Find the answer to your Linux question:
Results 1 to 3 of 3
How do professional companies make money from open source and free software? Or is it just amateur computer enthusiasts who help the OSS movement?...
  1. #1
    Just Joined!
    Join Date
    Oct 2008
    Location
    Bhubaneswar, Bangalore, INDIA
    Posts
    22

    maybe stupid doubt

    How do professional companies make money from open source and free software?
    Or is it just amateur computer enthusiasts who help the OSS movement?

  2. #2
    Linux Engineer hazel's Avatar
    Join Date
    May 2004
    Location
    Harrow, UK
    Posts
    951
    One way a company could make money is to sell complete packages: software plus conversion and training plus support. Since the software doesn't cost them anything, they can charge handsomely for the rest of the package and the buyers will still find it cheaper than Windows.
    "I'm just a little old lady; don't try to dazzle me with jargon!"

  3. #3
    Trusted Penguin Roxoff's Avatar
    Join Date
    Aug 2005
    Location
    Nottingham, England
    Posts
    3,391
    Yes, support contracts are the biggest way such companies make their money. The customers save money too, because they only buy the support they need, not what comes with a package they're paying for.

    Another angle is in a consultancy role, fixing a suite of packages to meet a customer's particular need. Here open source really wins, because there is a bigger tendency to stick to published standards, so the customer ends up with software that can interact more effectively. Here the supplier is providing a valuable service before installation rather than after it. They may also be able to provide mixed services, open and closed source solutions working together. They might also make money in these scenarios producing a custom software layer to enable such applications to work together.

    Money made in all these approaches is normally paid for the service supplied not for the software.
    Linux user #126863 - see http://linuxcounter.net/

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •