and when they do something like that it will be so much larger an undertaking than Chrome that the links between that and Chrome would be tenuous at best, other than possibly bundling Chrome within whatever o/s they create.

Even possibly on the application front, I can see Google putting some pressure on MS, and how this might tie with Chrome. But not the o/s on which the whole thing runs.

So I think for the time being, Bill and Steve probably don’t have much to worry about with Chrome’s introduction, at least when it comes to the o/s business (IE on the other hand, is another matter altogether…).

The Virtues and Evils of Open Source

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Yes, I know, I’ve been behind lately. A ton of very interesting things to catch up on. But I’d like to put in one quick note about open source code. I recently came across an article, written last year by a lawyer, generally advising development companies not to use open source. I don’t quite recall where it was (if I did I’d link to it) but I do remember it being quite clear in stating that using open source is A Bad Thing and to avoid it altogether – not just to be careful, but rather to treat it as one would radioactive waste.

With respect, I don’t quite agree. I certainly advise my clients to take a great deal of caution in using open source code, particularly the GPL variety, and very particularly if they have a desire to keep some or all of their own secret, proprietary code secret and proprietary. That being said, I do have many, many clients who have used open source code to great advantage in various ways. Some have simply used existing open source code to avoid reinventing the wheel (and saving on costs), while taking care to keep viral elements out of their proprietary code. Others have been more aggressive with the open source model and have intentionally decided to use open source as the basis for their business model and making their very own code, or parts of it, either open source or subject to a dual-licensing model. As the Red Hats, JBosses, Sleepycats, MySQLs etc. etc. of the world have demonstrated, you can go open source and still have a pretty viable business. And, of course, there are the “old world” companies like IBM who have decided to go open source (in some limited ways – e.g. IBM’s DB2 Express-C thing).

Of course, this is not to suggest that anyone through caution to the wind and just start pulling down stuff from Sourceforge and whacking it into your product. Use of open source definitely requires some planning ahead and consideration of what the business model and value proposition of your business will be. Optimally, enlist the help of a lawyer who’s familiar with open source licenses to discuss what you plan to do and the packages you plan to use. Or, if that’s not feasible, try at least to read the applicable licenses yourself and ensure you comply with them, because if you don’t think that anyone will notice, or that no one will actually sue you, you may want to pay a visit to the GPL Violations Site and reconsider, in addition to the questions that will be asked of you when the due diligence starts on your next round of financing or, even worse, your (aborted) exit event. Can badly managed open source usage (and I emphasize badly managed, not simply open source usage) kill a deal? Definitely.

In short – I don’t think open source is necessarily a bad thing. In fact, it can be a pretty good thing, not just in the social good sense and all that, but also as a business. But it need to be used taking into account its terms of use and ensuring that its consistent with the strategy you plan to take.

If perhaps there’s one thing I’d recommend it would be for shops to make absolutely sure they have a disciplined approach in tracking where code comes from and the terms under which its being used and why its being used. That applies not only to open source stuff, but also, for example, your programmers taking neat snippets of code from Dr. Dobbs or something else, or coming across a nice little script somewhere on the Web and saying “Gee, that’s neat, let’s use it in our product”.

Anyway, if I remember where the article was I’ll update this to include a link.