1. Open Source Examples – Linux; Apache; Firefox Requirements – Distributed w/ source code – License allows for modifications (GPL) – License remains w/ any modified code – Free (cost) version available

2. Open Source: History UNIX Hacker culture, 1960s GNU project, 1983 (Stallman) Free Software Foundation, 1985 Linux development, 1991 (Torvold) Cathedral and Bazaar, 1997 (Raymond) Mozilla Project, 1997 Firefox, 200x

3. Open Source: requirements Strong Leadership (Torvold) A useful project (Free OS) Strong volunteer community Appropriate license (GPL) Appropriate communications infrastructure (internet)

4. Advantages of Open Source Devt. Network effects Guarantees against “lock-in” Free-rider ? Opportunities for commercial providers (Red Hat for Linux)? Pricing per unit or for service ?

5. Open Source: Life Cycle Complete alpha version (Linux) Extending product life cycle (Mozilla)

6. Open Source: Biz Models Cost Sharing (Apache server) Risk-sharing Market positioning (Mozilla) Razor (units) and blades (service): Red Hat and Linux