Open Source Software Editor without raising capital: can it be done and how? OW2con'16, Paris.

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Transcript of Open Source Software Editor without raising capital: can it be done and how? OW2con'16, Paris.

Page 1: Open Source Software Editor without raising capital: can it be done and how? OW2con'16, Paris.
Page 2: Open Source Software Editor without raising capital: can it be done and how? OW2con'16, Paris.

Open Source Software Vendor

without raising capital: can it be

done and how?

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Agenda

About me and XWiki

The objective

Usual Open Source business models

Some problems

Novel business models

XWiki's story

How can the community help ?

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me

12 years running XWiki

Passionate about Open Source

Technical innovation

The world needs more sharing

It should not all be about making money

XWiki

Collaborative platform 

Competitive market

Innovative (not a me too)

LGPL Licence

100% Open Source (but not free)

1,5M revenue / year (2015)

About me and XWiki

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The objective

Creating Open Source

Building a competitive solution

Being an healthy Business

Sustainable in the long term

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Usual business models

Foundations: Multiple Companies collaborating on core, differentiate

on binaries and distributions (linux, android, eclipse, drupal)

Singular: One Company mainly drives the software, differentiate with

add­ons

Double licensing

Open Core

Service: Companies collaborate doing services on Open Source

software.

"Take the Money and run" (sell to investors).

Sometimes the models are mixed

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Is it sustainable ?

Foundations: yes but works only for very large projects, smallerprojects lack driving

Singular: many companies use investors, close significant part ofproductsWe get code but no community

no promise for the future

Service: contributions can be very low, product lacks driving

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The investors issue

Investors want more control (monetization)

Projects are open core, or double licensed

Contributors don't have control

Uncertainty hinders contribution

Example: MySQL ­> forked as a smaller company

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The "Fully Open Source" issue

Users like "free", would like everything free

Services scale less

Partners do not contribute enough

Prisoner's dilemma

Tougher to be a healthy business

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Novel business models: Moodle HQ

Controls the brand and the distribution

Certifies partners and licenses the brand

Partners give 10% of their revenue

60 partners

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Novel business models: Piwik

Separate R&D from Service company using the brand

R&D done in New Zealand

Cloud and Support services run from Poland

Piwik.com pays fees to Piwik.org

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XWiki's Approach

Commitment to Open Source, but not to free

We want to produce a lot of Open Source code

Sells Services and Support

50% more cost for services for clients without "support contracts"

Cloud offerings

Distribute some modules as paying (business oriented)

Promises reversibility (if you have the competences)

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XWiki's Approach: how did we finance ?

Margin of services

Research projects

Clients paying new features

Contributions

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Models we look at

XWiki Collaboration Suite package distribution ­> we failed

App Store monetization ­> we are trying this one

Interested in the Moodle model ­> but not easy to put in place

Tougher license

Crowdfunding

Challenge: competing with low cost cloud productChallenge: scale without paying productsChallenge: maximum distribution vs monetization

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What could the community do ?

Users look at who does R&D when buying services

More collaboration between companies to fund R&D

More contributors from service companies

Commitment to Open Source from Singular projects (Manifestos)

Way to differentiate "good players" (Labels ?)

Not want everything for free

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Q&A

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Ludovic Dubost

[email protected]: ldubosthttp://xwiki.orghttp://xwiki.com

Contact

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