Open Source: The buzz word for the year 2007. From being a bunch of geeks who revolutionized the computing industry, it has grown quite a lot. The world, well at least the computing world, agrees that it’s the next best thing to sliced cheese [and trust me sliced cheese is God sent to the people in the computing world]. I was reading up on the Open Source Business Model, wondering how and what was the money maker of Open Source based companies - web based and stand-alone applications wise. This got me thinking, as a professional software developer, the amount of opportunity and the threats it presents and poses to people like me.
Now, let me define Professional Software Developer: It’s a term that I coined right now to define, and include those developers who write code to make a living, well at least anyone who develops software to make some money out of the process of “coding”.
Now, what is the Open Source Business Model for Software? Traditionally, companies put a lot of value to the actual source code, for a variety of reasons [1]. Now, the code itself is not idolized anymore. How? Well, by providing the source code, free of charge to anyone who wants to use it / understand it / contribute to it, under a variety of “public licenses” - viz. GPL, CC, to name a few. This is a major shift from the “closed source” paradigm.
Under the closed source paradigm, software developers were paid - a lot of money at times - to develop the code base. This had a lot of value, understandably as the company paid quite a hefty amount of money to get it developed, in spite of getting it done real cheap in outsourcing sweatshops in India ;-).
Under the open source paradigm, most of the companies rely on volunteers [a queer word comes into my mind - developer volunteers ???] to develop the code - read Software Developers with a lot of free time??! Now, this cuts down the value of the “source code” to NIL! Save for the laptop sticker (optional), a few T-shirts and due credits given in the “About Us” page ;-), which costs the company practically NOTHING! Now, this also shifts the company’s focus from a traditional software sweatshop to focusing on products, features, service, support, and other value-add services. And it’s these things, which is going to fetch the money to the company anyway, at least in the long run. The software code base itself has no value. Furthermore, it only makes sense for people to contribute to it and have a community based brainstorming for adding features, removing bugs etc.
E.g. Consider the major technologies used in the Web-Applications today - Java, Apache, Linux, MySQL, PHP, etc!! All Open Source, Worthy mentions are of course .Net Web Services, however, let’s not include that here. =D!
P.S. This makes an excellent case for any start-up with limited technology resources to vote and opt - Open Source btw
So, what does this mean to you as a Professional Software Developer? There are two situations you can read from here - Opportunity and Despair.
Let’s tackle the positive one first - Opportunity. One word - NDAs / Contracts. The Closed Source Paradigm typically enforces the software developer cannot use code from his just done / developing project for any of his practical use. Furthermore, majority of the companies for which you will work for, will also have a “Service Agreement” clause, which will not let you work for ANY OTHER COMPANY/product other than for the one you are working, until your contract expires/is revoked by your company. Also, any development you do is NOT your property but is officially the company’s Intellectual Property, for which it gets to file the patents and get the royalty.
The Open Source Paradigm caters to the I-want-variety-in-this-boring-existence-of-mine side of the software development. You can go independent and work for any project you want, which is ready to “hire” you for major concerns of development as well as design decisions. Not only that, it also allows you to go independent and put your hand in a variety of projects, some which pay, some which cater to your interest in the world [Ok!! Development world :-P]. So, you can consider this as an opportunity to grow and expand your profile.
Now, if you can write as well, start a blog, which accounts for your daily experience in the programming world. As there are no NDAs with the projects you work on, you can use real life example code for your work, put Adsense and tada - you’re making money out of what you do best and what you really like - developing code. So, that’s so much for opportunity!!
Despair: Now, let’s give some attention to despair - the negative aspect of this. As a software developer, as soon as the company you are working for realizes that the ROI in maintaining closed source is not worth paying the current set of developers in the payroll, you are out of a job. Just as outsourcing was a major job-cutter, Open Source and Ready to work for real cheap money College Students with development experience are going to handle the code! As tough as this may seem, this could be a prediction of the future.
However, things are not so glum. As part of your “career objectives” set in your company, I am sure that one of the clauses would be “Improve Technology Knowledge” or “Update yourself with the latest trends in technology” or something to that effect. Everybody’s been through that. Now, it’s time to actually make use of some company time to actually enforce that particular Responsibility Area. Get involved in the latest Open Source Technologies / trends like PHP, Python, Java, Ruby, Apache, AJAX, yada yada yada. You get what I mean, learn it and make sure that you highlight that you have done justice to that objective in your next appraisal. And when the time comes that the company decides to try out Open Source technologies, you are way up there in the forefront, already having knowledge of the same. A time for promotion?? I think so ;-)!
Note: This situation is applicable ONLY to the general software development companies and it DOES NOT incorporate the niche software development companies like Medical Solutions or Financial Solutions. Although certain aspects of even these applications will be at the very least BASED on Open Source Technologies soon. Companies involved in these have already spent WAY too much money and resources in developing something that’s so highly proprietary that they will not, at least for a very good amount of time, say 10-20 years even consider making the source code of the binaries that earns them MILLIONS of $$$ a year, OPEN!!
Also, there are companies like IBM and Novell, who are neither here, nor fully there, the in-betweens, who are software houses developing Open Source software - Ideal place to work right now for the Open Source oriented Professional Software Developer, eh ;-)!
Footnotes:
[1] Reasons include theft, software / IP patents on the source code, competitors using to reverse engineer the system design, malicious use of the source code for hacking/cracking/gain private information etc.
Sources / Further Reading about Open Source Business Models
[1] http://en.wikipedia.org/wiki/Open_source_vs._closed_source
[2] http://www.extropia.com/tutorials/misc/opensourcebiz.html
[3] http://web.corante.com/editorial/archives/2006/07/the_open_source_revenue_model.php
Posted by gurupanguji