Difference between revisions of "Economic implications"

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* What are the economic benefits and detriments of developing open source system?  
* What are the economic benefits and detriments of developing open source system?  


Only 30% of software is sold while the rest is created directly for customers and only the developers are paid for their service, not the software.  Although at first glance, it may seem that open source software would not be sustainable because the software is not being sold, the real economic benefit of software is not a result of software sales.  The economic implications of software is of any kind of software is a result of the secondary economic effect of software which results from enabling other businesses to improve efficiency and profits through the use of software as a tool.  Therefore, regardless of open source or closed source, the tool itself affects great many businesses which results in economic benefits.  Open source may be a benefit over closed source because open source allows programmers to freely create innovative software (aside from licenses) without the constraints of needing to create popular software for profits.  This innovation may help businesses improve their operations, thereby improving the overall economy.  On the other hand, many argue that open source would produce lower quality and less innovative products which would be to the detriment of the economy. 
http://perens.com/Articles/Economic.html


* How does society influence creation of software?
* How does society influence creation of software?


Countries and municipalities frequently consider policies to favor open source technologies over proprietary choices. Main resons for doing so is that open source presents opportunities to countries that are growing their ICT infrastructure because it is often a low-cost software choice (and free, at least in its simple form) and can foster a local technology development community rather than sending license streams to large technology companies in other countries.
Countries and municipalities frequently consider policies to favor open source technologies over proprietary choices. Main resons for doing so is that open source presents opportunities to countries that are growing their ICT infrastructure because it is often a low-cost software choice (and free, at least in its simple form) and can foster a local technology development community rather than sending license streams to large technology companies in other countries.

Revision as of 18:27, 10 May 2006

  • What are the economic benefits and detriments of developing open source system?

Only 30% of software is sold while the rest is created directly for customers and only the developers are paid for their service, not the software. Although at first glance, it may seem that open source software would not be sustainable because the software is not being sold, the real economic benefit of software is not a result of software sales. The economic implications of software is of any kind of software is a result of the secondary economic effect of software which results from enabling other businesses to improve efficiency and profits through the use of software as a tool. Therefore, regardless of open source or closed source, the tool itself affects great many businesses which results in economic benefits. Open source may be a benefit over closed source because open source allows programmers to freely create innovative software (aside from licenses) without the constraints of needing to create popular software for profits. This innovation may help businesses improve their operations, thereby improving the overall economy. On the other hand, many argue that open source would produce lower quality and less innovative products which would be to the detriment of the economy.

http://perens.com/Articles/Economic.html

  • How does society influence creation of software?

Countries and municipalities frequently consider policies to favor open source technologies over proprietary choices. Main resons for doing so is that open source presents opportunities to countries that are growing their ICT infrastructure because it is often a low-cost software choice (and free, at least in its simple form) and can foster a local technology development community rather than sending license streams to large technology companies in other countries.