How can we make a living if we give it all away? Mike Taylor Index Data mike@indexdata

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How can we make a living if we give it all away? Mike Taylor Index Data mike@indexdata.com. It's not about “Why open source?” any more. It's about “How open source?”. How can we make a living? Mike Taylor, Index Data, mike@indexdata.com. It's not about “Why open source?” any more. - PowerPoint PPT Presentation

Transcript of How can we make a living if we give it all away? Mike Taylor Index Data mike@indexdata

How can we make a livingif we give it all away?

Mike TaylorIndex Data

mike@indexdata.com

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

It's not about “Why open source?” any more.

It's about “How open source?”

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

It's not about “Why open source?” any more.

It's about “How open source?”

“Won't programmers starve?”

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

But briefly on “why” ...

“Six Myths” countered by Ingres1. OS is a niche IT sector2. OS cannot support mission-critical applications3. OS companies do not own their intellectual property4. OS technology does not offer professional level support5. OS is unregulated and anyone can contribute code6. OS software is not secure

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

But briefly on “why” ...

“Six Myths” countered by Ingres1. OS is a niche IT sector2. OS cannot support mission-critical applications3. OS companies do not own their intellectual property4. OS technology does not offer professional level support5. OS is unregulated and anyone can contribute code6. OS software is not secure

Remember, this was Ingres, not Index Data!

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

The key question:

How can we make a living if we give it away?

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

The key question:

How can we make a living if we give it away?

Because after we give it away,we still have it!

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

After we give it away, we still have it

This only works because copying is zero-costfor software.

Because copying is expensive for hardware,it took people a long time to grasp this.

(And even now, not everyone gets it.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Another take on the key question:

How can we make a living if we give it away?

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Another take on the key question:

How can we make a living if we give it away?

It depends on what you mean by “it”.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

It depends on what you mean by “it”.

In fact, we don't give away ownership of thesoftware, and we don't give away our time.

We just give away a perfect copy.

We still own the software – no-one can sella proprietary derivative.

(The GNU GPL makes this very clear.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So what is the point of open source?

It changes the vendor/customer relationship

No longer adversarial but in partnership.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So what is the point of open source?

It changes the vendor/customer relationship

No longer adversarial but in partnership.

We make a living by giving you what you want

Proprietary software earns money by denyingyou what you want.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Free as in freedom

Free speech vs. free beer.

Free beer is bad for the barman, but freespeech is good for everyone.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Free as in freedom

Free speech vs. free beer.

Free beer is bad for the barman, but freespeech is good for everyone.

(Except George W. Bush, of course.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Information wants to befree

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Information wants to betied up and spanked

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Information wants to beanthropomorphised

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for customers?

* No vendor lock-in

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for customers?

* No vendor lock-in* Change the product yourself

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for customers?

* No vendor lock-in* Change the product yourself* No product end-of-life

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for customers?

* No vendor lock-in* Change the product yourself* No product end-of-life* Level playing field

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for customers?

* No vendor lock-in* Change the product yourself* No product end-of-life* Level playing field* Open source => open standards

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for us?

* Our customers trust us (in the post-FUD era)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for us?

* Our customers trust us (in the post-FUD era)* We don't spend on closed-source overheads

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for us?

* Our customers trust us (in the post-FUD era)* We don't spend on closed-source overheads* We catalyse contributions

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for us?

* Our customers trust us (in the post-FUD era)* We don't spend on closed-source overheads* We catalyse contributions* We get to make cool things

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Back down to earth – some practicalities

What's in it for us?

* Our customers trust us (in the post-FUD era)* We don't spend on closed-source overheads* We catalyse contributions* We get to make cool things* It's just a better way to live

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Perhaps an important question librariansshould now be asking their vendors is:“Who are the highest paid the people inyour organization? Your salespeople oryour service people?”

– Carl Grant.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Perhaps an important question librariansshould now be asking their vendors is:“Who are the highest paid the people inyour organization? Your salespeople oryour service people?”

– Carl Grant.

(Since I am not a sales person, I want the answer to be “support people”.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)* Hosted solutions (small but growing)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)* Hosted solutions (small but growing)* Custom development

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)* Hosted solutions (small but growing)* Custom development* Support

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)* Hosted solutions (small but growing)* Custom development* Support* Training

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

So how do we actually make money?

* Sponsored development of core tools* Integration (e.g. with existing auth systems)* Hosted solutions (small but growing)* Custom development* Support* Training* Non-free licences for proprietary derivatives

(only works with GPL.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Software is largely a service industryoperating under the persistent butunfounded delusion that it is amanufacturing industry.

– Eric S. Raymond.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Software is largely a service industryoperating under the persistent butunfounded delusion that it is amanufacturing industry.

– Eric S. Raymond.

IBM understand this.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Software is largely a service industryoperating under the persistent butunfounded delusion that it is amanufacturing industry.

– Eric S. Raymond.

IBM understand this.Anyone who doesn't, provides lousy service.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

“Do not underestimatethe power of the dark side”

We will never get very rich through OS.

You can only do that by selling the same thingmany times.

We only get paid for work that we actually do.

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

The temptation to go proprietary

We have tried this a couple of times:* Z'mbol* Metaproxy

It just makes us miserable.Showed us the costs of not being open.

(But we might do it again one day, given the right product.)

How can we make a living? Mike Taylor, Index Data, mike@indexdata.com

Summary

* Software is more about service than product* Giving away product costs us very little

(probably less than nothing)* This catalyses service contracts* The vendor-customer relationship is

completely different in OS projects.