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Open-source business models
Also known as: OSBMs, Open Source business model, Business models for open-source software, open-source software business models
Facts (55)
Sources
Archetypes of open-source business models | Electronic Markets link.springer.com Jun 14, 2022 49 facts
accountIn the third iteration of their study, the authors analyzed a sub-sample of 50 open-source business models (OSBMs) sourced from the AngelList database, which resulted in splitting the 'key offering' dimension into 'free offering' and 'commercial offering,' and adding dimensions for 'customer interface,' 'communication channel,' and 'platform type.'
claimThe authors of 'Archetypes of open-source business models' developed a taxonomy and archetypical patterns to help researchers characterize and structure open-source business models (OSBMs) and understand their underlying design mechanisms.
claimThe article 'Archetypes of open-source business models' identifies 'Business models', 'Open source', 'Open-source business models', 'Strategic open source', 'Platforms', 'Archetypes', and 'Taxonomy' as key topics.
claimResearch on open-source business models (OSBMs) was historically scarce and limited to a small number of use cases, according to Charvat et al. (2009) and Hecker (1999).
procedureThe taxonomy development for open-source business models required five iterations, with the first two being conceptual-to-empirical based on a literature review, and the last three being empirical-to-conceptual based on a database of 120 objects.
claimThe development of the open-source business model archetypes is subject to limitations due to the subjective nature of the development process, as the authors identified the dimensions and characteristics themselves.
claimOpen-source business models change traditional business model logic by integrating the open-source community into the value creation process.
referenceThe taxonomy design elements for open-source business models are divided into four meta-dimensions: value creation, value network, value architecture, and value finance.
claimMany industrial firms are reluctant to actively provide open-source software due to the lack of replicable open-source business models (OSBMs), according to Gentermann & Termer (2019).
accountThe authors of 'Archetypes of open-source business models' used a morphological box to visualize the taxonomy of Open Source Business Models (OSBMs) because morphological decomposition helps designers combine their own business models from detailed design characteristics.
referenceIn the context of open-source business models (OSBMs), the 'Value Architecture' meta-dimension refers to all technological and organizational infrastructure necessary for the business model to function, as defined by Al-Debei and Avison (2010).
claimCurrent research on open-source business models (OSBMs) is limited to providing overviews of existing business models that incorporate technological trends like software as a service or hosting, without analyzing underlying design elements, according to Okoli & Nguyen (2015) and Saebi & Foss (2015).
claimRufus is a software application used to create bootable USB drives that follows the approach of traditional open-source software business models.
claimOpen-source business model archetypes support practitioners in choosing an optimal model based on their degree of platform openness, their ability to interact with the community, and their revenue mechanism.
referenceIn the context of open-source business models (OSBMs), the 'Value Network' meta-dimension refers to all relevant elements for community building, as defined by Rajala et al. (2007).
quoteThere is an obvious need to confront the potential of open source business models with empirical reality.
referenceThe value proposition in open-source business models is defined by 25 characteristics, which are summarized into four dimensions: Free Offering (D1), Commercial Offering (D2), Customer Value (D3), and Customer Segment (D4).
referenceIn the context of open-source business models (OSBMs), the 'Value Proposition' meta-dimension explains the bundle of products or services, including both open-source and commercial offerings, that generates value for customers, as defined by Seppänen and Helander (2014).
claimThe research presented in 'Archetypes of open-source business models' assists practitioners in comparing, analyzing, and designing open-source business models (OSBMs) for digital technologies.
claimThe research field on open-source business models (OSBMs) is underdeveloped and lacks empirical findings.
measurementThe authors of 'Archetypes of open-source business models' examined 120 open-source business models from firms, non-profit organizations, and small projects to enhance conceptually-grounded design elements with empirical evidence.
accountThe authors of 'Archetypes of open-source business models' performed a second iteration of analysis on the literature corpus to identify design elements of OSBMs, arguing that grounding the taxonomy in existing conceptual knowledge provides advantages over purely inductive work.
claimThe research presented in 'Archetypes of open-source business models' produced a taxonomy for open-source business models (OSBMs) based on scientific literature and empirical data, with design elements classified into 17 dimensions and 75 characteristics.
claimIn open-source business models, customers perceive value through the product itself, price-performance ratio, customer experience, customization, or brand value.
procedureIn the first iteration of taxonomy development, the authors used a systematic literature review following Webster and Watson (2002) to identify conceptual design frameworks of open-source business models, supplementing findings with backward and forward searches.
claimThe researchers determined the optimal number of clusters for their analysis of open-source business models to be between four and eight, based on a dendrogram and the elbow method.
