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Unicorns, Dragons, Open Source Business Models And Other Mythical Creatures Andrew Clay Shafer OSCON 2014 @littleidea

Unicorns, Dragons, Open Source Business Models and Other Mythical Creatures

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OSCON talk about business and my perspectives on the advantages and disadvantages building business around open source software.

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Page 1: Unicorns, Dragons, Open Source Business Models and Other Mythical Creatures

Unicorns, Dragons, Open Source Business Models And Other Mythical Creatures

Andrew Clay ShaferOSCON 2014

@littleidea

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@littleidea

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this guy

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disclaimera school of thought

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buckle upkeep your arms and legs inside the ride at all times

http://www.flickr.com/photos/spatch/4630771984/

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three stone cutters walk into a Pareto Inefficient Nash Equilibrium

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this talk is for me

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Makers

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Business Guy

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this talk is for you…hopefully

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I changed this talk to protect the innocent.

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how many of you pay rent?

mortgage?

fun?

food?

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in conclusionconvince people to give you more money in exchange for something

that costs you less than said moneyrinse and repeat

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if I was holding a mic…I would now drop it

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let’s rewind that

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I don’t love computers

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I love maths

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I love learning

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I love games

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I love puzzles

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I love people

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I want to have nice things

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I want people to have nice things

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one way to get nice things is $$

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one way to get $$ is software

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in case you lost the plot…software keeps eating the world

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Open Source is Big Business

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recognize privilege

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let’s get a few things out of the way

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you will NOT be the RedHat of X

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many open source ‘exits’ were fundamentally not ‘businesses’

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you cannot exchange downloads

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more context about me

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I was born

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Fur Trading formative years

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Washing Cars

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One Bright Day

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I studied math on a debate scholarship

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Worlds Colliding

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mistakes were made

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disregarding ‘business’

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–George Bernard Shaw

“Forgive him, for he believes that the customs of his tribe are the laws of nature!”

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sshBASH

TCP/IPLAN lun

ACL

HTTP

SANTLS

git

haskell functional

OOP

scalago

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EBITA

NPVP&L RFP

IRR

IPOMargin

ROI

ProfitM&A

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community != business

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undervaluing the solution

value is created

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not allowing people to pay

value is captured

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not managing expectations

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not respecting relationships

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not recognizing opportunities

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not scaling/scaling too much

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none of that was specific to open source…

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but open source has unique advantages

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inverted information asymmetry

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authenticity

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existing relationships

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obvious leads

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internal champions

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open source also has unique disadvantages

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inverted information asymmetry

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at odds with the community

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no one likes to be sold

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tragedy of the commons

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the user is not the buyer

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finally…

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choose your own adventure

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make the choice explicit

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make great software

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make great money

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have nice things

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don’t limit yourself

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don’t limit us

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and they all lived happily ever after

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come at me

@littleideaOSCON 2014