The closing of closed-source competition & the rapid development speeds of open-source.

Newton says such open source competitors can scale their development much faster than any closed-source competitor. “We’re not trying to hide things until they’re ready. We’re constantly putting out new functionality, and people are doing stuff with it.” By combining a number of projects together, something open source companies themselves are increasingly doing, all the work that Oracle and its acquisitions have done over a decade can be replicated in a fraction of the time.

Enterprise open source is moving up the stack into applications and up the stack in terms of customer size. The “natural” profit gain you assume in a consolidating industry just isn’t being earned. Competition is collapsing in the closed source world, but it is just beginning in the open source world.

Read The Collapse of Competition from ZDNet’s Dana Blankenhorn.

Previously from Whats New Media:
Open-sourcing catches on at IBM;
Intellectual property in the era of open source;
What would a Microsoft fade mean for open source?

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Filed under Business 2.0, Open Source

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