29
Aug
07

Open source: yes it’s free, but customer satisfaction prevails

Even though using open source can be generating significant savings, the fact that the software license is free is only one element of the return on investment - and decision makers are well aware of this. The stakes of open source adoption by a growing number of organizations involve considerable investments by vendors, especially for the enhancement of their solutions. This does not corrupt the community-based development effort, but covers a legitimate demand for quality from enterprise users.

Confronted with this demand, and its cash-related requirements, several business models have been thought out by open source vendors: subscription-based model, dual-licensing model, services model, sponsoring, etc.

The “freeness” of open source software carries another key advantage that is less often mentioned, but which I think is as important as this “freeness”: it can be quickly appropriated by systems integrators. With free and unrestricted access to the software (unlike proprietary solutions), these SIs can develop services offerings, the diversity of which generates a healthy competition for users. Open source then creates a strong alternative to the proprietary world: around lower-TCO solutions, users benefit from a real choice for services. The ROI of the solution is thus accelerated. And because open source is also very present in the educational system, available expertise grows very quickly.

I am not saying proprietary models will be dying soon. I do think however that they need to evolve. For the greater benefit of users!

Bertrand


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