Creating Authentic Value: Open Source vs. Open Core

Creating Authentic Value: Open Source vs. Open Core

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  Creating Authentic Value:Open Source vs. Open Core Recent emphasis on cloud technologies has brought a lot of attention to how software companies work in today’s business and technical environments. Some companies have chosen to try to protect their software through creative licenses. Unlike open source, where value is placed on community, collaboration, and services, open core businesses place their value on software features. Red Hat’s successful experience as a completely open source company has shown that value is not in the code, but in the support and expertise by being a part of a true community. In this talk, Red Hat’s Deb Bryant will share share observations and cautionary tales from the world’s most successful open source company on how the idea of open core has time and again been demonstrated to not be truly open, limits community innovation, and delivers essentially proprietary software to customers
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  Creating Authentic Value: OpenSource vs. Open Core Deborah Bryant Sr. Director, Open Source Program Office
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  What is RedHat’s business model?
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  It’s not opensource. (And never has been.)
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  Red Hat isan enterprise software company that uses open source as its development methodology.
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  Red Hat providescustomers with support, training, and innovation for open source-developed software.
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  Saying “commercial opensource software” is like saying “salsa sauce.”
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  Here’s how RedHat derives value from open source. Community growth Strong communities keep our product lines stable. Community participation We help make it, so we can support it. Diverse innovation Broad set of global talent sparks immense creativity. Rapid development cycles Communities can support faster cadences.
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  Commitment to opensource It’s all open from project to product. Continuity of leadership ICs to managers to execs all believe in the Red Hat way. Consistency of strategy The Open Decision Framework is not just a buzz phrase..buzzword. Can there be another Red Hat?
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  So is opensource hard?
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  What about opencore?
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  “The open-core modelprimarily involves offering a ‘core’ or feature-limited version of a software product as free and open-source software, while offering ‘commercial’ versions or add-ons as proprietary software.” Source: https://en.wikipedia.org/wiki/Open-core_model
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  Things that bringpause about open core
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  Things that bringpause about open core contributors Participation is Constrained By definition, avenues of innovation will be blocked, because an open core company will not want to enable contributors to add new features that match the software’s “premium” features.
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  Things that bringpause about open core contributors Participation is Constrained By definition, avenues of innovation will be blocked, because an open core company will not want to allow contributors to add new features that match the software’s “premium” features. Community is Devalued “... [W]e didn’t open source [MongoDB] to get help from the community, to make the product better. We open sourced as a freemium strategy; to drive adoption.” - MongoDB CEO Dev Ittycheria, June 2019 Source: https://www.cbronline.com/interview/mongodb-ceo-interview
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  Things that bringpause about open core contributors Participation is Constrained By definition, avenues of innovation will be blocked, because an open core company will not want to allow contributors to add new features that match the software’s “premium” features. Community is Devalued “... [W]e didn’t open source [MongoDB] to get help from the community, to make the product better. We open sourced as a freemium strategy; to drive adoption.” - MongoDB CEO Dev Ittycheria, June 2019 Vendor Lock-In Premium features, like any proprietary software, increases the aspect of vendor lock-in for customers. Source: https://www.cbronline.com/interview/mongodb-ceo-interview
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  Participation is Constrained Bydefinition, avenues of innovation will be blocked, because an open core company will not want to allow contributors to add new features that match the software’s “premium” features. Community is Devalued “... [W]e didn’t open source [MongoDB] to get help from the community, to make the product better. We open sourced as a freemium strategy; to drive adoption.” - MongoDB CEO Dev Ittycheria, June 2019 Vendor Lock-In Premium features, like any proprietary software, increases the aspect of vendor lock-in for customers. Deployment Constrained Customers are either forced to pay with licenses like SSPL, or forbid use of any “hybrid license” product for fear of unsanctioned licenses entering a business IT environment. Source: https://www.cbronline.com/interview/mongodb-ceo-interview Things that bring pause about open core contributors
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  Take aways
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  Don’t fear opensource.
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  Save yourself thetrouble, just go proprietary.
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  Don’t confuse opencore with open source.
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  facebook.com/redhatcommunity twitter.com/RedHatOpen Red Hat’s OpenSource Program Office is passionate about, and dedicated to, providing business-useful insights into community management and success for our fellow Red Hat associates and the entire open source ecosystem. Thank you