Business Strategy for Software Executives
October 30, 2006
Launching an Open Source Business
Moving from open source ìprojectî to ìcompanyî involves unique considerations for todayís software startups.
By Dave Rosenberg, MuleSource
There are many great open source projects that have dedicated developers, users and admirers. But only a few have the possibility of becoming legitimate businesses. The trick is to figure out the market, the business context and the viability of sustained revenue.
I recently went through a successful fundraising effort to build a company around an open source project called Mule, which was developed by my co-founder, Ross Mason. We raised $4 million from Hummer Winblad and Morgenthaler earlier this month.
The takeaways from our experience moving from open source project to open source business may serve as guideposts for other second-generation open source startups.
VCs: Widen Thy Net
The latest data show venture capital investment is holding steady at $6 billion per quarter ñ not bad. But a new report from Topline Strategy Group finds that venture investors could improve their returns if they broaden their areas of investment. Founder Jonathan Klein outlines where VC money is flowing now, and where new opportunities lie in this weekís post to the SandHill.com Blog on Software Finance.
To Hype or Not to HypeÖ
Every innovation is new ñ but how oftenÝ should tech companies play the ìnew and improvedî card when they market their products? David Taber of Taber Consulting offers some perspective and advice on how and when to hype ìnewî products in this weekís post to the SandHill.com Blog on Sales & Marketing.
Publish Your Perspectives!
The SandHill.com Blog wants your opinions. Send your thoughts on the enterprise software industry to firstname.lastname@example.org and weíll publish them in our blog.
Learn to Work Better with Others
Lower communication costs and globalization make for a tremendous opportunity for knowledge-industry workers to collaborate. Management must improve the networks through which this collaboration occurs in order to best take advantage of Enteprise 2.0 potential. Learn more in this article from The McKinsey Quarterly.
Poll: Oracle vs. Red Hat?
Will Oracleís move to offer service & support to Red Hat customers mean death to the open source company?
Last week, readers gave their opinions as to whether they thought a new technology investment bubble is building.
More at SandHill.com:
Presenting the next wave of software licensingÖ
Source Labs gets $7 million.
PDF Solutions buys Si Automation.
Cadre Technologies names Chris Scherpenseel as CEO.
Send us your feedback on this newsletter and the SandHill.com site.
ìOpen-source is nothing more than peer-review science.î
Courtesy of Malcolm Kusher, The Kushner Group
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