Business by open source manners turku april 2013

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Business by open-source manners – Jose Teixeira Apr 2013

description

Business by open source manners. Two hours talk on open-source infrastructure for start-ups + how to start an open-source business

Transcript of Business by open source manners turku april 2013

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Business by open-source manners – Jose Teixeira Apr 2013

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Business by open-source manners

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1- Open-Source Software 4 Startups

2-Starting an Open-Source Software Business

+

Jose Teixeira

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Schedule:

18:00 - 18:10 Opening words18:10 - 18:30 Open Source Software solutions for startups18:30 - 18:50 How to venture into an open-source business?18:50 - 19:00 Discussion about Open Source Software in business.19:00 --> Snacks, Drinks, Networking, Chatting

Presenter:Jose Teixeira“Disposable”¹ ResearcherInformation Systems ScienceUniversity of Turku

[email protected]

Jose Teixeira

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Open-sourceRetail

Orienteering

TescoSonae

DHL

AirbusNokia

Debian

Immit

Software

International

IT

Research

EU

Triathlon

Computer science

Finland

TSEanti-

ACTA

Boost

UTU

Startups

Finland

Portugal

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Business by open-source manners

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1- Open-Source Software 4 Startups

2-Starting an Open-Source Software Business

+

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Open-source software for startups

1) What is Open-Source? What is not Open-Source?

2) Why it matters? 4 startups?

3) Contrasting open-source with commercial software.

4) Open-source solutions for small business problems.

5) “To checklist” of Open-Source Software 4 startups.

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Free != free

OSS? What?

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OSS? What?

Free as in freedom not as in beer

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OSS? What?Free != Free

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OSS? What?

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Free != FreeOSS? What?

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An analogy with Tangram

OSS? What?

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Open-source vs closed-source

OSS? What?

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Open-source vs closed-source

OSS? What?

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Open-source vs closed-source

OSS? What?

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FSF four freedoms

OSS? What?

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OSI open-source definition

OSS? What?

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FLOSS licensing

OSS? What?

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Source: Teixeira 2011

Availability of the blueprint (source code)

Standard compliance

Absence of lock-in mechanims

My open-source definition

OSS? What?

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What open-source is not:

➔Freeware➔Shareware➔Shared-source➔Co-creation➔Participatory design➔Crowd-sourcing

OSS? What is not?

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OSS? Why?

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OSS? Why?

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OSS? Why?

Most important enablers of high-tech entrepreneurship?

1- Open-source software

2- Affordable cloud computing services

3- Social networking graphs for viral marketing

Source: Interviews with entrepreneurs by Jose Teixeira @ http://www.startupday.se/ 2012

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OSS? Why?

Finnish high-tech startups and open-source

1- 19/20 claim to use open-source software;

2- 4/20 claim to offer open-source components;

3- 2/20 plan to offer open-source components;

4- 11/20 claim to work up-stream;

Source: Interviews with 20 Startups at Slush 2011Presented by Jose Teixeira and Joni Salminen at ICCE 2012 conference

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Contrast!

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Contrast!

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Contrast!

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Contrast!

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Contrast!

Software pricing (i.e. ERP)

source: pemeco

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Contrast!

Software pricing (i.e. ERP)

License costs

Implementations costs

Maintenance costs

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Solutions :)

Classical OSS infrastructure supporting common business problems

Desktop PC's E-mail Group-ware Customer relationship management Finance Document management Disaster recovery Security Web-servers

Source: http://www.linuxjournal.com/article/7825

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Solutions :)

A book on OSS infrastructure

Available from UTU e-library at http://site.ebrary.com/lib/uniturku/docDetail.action?docID=10061218

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Solutions :)

But OSS infrastructure can go much beyond

ERP

E-commerce

Analytics

VoIP telephony

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+ OSS offers thousands of components in public domain for business R&D initiatives

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To know more ...

