#open-source #business #business-model Created at 141223 # [Anonymous feedback](https://www.admonymous.co/louis030195) # [[Epistemic status]] #shower-thought Last modified date: 141223 Commit: 0 # Related # Open source business models cheatsheet Here's an updated cheatsheet of different business models in open source software, now including examples: | Business Model | Description | Examples | | --- | --- | --- | | **Open Core** | The core software is open source, but premium features, advanced functionalities, or enterprise-grade services are proprietary and paid for[^1^][^4^][^8^]. | GitLab, MongoDB[^4^] | | **Professional Services** | Revenue is generated by offering support, consulting, and training services related to the open source software[^1^][^7^]. | Red Hat[^1^] | | **Hosting** | The company provides a hosted version of the open source software, often as a cloud service, and charges for the hosting service[^1^][^4^][^6^]. | WordPress.com[^1^] | | **Multi-Licensing** | The software is available under both open source and proprietary licenses. The proprietary license often includes additional features or services[^3^]. | MySQL[^3^] | | **Marketplace** | The company creates a marketplace around the open source software where users can buy and sell services, add-ons, or applications[^7^]. | Docker[^7^] | | **Donations/Patronage** | The open source project is funded by donations from users or sponsorships from organizations[^1^]. | Vue.js[^1^] | | **Software as a Service (SaaS)** | The open source software is offered as a service, and customers pay for the service rather than the software itself[^1^][^4^]. | Supabase[^4^] | | **Freemium** | The basic version of the software is free, but users can pay for a premium version that offers additional features or services[^5^]. | PostHog[^5^] | Please note that these models are not mutually exclusive and many companies use a combination of these models to generate revenue[^4^]. [^1^]: https://en.wikipedia.org/wiki/Business_models_for_open-source_software [^3^]: https://www.diva-portal.org/smash/get/diva2:1767854/FULLTEXT02 [^4^]: https://www.forbes.com/sites/glennsolomon/2020/09/15/monetizing-open-source-business-models-that-generate-billions/?sh=266cd06934fd [^5^]: https://fourweekmba.com/open-source-business-model/ [^6^]: https://opensource.stackexchange.com/questions/12666/open-source-licenses-and-royalties [^7^]: https://insights.blossomcap.com/successful-open-source-business-models-2709e831e38a [^8^]: https://en.wikipedia.org/wiki/Open-core_model