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Open Source

Startups Are Going 'Fair Source' To Avoid Pitfalls of Open Source Licensing (techcrunch.com) 69

An anonymous reader quotes a report from TechCrunch: With the perennial tensions between proprietary and open source software (OSS) unlikely to end anytime soon, a $3 billion startup is throwing its weight behind a new licensing paradigm -- one that's designed to bridge the open and proprietary worlds, replete with new definition, terminology, and governance model. Developer software company Sentry recently introduced a new license category dubbed "fair source." Sentry is an initial adopter, as are some half dozen others, including GitButler, a developer tooling company from one of GitHub's founders. The fair source concept is designed to help companies align themselves with the "open" software development sphere, without encroaching into existing licensing landscapes, be that open source, open core, or source-available, and while avoiding any negative associations that exist with "proprietary." However, fair source is also a response to the growing sense that open source isn't working out commercially.

"Open source isn't a business model -- open source is a distribution model, it's a software development model, primarily," Chad Whitacre, Sentry's head of open source, told TechCrunch. "And in fact, it places severe limits on what business models are available, because of the licensing terms." Sure, there are hugely successful open source projects, but they are generally components of larger proprietary products. Businesses that have flown the open source flag have mostly retreated to protect their hard work, moving either from fully permissive to a more restrictive "copyleft" license, as the likes of Element did last year and Grafana before it, or ditched open source altogether as HashiCorp did with Terraform. "Most of the world's software is still closed source," Whitacre added. "Kubernetes is open source, but Google Search is closed. React is open source, but Facebook Newsfeed is closed. With fair source, we're carving a space for companies to safely share not just these lower-level infrastructure components, but share access to their core product."
Further reading: As Companies Try 'Open Source Rug Pull', Open Source Foundations Considered Helpful

Startups Are Going 'Fair Source' To Avoid Pitfalls of Open Source Licensing

Comments Filter:
  • by sg_oneill ( 159032 ) on Monday September 23, 2024 @08:22PM (#64811317)

    I'm not a lawyer, but I wouldnt touch software with this license with a ten foot barge pole. Its horribly restrictive.

    Don't fall for the marketing talk people.

    Functional Source License, Version 1.1, Apache 2.0 Future License
    Abbreviation
    FSL-1.1-Apache-2.0

    Notice
    Copyright ${year} ${licensor name}

    Terms and Conditions
    Licensor ("We")
    The party offering the Software under these Terms and Conditions.

    The Software
    The "Software" is each version of the software that we make available under these Terms and Conditions, as indicated by our inclusion of these Terms and Conditions with the Software.

    License Grant
    Subject to your compliance with this License Grant and the Patents, Redistribution and Trademark clauses below, we hereby grant you the right to use, copy, modify, create derivative works, publicly perform, publicly display and redistribute the Software for any Permitted Purpose identified below.

    Permitted Purpose
    A Permitted Purpose is any purpose other than a Competing Use. A Competing Use means making the Software available to others in a commercial product or service that:

    substitutes for the Software;

    substitutes for any other product or service we offer using the Software that exists as of the date we make the Software available; or

    offers the same or substantially similar functionality as the Software.

    Permitted Purposes specifically include using the Software:

    for your internal use and access;

    for non-commercial education;

    for non-commercial research; and

    in connection with professional services that you provide to a licensee using the Software in accordance with these Terms and Conditions.

    Patents
    To the extent your use for a Permitted Purpose would necessarily infringe our patents, the license grant above includes a license under our patents. If you make a claim against any party that the Software infringes or contributes to the infringement of any patent, then your patent license to the Software ends immediately.

    Redistribution
    The Terms and Conditions apply to all copies, modifications and derivatives of the Software.

    If you redistribute any copies, modifications or derivatives of the Software, you must include a copy of or a link to these Terms and Conditions and not remove any copyright notices provided in or with the Software.

    Disclaimer
    THE SOFTWARE IS PROVIDED "AS IS" AND WITHOUT WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION WARRANTIES OF FITNESS FOR A PARTICULAR PURPOSE, MERCHANTABILITY, TITLE OR NON-INFRINGEMENT.

    IN NO EVENT WILL WE HAVE ANY LIABILITY TO YOU ARISING OUT OF OR RELATED TO THE SOFTWARE, INCLUDING INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES, EVEN IF WE HAVE BEEN INFORMED OF THEIR POSSIBILITY IN ADVANCE.

    Trademarks
    Except for displaying the License Details and identifying us as the origin of the Software, you have no right under these Terms and Conditions to use our trademarks, trade names, service marks or product names.

    Grant of Future License
    We hereby irrevocably grant you an additional license to use the Software under the Apache License, Version 2.0 that is effective on the second anniversary of the date we make the Software available. On or after that date, you may use the Software under the Apache License, Version 2.0, in which case the following will apply:

    Licensed under the Apache License, Version 2.0 (the "License"); you may not use this file except in compliance with the License.