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END part 1

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Business by open-source manners – Jose Teixeira Apr 2013

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Business by open-source manners

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1- Open-Source Software 4 Startups

2-Starting an Open-Source Software Business

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Outline

Intro

OSS licenses

OSS business models

OSS entrepreneurial business modeling

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You don't need to to create or work on a OSS organization to work with OSS;

Source: http://go.linuxfoundation.org/who-writes-linux-2012

TOP 10 Linux Kernel Contributors

Intro

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You don't need to be an OSS company to contribute and be respected in the OSS community

Intro

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A) Based in part on the work of the Independent JPEG groupB) Use zlib by Jean-loup Gailly and Mark AdlerC) Based on the work of the FFmpeg project under the LGPL 2.1 license

Intro

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Protect your IP

• Very often does not work for startups • But with OSS you are creating prior art

The Håkan Lans case:

* Swedish inventor of a satellite navigation system, the computer mouse, colour graphics systems in computer displays and many other inventions

US patents:* Arrangement for producing a pattern on a light-sensitive surface* Color graphics processor* Position indicating system

IP

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IP

Legal terminology

Copyright

Trademarks

Patents

Intellectual Property (IP)

Trade secrets

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IP

Legal terminology

Copyright

Trademarks

Patents

Intellectual Property (IP)

Trade secrets

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IP

FLOSS licensing

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IP

Permissive

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IP

Copyleft

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IP

ISC license

Copyright (c) Year(s), Company or Person's Name <E-mail address>

Permission to use, copy, modify, and/or distribute this software for any purpose with or without fee is hereby granted,

provided that the above copyright notice and this permission notice appear in all copies.

THE SOFTWARE IS PROVIDED "AS IS" AND THE AUTHOR DISCLAIMS ALL WARRANTIES WITH REGARD TO

THIS SOFTWARE INCLUDING ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS. IN NO EVENT

SHALL THE AUTHOR BE LIABLE FOR ANY SPECIAL, DIRECT, INDIRECT, OR CONSEQUENTIAL DAMAGES OR

ANY DAMAGES WHATSOEVER RESULTING FROM LOSS OF USE, DATA OR PROFITS, WHETHER IN AN

ACTION OF CONTRACT, NEGLIGENCE OR OTHER TORTIOUS ACTION, ARISING OUT OF OR IN CONNECTION

WITH THE USE OR PERFORMANCE OF THIS SOFTWARE.

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IP

FLOSS licensing once again

Credit the community Contribute to the community

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IP

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IP

Complicated Open-Source licenses?

Check then:http://www.microsoft.com/licensing/

http://www.oracle.com/us/corporate/contracts/license-service-agreement/index.html

http://www.sap.com/corporate-en/our-company/agreements/western-europe/index.epx

After hours and thousands or pages you are done. But no worries there

are books, vendors, lawyers and consultants that will understand it for

you.

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11 open-source business models

Subscription Model

Offering Commercial and Open Source Products

Support and Training Model

Dual License Model

Hosted Service

Advertising Model

Commercial Enhancement

Embedding Model

Consulting and Integration Strategy

Patronage Modelsource: Wasserman 2009

Business Models

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1- Commercial and open-source products

Source: Wasserman 2012

Business Models

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Source: Wasserman 2012

2 - Subscription model

Business Models

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3 - Consulting

Source: Wasserman 2012

Business Models

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4 - Support and training model

Source: Wasserman 2012

Business Models

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5 - Hosted service

Source: Wasserman 2012

Business Models

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6 – Dual license

Source: Wasserman 2012

Business Models

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7 - Commercial enhancement

Source: Wasserman 2012

Business Models

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8 - Advertising

Source: Wasserman 2012

Business Models

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8 - Patronage

Source: Wasserman 2012

Business Models

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10 - Hardware

Source: Wasserman 2012

Business Models

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11 – Platform / Eco-system

Business Models

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To know more

Tony Wasserman works

COSS.fi - Avoimien tietojärjestelmien keskus COSS ry

Economic aspects and business models of Free Software by Free Technology Academy

Business Models

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OSS Business Modeling

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OSS Business Modeling

1st we took Osterwalder, A., and Y. Pigneur. Business Model Generation: A Handbook for Visionaries, Game Changers, and Challengers. Wiley, 2010. The popular business “canvas”

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OSS Business Modeling

We took also Sawy, O. A. E., and F Pereira. Business Modelling in the Dynamic Digital Space: An Ecosystem Approach. Springer, 2013. A business modelling framework for IT industry.

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OSS Business Modeling

3rd – We combined them … test it with business cases

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4th – We add OSS academic literature driven components on it … and test it again

OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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OSS Business Modeling

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Exercise: The PickRide case

http://www.youtube.com/watch?v=omcA5DN97jE

How could it be made by FLOSS manners?

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END