Demystifying Open Source as a Business - Julia Machado

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The open-source software (OSS) economy can be hard for investors to understand. It's unique: software can be used by many without losing value, and controlling access is difficult once it's shared. With many solo projects, getting noticed is tough. Some people confuse "free as in freedom" with "free as in beer," leading to questions on whether OSS can make money. However, OSS is valued at about US$ 8.8 trillion, with companies capturing at least US$ 4 billion.

OSS uses various business models like infrastructure, SaaS, support, and can choose from different licenses. With low marginal costs and a global market, OSS can be indeed very profitable. Successful projects gain large user bases and enterprise adoption worldwide. Big successes, like MongoDB and Databricks, continue to inspire investments.

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