    You may obtain a copy of the License at

    http://www.apache.org/licenses... [apache.org]

    Unless required by applicable law or agreed to in writing, software distributed under the License is distributed on an "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the License for the specific language governing permissions and limitations under the License.

    • by Austerity Empowers ( 669817 ) on Monday September 23, 2024 @08:41PM (#64811337)

      The Please Do Free Work For Us license

    • by Entrope ( 68843 ) on Monday September 23, 2024 @08:48PM (#64811351) Homepage

      You can totally publicly display, publicly perform, and redistribute the software. As long as you don't compete with the software, or compete with the services that upstream builds on top of the software, or do the same things as the software.

      WTAF?

      • In other words the only purpose this license serves, is as a guillotine in court after the code using it poisons the minds of programmers for looking at said code.

        May as well just pass a law that says OSS is not allowed to compete with proprietary software development. You can only compete against last generation. Ha ha!
        • In other words the only purpose this license serves, is as a guillotine in court after the code using it poisons the minds of programmers for looking at said code.

          Suppose the source for a company's big product just so happens to contain a new, nifty string-matching algorithm that's completely generic. If it were all closed source, you couldn't see any of it; under fair source, you could and likely be fine using only the new string-matching algorithm, no?

      • This is License is to stop things like what they did with Terraform - forking it off the last OSS license release and making OpenTofu.
        • by Entrope ( 68843 )

          That makes sense. They scrambled the spelling: this is no longer an OPEN source license, it is a PEON source license.

    • "...or offers the same or substantially similar functionality as the Software..."

      So you can't compete with your own "Software" that does a similar thing? Yeah, no.

  • Seems very fuzzy... (Score:5, Interesting)

    by fuzzyfuzzyfungus ( 1223518 ) on Monday September 23, 2024 @08:47PM (#64811349) Journal
    I can understand not wanting your open source product to end up as an Amazon-branded cloud-only thing tomorrow; but I'm less clear on whether this actually achieves that objective better than just keeping it proprietary or going with something like AGPL that's specifically aimed at closing the cloud-means-we-never-actually-distribute loophole.

    The "You are super forbidden from doing anything with this that competes with us, might compete with us, resembles one of our products to some degree" portion of the license seems broad and vague enough to both put practically any use(except for your own customers doing fixes in-house) at risk of litigation; and to not necessarily protect you from someone who isn't afraid to try to get away with an edge case and out-lawyer you if you object. In theory it's more business-model focused than something like the AGPL; and less restrictive than a 'noncommercial' or 'exclusively to facilitate internal modifications by licensed customers' license; but so much of that extra area contains enough legal uncertainty that you'd need to have steady nerves to actually use it.

    Then you have the time-locked permissive release, which probably seems fine when you are doing something on the cutting edge; but seems likely to lead to regret or pointless churning of your product to break compatibility if you live long enough to reach the point where getting the you of 24 months ago for free seems like a better deal than paying for you today.(which certainly isn't the case across the board; but happens to a lot of software once the low hanging fruit is picked and improvements become increasingly marginal) It certainly provides more cover than releasing under a permissive license on day one; but quite possibly less than a stricter copyleft license on day one; since, instead of 'your code derivatives of which must be shared back' you have an explicit division between 'your basically-proprietary code that why would anyone give you fixes for' and 'your free stuff that's a couple of years old'.
    • by MpVpRb ( 1423381 )

      "whether this actually achieves that objective better than just keeping it proprietary"
      About the only benefit I see is education. It might be possible to learn something by reading the source

    • by mysidia ( 191772 )

      Then you have the time-locked permissive release, which probably seems fine when you are doing something on the cutting edge; but seems likely to lead to regret

      The time-locked release is written in a cloudy way. There is a problem about how do YOU the person who downloaded the software notate and establish what the actual date is?

      This may not be problematic for the author, but the user needs to have a way of knowing AND being able to prove what the actual date is.

      I'd much rather something like

      Grant of

  • The code is escrowed for a period of time determined by the developer. If you want the latest greatest version then you pay for a license. Those with a license can see the latest code and contribute if they wish to do so and ultimately use the newest version of the application. It can be a yearly/multi year or one time fee depending on the developer. If you contribute significantly (to be determined by the main developer) then you can get comped for a free year. Other than paying for the first year many peo

    • by rta ( 559125 )

      This thing in TFA though is basically "source-available" that then becomes apache 2.0 after 2 years.

      And i don't think allows for security fixes, which makes OSS version pretty bad:

      If a vulnerability is discovered and fixed in the current version then the fix can't be backported to the 2 year old open version for 2 years? That would make any such software a no go for many uses. You can't really run unpatched things nowadays in a commercial env.

      Or what you have a people who promise to clean-room fix vulne

      • If a vulnerability is discovered and fixed in the current version then the fix can't be backported to the 2 year old open version for 2 years?

