Open supply firms that go proprietary: A timeline


Open supply could be the constructing blocks of the fashionable software program stack, however firms constructing companies off the again of open supply software program face a perennial wrestle between protecting their group completely happy and guaranteeing that third events don’t abuse the permissions afforded by the license.

Many firms have launched with lofty open supply ambitions, solely to duck for canopy as soon as the realities of the business world hit house. It’s all about defending their backside line, particularly with buyers (public or non-public) to appease.

However it may be troublesome protecting tabs on all these adjustments, whereas additionally distinguishing those who have deserted open supply altogether and those who have sought sanctuary behind a much less permissive (however nonetheless open supply) license (because the likes of Aspect and Grafana have accomplished up to now few years).

As such, TechCrunch has compiled a timeline of open supply firms which have modified course over the previous decade.

Movable Sort (2013)

Movable Sort created an open supply model (referred to as MTOS) of its internet publishing software program in 2007 below a “copyleft” GPL open supply license, a transfer that positioned it extra carefully to WordPress. Such licenses afford sure freedoms, however stipulate that every one by-product work be launched below the same license. At any charge, this transfer lasted till 2013, at which level Movable Sort’s then house owners ditched the open supply product, opining that it “damage the adoption” of the business variations.

“The group has not grown due to MTOS, nor have we seen obtain numbers which are any better than our paid variations of Movable Sort, so at this level it doesn’t make any financial sense to proceed to keep up and distribute one thing that’s getting little or no use,” the corporate wrote on the time.

SugarCRM (2014)

Based initially in 2004, buyer relationship administration (CRM) software program maker SugarCRM introduced in 2014 that it will now not present an open supply “group version,” noting that its two core markets — builders and first-time CRM customers in search of an affordable resolution — weren’t successfully being served by the product.

The corporate did proceed to help the final model (v6.5) of the open supply incarnation for 4 extra years, earlier than pulling the plug in 2018.

Redis (2018)

Redis, creators of the favored in-memory database retailer, has been transitioning away from its open supply roots since 2018, when it moved its “Redis Modules” (e.g. RediSearch) from an open supply AGPL license to Apache 2.0 with a “Commons Clause” addendum (i.e. business restrictions). The following yr, Redis changed the Commons Clause with its personal Redis Supply Accessible License (RSAL) that promised to keep up some freedoms, however with notable restrictions associated to competing database companies — akin to these supplied by firms akin to AWS.

In some ways, this was a bellwether of what was to come back, as different firms would later cite the “Amazon downside” as their purpose for switching their license up. Earlier this yr, Redis’ transition to the world of proprietary was full, when it introduced that its core software program could be shifting from a BSD 3-Clause license to a dual-license setup — RSAL or server facet public license (SSPL).

MongoDB (2018)

In 2018, database firm MongoDB moved away from an open supply AGPL license to SSPL. The explanation? Yup: to stop cloud hyperscalers akin to AWS from promoting their very own model of the service with out contributing again.

Confluent (2018)

The “yr that was” for open supply license switching concluded with Confluent, an organization that sells enterprise-grade instruments and companies round Apache Kafka, switching a few of the parts of its core platform from Apache 2.0 to a proprietary Confluent Neighborhood License.

This license stipulates a notable exclusion, one which forbids any competing service from providing Confluent’s wares “as-a-service.”

Cockroach Labs (2019)

Cockroach Labs, creator of the eponymous distributed SQL database referred to as CockroachDB, has continued to shake up its licensing ethos.

In 2019, the corporate’s founders introduced that they had been transferring CockroachDB from the permissive Apache 2.0 license to the Enterprise Supply License (BUSL). Once more, cloud hyperscalers akin to AWS had been the driving drive behind the change.

“We’re witnessing the rise of extremely built-in suppliers reap the benefits of their distinctive place to supply ‘as-a-service’ variations of OSS [open source software] merchandise, and provide a superior person expertise as a consequence of their integrations,” the founders wrote on the time.

Again in August, Cockroach Labs introduced yet one more change: It might consolidate its self-hosted product below a single enterprise license, as a method to encourage bigger companies to pay for the options they actually need. 

Sentry (2019)

Sentry, the $3 billion firm behind the app efficiency monitoring platform of the identical title, was as soon as accessible below a permissive BSD 3-Clause open supply license. However in 2019, the corporate moved to BUSL, with co-founder and CTO David Cramer saying this was to counter “funded companies plagiarizing or copying our work to straight compete with Sentry.”

Final yr, Sentry launched its very personal Practical Supply License (FSL), which has similarities to BUSL however somewhat easier. And as of this yr, Sentry is placing its weight behind a brand new licensing paradigm dubbed “honest supply,” which, as TechCrunch reported on the time, is “designed to bridge the open and proprietary worlds, replete with new definition, terminology, and governance mannequin.”

Elastic (2021)

It was a number of years within the making, however Elastic — creator of enterprise search engine Elasticsearch and the Kibana visualization dashboard — went proprietary in 2021. It was a well-known story, one that may be traced again to 2015 when AWS launched its personal managed Elasticsearch service.

Nonetheless, Elastic stands considerably alone as one of many solely firms to maneuver away from open supply, after which transfer again. Again in August, Elastic introduced it will be adopting an AGPL license — totally different to the Apache 2.0 license it used previous to 2021, however open supply nonetheless.

HashiCorp (2023)

HashiCorp additionally deserted the open supply ship final yr, saying that it was switching its standard “infrastructure as code” instrument Terraform from a copyleft open supply license to BUSL.

The acquainted purpose was to stop sure distributors from monetizing Terraform with out contributing something again to the venture.

An open supply fork referred to as OpenTofu was launched earlier this yr by third events, and as a notable apart, IBM snapped up HashiCorp for $6.4 billion.

Snowplow (2024)

Snowplow, a VC-backed platform that helps firms acquire behavioral information for AI purposes, this yr switched from an open supply Apache 2.0 license to the Snowplow Restricted Use License Settlement.

The explanation, the corporate mentioned, was that it must fund its “thrilling know-how roadmap,” and thus everybody working its software program in manufacturing ought to “pay for the worth they obtain in return.” The brand new license additionally explicitly prevents customers from making a aggressive product constructed on prime of Snowplow.

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