about open source business models

AboutOpenSourceBusinessModels

GaëlBlondelleDirectorofEuropeanEcosystemDevelopmentEclipseFounda>onEurope@gblondelleOctober12th2016–Vienna–IoT-EPITFBusinessModels

12yearsinOpenSourceandBusinessDevelopment

•  2004-2010:Co-founder@PetalsLink•  2007-2010:ChairmanoftheTechnologyCouncil@OW2•  2010-2013:OpenSourceBizdev@Obeo•  2010-2012:OPEESprojectmanager•  2011-2013:Boardmember@Kagilum•  Since2013:Director@theEclipseFounda>on

Oct2016 Copyright(c)2016,EclipseFounda?on,Inc.MadeavailableundertheEclipsePublicLicense1.0 2

Yourques>ons•  Whyopensourcingwhenyoucansell?•  Whatarethesuccessfulandsustainablemodels?•  Whatarethesuccessdriversandreallifeexamples?•  Canyougiveanontology(oracoupleofcases)?•  Whataretherelevantrevenuemodels?


Sometrends


Sometrends


Source: http://www.bloomberg.com/news/articles/2015-02-05/six-things-technology-has-made-insanely-cheap

Amustread


EasilydownloadableinPDFform

Withstoriesabout•  Freebikes•  Freerazors•  Freecars•  Freeairtravel

Takeaway•  Don’taskusersto

payforwhatisfree

•  Butfreestuffmakescustomerpayforaproduct

Sometrends

Newtechnologieslike

bigdatacloud

areavailablefirstlyinopensource


OpenSourceworkswellforpla`orms


InspiredbytheOPEESprojectteam

OPEES (ITEA 2 08019) – WP1 Task 1.2: Business Models

D1.2.1 deliverable OPEES

Open Platform for the Engineering of Embedded Systems •• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

Open-source business models

for Polarsys

Project number: ITEA 2 08019 Work package: WP1 Task: 1.2 Edited by: Romain Berrendonner (AdaCore) Date: 14/02/2013 Document version no: 1 Disclaimer: Contractors participating to this report shall incur no liability whatsoever for any damage or loss which may result from the use or exploitation of Information and/or Rights contained in this report.

This work is licensed under a Creative Commons Attribution-ShareAlike 3.0 France License:

http://creativecommons.org/licenses/by-sa/3.0/legalcode


PublicdeliverableoftheITEA2OPEESproject

Editorandleadauthor:RomainBerrendonner(Adacore)Withthepar?cipa?onofAirbus,CNES,CS,Indra,Obeo,SQS,UnivofSkövde,Xipp,Combitech,TCPSI,Thales

LargeOrganiza>onscoopera>on(1/2)OpenSourceextensiblepla`orm


Open source Communities

•  Large labs workforce

•  Technology leaders

•  Extensible platform

Publish a “game changing” technology in Open Source

Reduce platform cost

Developers

Large organizations

Open Source Foundation Events

Revenues from service/products built on top of the platform

Design and implement a rock solid extensible software

Loose

•  IBMwithEclips

e

•  RackSpace/

NasawithO

penStack

•  Boschanda

l.withIoT@

Eclipse

LargeOrganiza>onscoopera>on(1/2)OpenSourceextensiblepla`orm


Open source Communities

•  Large labs workforce

•  Technology leaders

•  Extensible platform

Publish a “game changing” technology in Open Source

Reduce platform cost

Developers

Large organizations

Open Source Foundation Events

Revenues from service/products built on top of the platform

Design and implement a rock solid extensible software

Loose

LargeOrganiza>onscoopera>on(2/2)OpenSourceFounda>on


Leading / Producing organization End-users Providers

A community of Software Developers Infrastructure and Processes

Tight Loose

Internet Events

Corporations (paying) Individuals (free)

Recurring membership fees Events registrations

Team Bandwidth and infra Events organization

Governance IP and Project management Ecosystem Infrastructure

Community management

•  EclipseFou

nda?on

•  OpenStack

Founda?on

LargeOrganiza>onscoopera>on(2/2)OpenSourceFounda>on


Leading / Producing organization End-users Providers

A community of Software Developers Infrastructure and Processes

Tight Loose

Internet Events

Corporations (paying) Individuals (free)