        That's exactly the point. They want to keep OSS from posing any form of threat to their business model. So they hamstring it anyway they can. Leaving the OSS groups with insecure versions of the code means that companies, governments, and other groups / individuals needing actual security have no choice but to pay up.

        Meanwhile the Non Compete Agreement embedded in the license makes it so that even if the OSS project tries to keep things secure, the company can sue them out of existence and have the contr

  • "With the perennial tensions between proprietary and open source software (OSS) unlikely to end anytime soon..."

    What tensions are those? Just stirring the pot to promote an agenda.

    • The GPL shares values with Communism. Specifically, these are collective ownership, a focus on the "public good", restrictions on privatization and monopolization, and the GPL provides incentives for collaboration. I think what we truly see in these debates is folks politically aligned with Communism (including many Socialists) felt a kinship or affinity to the GPL because it reflects their values. The BSD license is much weaker in these key areas a Communist would care about. Instead it's focused on giving
  • Here's a piece of GPL software being sold. It complies with the GPL as well.

    Bibisco [bibisco.com] has a limited version free for download, and sells a complete version. You get the source in both cases.

  • by khchung ( 462899 ) on Monday September 23, 2024 @09:39PM (#64811455) Journal

    Just like OpenAI and OpenXML aren't open at all.

    Orwell must be spinning in his grave for decades now.

  • The article contrasts the "fair source" license with all kinds of other licensing models, but for the life of me I couldn't find a clear summary of what a "fair source" license *is*. If the meaning is that murky, I'd say we should look at it as basically "closed" source.

  • The author is wrong. Non-copyleft open source licenses are targetted at being a business model. They may be failed at it but that is their purpose.
    Copyleft, namely GPLv3, is the one that is a development model rather than a business model. It sets out to ensure that future development stays public.

    • by ET3D ( 1169851 )

      I'll try to explain it:

      Open source that's not copyleft pretty much gives anyone the license to do anything with the source, and therefore it's impossible to make money off the code once you provide source code with such a license.

      GPL, on the other hand, severely restricts what people can do with the code, and therefore if someone wants to use the code without the restrictions, there's need to pay for another license.

      That's why copyleft is a business model and more permissive open source licenses aren't.

      • by evanh ( 627108 )

        No, non-copyleft licences allow the source code to be commercialised as relicensed code. The original authors just don't get any benefit is all. It works for commercial entities just fine.

  • I am fortunately an amateur, untrained in so this legality except by personal experience.

    So I keep coming back to the fundamental problem: how do we expect clever and energetic people to do excellent and profitable work without sharing in the profit?

    Some projects have 'solved' this, vim for instance, maybe git. But nearly every useful database project has had to fork off to a commercial version. The foss -to-paid support model didn't seem to work well, CentOS seeming to be an example of the 'owner' taking t

  • This is akin to Fake Open Source without the deception. Or only a little bit of it. Like those fake claims of Open Source claims by M$ 15 years or so back.

    It's simple: if your software doesn't have an OSI approved FOSS license, it isn't FOSS.

    This doesn't apply here. Hence it won't work.

    FOSS will continue to grow.

    By and large FOSS is true Marxism at work. The digital space is a realm where Marxism actually works, because the cost of reproducing a digital good is basically zero and the network effect of every

  • Has entered the chat.
  • > there are hugely successful open source projects, but they are generally components of larger proprietary products

    Not "but", but "so": "... so they are generally components of larger proprietary products".

    • by davecb ( 6526 )
      When you want to deceive someone, you put the doubtful thing in the lede, so the reader slides past it before they have enough context
  • by ledow ( 319597 )

    #34276 in the list of "poor ideas that will never achieve any kind of mainstream usage".

  • This looks like another attempt to dilute real FOSS, just like MS tried about 20 years ago.
    As we can clearly see, Shared Source didn't gain any traction, and classic FOSS licensing stayed, and is still thriving.
  • So the no competing use concept has some issues. Consider the following scenario:

    1) Company A releases Project A under this license and they compete in Market Segment A.

    2) Company B builds Project B using some code from Project A and they compete in Market Segment B. They also release their project under this license.

    3) Company C builds Project C using some code from Project B (and unknowingly, Project A), and they compete in Market Segment A.

    It's like the herpes of software licensing!

  • Regard it as closed-source license. Essentially, it is. Anybody that understands FOSS will not be fooled.

  • unmod

  • "Open source isn't a business model"
    Yes. Yes it is. It's just that it's not a business model that you follow. But, back in the day people used to share software freely. Their logic was that, "Since I've already written the software to do that task, why not just give it to them, and save them the time. In the future, maybe they'll share with me, too." These days, everyone wants to legally own the colors green, blue, red, and yellow, and charge others for using it. The world is broken. The business mo

  • So what would the Mongo DB License be, that is basically a stronger AGPL that OSI failed to accept.

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