referenceThe final taxonomy for Open Source Business Models (OSBMs) presented in 'Archetypes of open-source business models' consists of four meta-dimensions (MD1-4), 17 dimensions (D1-17), and 75 characteristics.
measurementThe final analysis of open-source business models resulted in seven archetypes (k = 7) derived from a final dataset of 95 entities.
accountIn the fourth iteration of their study, the authors analyzed an additional sample of 50 open-source business models (OSBMs) from the SourceForge database to identify new relevant aspects and differences in designing OSBMs across different organizational backgrounds.
accountThe authors of 'Archetypes of open-source business models' assisted interviewees with practical backgrounds in designing Open Source Business Models (OSBMs) by providing recommendations based on matching archetypes.
claimIn Open Source Business Models (OSBMs), the value proposition is a dichotomous product offering because firms struggle to generate revenue directly from open-source software (Koenig, 2004; Okoli & Nguyen, 2015).
claimThe research identified seven archetypes of open-source business models based on clustering analysis of 120 business models.
claimAs-a-service offerings are gaining popularity in open-source business models, while physical products like handbooks and disks are losing importance.
claimOpen-source business models (OSBMs) can be classified into seven archetypical patterns, which include the open-source platform business model, the funding-based business model, and the infrastructure business model.
procedureThe authors of 'Archetypes of open-source business models' excluded non-English literature, literature unrelated to open-source business models (OSBMs), and non-peer-reviewed sources such as theses or presentations from their literature review.
referenceThe Customer Segment (D4) dimension of an open-source business model specifies the targeted customer segments, including businesses, the public sector, academics, or consumers.
referenceThe Value Network (MD2) describes the coordination of governance structures and relationships among parties, and is an integral part of open-source business models because users can be a pivotal element in the value creation process.
claimCloud-based technologies, such as digital platforms, are high impact factors in the conceptualization of recent open-source business models.
claimThe V4-Framework developed by Al-Debei et al. (2008) serves as a conceptual basis for analyzing Open Source Business Models (OSBMs) because its design blocks represent a common denominator for these models.
claimPractitioners can benefit from the open-source community by enabling open innovation and fueling network effects if they design their open-source business models (OSBMs) strategically.
claimThe seven archetypes of open-source business models (OSBMs) act as a blueprint for design decisions that conceptualize digital business models and enable open-source opportunities.
claimThe success of open-source business models is primarily attributed to the use of adequate licensing strategies.
referenceIn the context of open-source business models (OSBMs), the 'Value Finance' meta-dimension refers to all elements related to generating income or price composition, as defined by Rajala et al. (2003).
claimThe primary characteristic of Open Source Business Models (OSBMs) is that the value proposition is based on Open Source Software (OSS), although the degree of openness varies across different models.
procedureThe authors of the study 'Archetypes of open-source business models' identify key characteristics of open-source business models (OSBMs) using a taxonomic analysis and demarcate OSBM archetypes using a cluster analysis.
claimResearchers can use findings on open-source business models as a basis to change the logic of how to design business models in contrast to traditional concepts, particularly as the topic gains importance in industry-driven research projects.
claimThe article 'Archetypes of open-source business models' was published in the journal Electronic Markets in 2022, authored by E. Duparc, F. Möller, I. Jussen, and others.
procedureThe study 'Archetypes of open-source business models' developed a taxonomy of open-source business models (OSBMs) by analyzing 120 distinct OSBMs using an iterative development process.
claimAn interviewee in the study 'Archetypes of open-source business models' suggested that future research on Open Source Business Model (OSBM) design should analyze sub-archetypes or success factors to provide more precise guidance.
Business model: Open Source - Learning Loop learningloop.io 5 facts
claimIn open source business models, organizations derive revenue by building services or complementary offerings on top of the open foundation rather than selling software licenses.
referenceThe Wikipedia entry 'Business models for open-source software' provides an overview of various economic models used in open-source software ecosystems.
claimSuccessful open source business models focus on charging for added value—such as extra services, convenience, or capabilities—rather than charging for the software itself.
procedureThe Open Source business model involves making source code or product blueprints freely accessible under an open source license, allowing the public to contribute to the design and use the product for free, while the business earns revenue on affiliated products.
claimThe primary challenge for open source business models is capturing a share of the value created by the software, rather than creating the value itself.
The role of open source in shaping software thetopvoices.com Nov 12, 2024 1 fact
perspectiveEugene Kublin, an expert software developer and contributor to projects involving OpenAI, Google, Nvidia, Amazon, Intel, Facebook, AMD, and Apache, views the shift toward open source business models—monetizing support, customization, and integration rather than access—as a key driver of software growth over the past few decades.