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Comment by dns_snek

4 months ago

Yes but how do you build a consumer software business on top of a licensing scheme that legally allows anyone to share their copy of the software with anyone else, and allows other businesses to resell your software at half the price?

I charge for copies of free software I wrote, an AGPLv3+ desktop application, and earn about $2k MRR from it. Most people don't care about your choice of license, they just want software that conveniently solves their problem(s). If they want to share it, that's fine. They're giving it to people who wouldn't have bought it anyway. If those grantees ever want an official copy, with updates and support, they come back to me.

You see the same effect mirrored in illicit distribution of copyrighted works. Sharing movies increases box office revenue. Sharing albums increases music sales.

The people who get a copy for no charge weren't going to buy a copy in the first place. When you expose them to the product, some percent go on to become fans, advertising the work, and perhaps giving money to support it.

Read through my past comments from last year to find more info.

  • Hey, I recognize your username, I bought RCU this year because I wanted to encrypt my reMarkable without losing data. I could have used the cloud or whatever, but I found your software and chose it because it is local-only and FOSS. Also reasonably priced.

    Thanks for your work! I have enjoyed RCU and now use it regularly for backups, file transfer, etc. I'm glad to hear that it seems to be sustainable.

  • The problem is with someone taking your whole software, branding and marketing it as their own and undercutting your service for half the price, not individual using it for personal reasons.

    • So what? That sounds like competition, which is healthy in a free market.

      And it's not a service, it's a copy. Customers are explicitly allowed to resell it, and they have. And I still earn enough cash to continue developing it.

      And I have the search engine top hits. And I have thousands of social media comments linking to my website. Copying a business isn't just about copying the product. They have to copy my reputation, too. And my sales channels.

      Stop being so afraid. Selling free software is good, and sustainable, and those who think otherwise are extremely naive, ignorant, or with ulterior motives.

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Few companies have done it successfully like Red Hat, Odoo ERP and Sensio Labs (the company that builds Symfony framework).

  • Yes but notice how all of those are B2B? I was responding in the context of B2C, on one hand we know that people are willing to pay for convenience - Steam has largely beaten piracy by simply offering a better service.

    But that wouldn't hold up if games were released under a FOSS license. There would be nothing stopping me (maybe trademark law? I'm sure there are workarounds) from setting up "SteamForFree", rehosting every game with the same user experience as Steam, and offering access for a small monthly fee to cover hosting costs and make a tidy profit.

    I'd like to offer source code, allow modifications for personal use, while prohibiting redistribution and certain types of commercial use (e.g. companies over $x million in revenue). That's a pretty fundamental mismatch between what I feel comfortable with in order to protect my income and what FOSS licenses allow.

    • Fully agree with this sentiment.

      I do think though that disallowing "certain types of commercial use" is a poison pill that would prevent your project from getting any significant adoption.

      I think a better option would be something like GPL but with the "you can redistribute copies of this to anyone you like without paying me" part stripped out. (Maybe replaced with a provision that allows transferring your license to someone else, but then you're not allowed to use it afterwards.) The goal being to protect consumer freedom to exercise ownership rights over their software (including the ability to modify it) without simultaneously trying to abolish the copyright system and killing your own funding mechanism in the process.

    • I still think you'd get the part of the market that cares about creators. The part that doesn't would pirate anyway. Now, this is assuming they can determine that you are the original creator, but IMO this is what trademarks are for.

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  • Notice all three of those companies make their money selling support contracts to businesses, not selling software to consumers.