1. How to build commercial
open source business models
(short introduction)
Dr. Karl Popp
http://www.drkarlpopp.com
Version 1.3 6/19/2012
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

2. Background information
Business Models, Ecosystems and Partnerships
in the software industry
Profit from Software
Ecosystems
ISBN-13: 978-3842300514
Examples from over 50
software companies
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

3. Question in focus
• Can a commercial open source business
be constructed as a combination of
– Business models
– Product and licensing strategy
– Way to leverage the community?
• I say: YES!
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

4. Commercial Open Source Business Model
Type of
Products/
Services
offered
Intangi Huma
ble n
Creato Invent n/a
r or
Distrib IP n/a
utor distri
butor IP = Intellectual Property
Based on the work by Weill et. al.
Lessor IP Contr
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

5. Commercial Open Source Business Model
• Software vendors can create different
Invent business models for open source
or • Starting with services
IP (consulting, maintenance, support) at
distri the bottom additional business
butor models can be added:
IP – IP Lessor: commercial licenses can be
sold to customers
lesso
– IP distributors: distribute open source
r software
– Inventor: create software
Contr
IP = Intellectual Property
actor
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

6. Open Source Business Model variation:
Dual Licensing
IP Provide
distri Software
Open Source
Software Custo-
butor vendor Provide mer
Commercial
IP Software
lesso
Identical software or software versions
r are provided
under two different licenses
Products,
Assets or
Services
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

7. Summary
• A commercial open source business can
be constructed as a combination of
– Business models
– Product and licensing strategy
– Way to leverage the community
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM

8. The offering
• Learn where you are and when you like
– Books or On demand video lessons
print or iBooks
or kindle
Profit from Software ProfitfromSoftwareEcosystems.
Ecosystems mindbites.com
ISBN: 978-3842300514
Copyright © 2012 Dr. Karl Popp http://WWW.DRKARLPOPP.COM