Open Source (Still) Seeds the Startups

On Open Enterprise blog.

The Blue Frog Takes the King's Shilling

I've an article over on Linux Journal that looks at dual licensing. The issue of how you might make money out of open source software is important, not just to the coders but also to the users. If the former don't feel that they've received enough payback - of whatever kind - they are likely to move on, and the latter will then suffer.

So I was interested to see the news that everybody's favourite blue frog - Azureus - has taken some venture capital money to turn "legit", or at least corporate. There's no reason why this should have any downside for the free version: presumably they aim to produce paid-for, customised versions for content producers etc. In fact, it might even help educate the latter that BitTorrent is not synonymous with evil.

Here We Go Again...

Why am I not suprised by this?

“It appears as if the venture capital industry is slowly ratcheting up investment levels for the first time in four years, and these increases seem to be directed in a prudent manner,” Mark Heesen, president of the National Venture Capital Association said in a press release. That might have been true, but the recent trend of big money investments shows that prudence might be giving away to old-fashioned avarice.

Om Malik makes clear why the next dotcom delirium is inevitable:

Before they can go out and raise cash for new funds, many of the firms have to invest the remnant money from their circa 2000-2001 funds. Otherwise, Limited Partners might be asking them the difficult question: Why should I give you more cash when you are sitting on a pile already? A good example would be Oak Investment Partners, which raised $2.56 billion to become the largest venture capital fund ever.

In other words, there is simply too much greedy money in the system, some of it left over from the last VC feeding frenzy at the trough, which in the coming days absolutely must be spent, whether or not it makes sense. Did anyone say bubble?