Comment by thayne
2 hours ago
> if the main work is done by commercial sponsors then it’s crucial those sponsors feel the relationship is beneficial
But if the sponsor is getting a tax write-off because of their donation to non-profit to do work on the project that they would have done anyways for their commercial product, then they are basically just using the non-profit to avoid taxes, and while I'm not a lawyer, it wouldn't surprise me if that is illegal, especially if the company also controls seats on the board of directors.
> a nonprofit may not be a great vehicle for some free software projects
I've frequently wondered if we need some new kind of structure for funding open source projects works kind of like a non-profit but is more lenient in some ways, like allowing some kinds of business transactions in addition to accepting donations, and maybe you don't get as much of a tax deduction for donating to it. I don't know exactly what that would look like though, and it would probably be difficult to get right.
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