Open Source as a Business

A presentation at FOSS Backstage in June 2018 in Berlin, Germany by Philipp Krenn

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Open Source as a Business Strategy, Struggle & Success Philipp Krenn 44444444 @xeraa

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https://twitter.com/geowolf/status/ 971811346823221248

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Ninety-eight-point-five percent of the code ever put into the core of Puppet was put in there by somebody I paid. https://www.geekwire.com/2018/might-time-big-cloud-share-wealth-open-source- startups/

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Open Source ≠

Business Model

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Developer !

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Where is the ! "

?

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Services Support, Consulting, Training, Certification

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https://investors.redhat.com/~/media/Files/R/Red-Hat-IR/documents/q418-fact-sheet.pdf

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Support Problem Ease of Use

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Support Problem Renewal Rates

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Service Problem Consulting-Only Competition

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Open Core

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Problem Alternatives

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Problem Cloud Providers

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Problem Lock-In

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Cloud Service

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Problem Cloud Providers

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The intent of open source software was not so that someone else can take the exact same software and offer it as a service. https://www.geekwire.com/2018/might-time-big-cloud-share-wealth-open-source- startups/

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Struggle

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[...] If you are MSFT and I ask you if you’ve used Redis and you say "you mean Azure Redis Cache?", that’s not a good sign. https://twitter.com/jensenharris/status/984268950136537088

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If you are claiming your startup/company is open source and you aren’t contributing to some form of upstream... then you aren’t really. Sorry not sorry. https://twitter.com/jessfraz/status/954802380125736961

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If you’re unhappy with an open source project you’re entitled to a full, immediate refund to the $0.00 you paid for it. Alternatively, get involved with the project to make it better. https://twitter.com/MikeMcQuaid/status/970000490468708352

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Venture Capital Accelerated development vs business dynamics

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Where is the ☢ ⚠ ☣ ?

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Development Hobbled Product vs Starving Company

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Releases Multiple Products vs Proprietary Plugins

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Open Open Source vs Open Code

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Commercial Features Engineering (Open Source) vs Sales (Commercial)

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Elastic's Strategy

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Support & Plugins

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All Code Open Not Open Source — Apache 2 & Elastic EULA

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Training Consulting

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https://elastic.shop

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Conclusion

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Business Is Optional

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Business Is Complicated

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Questions? Philipp Krenn 444 @xeraa