Think back to the earlier computing days when Windows 95 was the Operating system of choice. When one wanted software for your computer you went to the web and downloaded 'shareware' software. This software allowed you to use the application for a limited number of days, then it would cease to work or become crippled in its functionality and have multiple pop up windows advising you to pay $20 to the developer to allow keep using the 'full' application.
The idea behind this sort of software distribution was to get you hooked into using the software, and then when you're dependent on it, charge you a small fee to keep using it.
Open Source software can have a similar but less sinister model for distributing software. With Free and Open Source Software (FOSS), you can download and try out an application (or operating system) and if you decide that it suits your business needs, you can then roll out the application and start depending on it. Many of the open source software are completely free (no purchase price) to use and free to modify (No Proprietary Code).
Say you're looking for a CRM (Customer Relationship Management) for your business, you automatically think of Siebel (Oracle), SAP, Salesforce or Microsoft. You call all these vendors and you get:
- Glossy marketing brochures
- Marketing material
- Video's of the software
- PowerPoint presentations and more
What you do not get:
- To try the complete software package for free
- To modify the code to the software without permission or without paying substantial money.
One of the other money making tactics used by proprietary software vendors is withdrawing commercial support for previous versions of software. You have then forced to upgrade and pay upgrade cost even though there is no business or commercial justification.
For business, the hidden benefits of going with Open Source software are immense:
One can implement the software without too many hassles, and without paying hefty upfront software cost or license fee. If the software meets the business requirements,
continue to use it.
Most of the software is based on latest technologies and therefore easy to implement, learn, use and support.
Open source software is supported by a community of developers which can support you as and when required. This means that from a long term perspective you are not locked into a particular vendor. Additionally, commercial support is available from international and local companies. Also there are no upgrade or annual maintenance costs.
To summarise, if one has to compare the Total Cost of Ownership of using a proprietary software vis-a-vis open source software, there is no doubt that open source software TCO is substantially lower and makes business sense.