Recurring membership fees Events registrations

Team Bandwidth and infra Events organization

Governance IP and Project management Ecosystem Infrastructure

Community management

PureServiceBusinessmodel


Open source communities

Software Developers

Tight

Direct contact

Large Organizations

Mainly call for tender

Outsourced integration service Expertise

Time based

OSS communities

Integration of open source software Contribution to the communities

•  Freelancers

•  Mostlargese

rviceprovid

ers

•  Competencycen

tersinlarge

organiza?o

ns

PureServiceBusinessmodel



Software Developers

Tight

Direct contact

Large Organizations

Mainly call for tender

Outsourced integration service Expertise

Time based

OSS communities

Integration of open source software Contribution to the communities

LeveragedServiceBusinessmodel



Software Developers

Tight

Internet support

Large Organizations

Recurring subscription contracts

Supported products

In proportion of the number/complexity of the products

Integration of free software Product management & QA

FocusonRedHatcfhdp://www.slideshare.net/djwallis/red-hat-essen>als


50,000+ packages

Collaboration with partners and

open source contributors to develop technology



App. 5,000 packages

1st Stage Fedora

(the R&D vehicle)

- two releases per year

- unsupported- fast moving

- latest technology



1,500 packages

Red Hat Enterprise LinuxApprox every 18 monthsSupported and certifiedStable, mature, commerciallyfocused technologies

Red Hat Enterprise LinuxApprox every 18 monthsSupported and certifiedStable, mature, commerciallyfocused technologies

Red Hat Enterprise LinuxReal Time Support24x 79 x5Web Only

Red Hat Enterprise

Linux* Real Time Support* 24x 7* 9 x5* Web Only

Approximately every 18 months Stable, Mature, Certified and Tested Technology

VIDEO

Infrastructureprovider



Software Developers Evangelists

Very loose (free users) Tight (customers)

Internet

Hobbyists, academics (free users) Large organizations

Recurring professional contracts

Integrated infrastructure

Hardware can be an important cost factor

Integration of open source software Develop an infra on top of open source software

•  GitHub

•  AmazonAWS

•  Azure

Infrastructureprovider



Software Developers Evangelists


Internet

Hobbyists, academics (free users) Large organizations

Recurring professional contracts

Integrated infrastructure

Hardware can be an important cost factor

Integration of open source software Develop an infra on top of open source software

FreeSofware/LeverageHardware


Open source communities Open Hardware / Makers communities

Software Developers HW designers


Internet for hobbyists Conventional channels

Hobbyists (free users) Cities Large organizations

Sell hardware

OSS software + Open Hardware for hobbyist OSS software + Industry ready hardware

Integration of open source software Develop a product on top of open source software

•  Fitswellwi

thIoT

•  Eurotech

•  Libellium

•  OEMcrea?ngmediac

enter

FreeSofware/LeverageHardware


Open source communities Open Hardware / Makers communities

Software Developers HW designers


Internet for hobbyists Conventional channels

Hobbyists (free users) Cities Large organizations

Sell hardware

OSS software + Open Hardware for hobbyist OSS software + Industry ready hardware

Integration of open source software Develop a product on top of open source software

OpenSourceisnota


Revenuemodels•  Sellaproductthatextendsopensourcesofware•  Sellanappliancebuiltwithopensourcesofware•  Sellexper>se•  Sellaccesstoaninfrastructure•  Maysellsupportsubscrip>on


OpenSourceisanenabler

•  Awaytopromoteorestablishstandards•  Apowerfulmarke>ngchannel•  An>ckettocollabora>on


Fewadvicestomakeyourlifeeasierwithopensource

•  ManageyourIntellectualProperty

•  Don’tdoitalone

•  Don’treinventthewheel•  Chooseabusinessfriendly

license


OpenSourceisajourney,notades>na>on


Yourques>ons•  Whyopensourcingwhenyoucansell?•  Whatarethesuccessfulandsustainablemodels•  Whatarethesuccessdriversandreallifeexamples?•  Canyougiveanontology(oracoupleofcases)?•  Whataretherelevantrevenuemodels?


Moreques>ons?

GaëlBlondelleDirectorofEuropeanEcosystemDevelopment

[email protected]@gblondelle

+33673392185


Credits•  StartupDreamby.waldec•  SilverbulletbySprodMoney•  Success/FailurebyccPixs.com•  Pleasedonate-(CCBY-SA2.0)byhdps://www.flickr.com/photos/howardlake/•  Cow-boy-(CCBY-ND2.0)byhdps://www.flickr.com/photos/16210667@N02/
