This is an interesting topic for an ex COO/Co-Founder of a software company to be reporting on. My income, and the wealth of many investors relied on software development being proprietary, controlled updated and managed by our own set of programmers. It is compiled and the executable state is released to the public, or those who purchase it. How the times have changed, and today many people are still creating wealth through programming, using crowd sourced or open sourced software as part of whole of the model. Business models have changed to accommodate, add and support Open Source. Today, we will discuss business ethics and the open source movement.
Ethics are “standards of behaviors that tell us how human beings should act in the situations in which they find themselves” as business people, programmers and owners. http://www.scu.edu/ethics/practicing/decision/framework.html
Now that we know what ethics are, what is Open Source software?
Open Source is free source code. A programmer can add or modify the code to increase productivity, effectiveness or add a new feature. That is not the full definition though. According to the Open Source Initiative, Open Source licenses must also include free redistribution, derived works (the additions from other programmers) allowed under same license, integrity of author’s source code, no discrimination of people or groups, no discrimination against fields of endeavors and license cannot be specific to a product, cannot restrict other software programs and be technology neutral. http://en.wikisource.org/wiki/The_Open_Source_Definition.
To get this definition I went to the most readily used Crowd sourced (and Open Sourced as well) platform known today, Wikipedia. One thing that is important to remember is even though the source code is open, the program is still copyright protected and not considered Public Domain Software. Additions will get coded into next release and updates.
Now that we have a definition and operating terms, what are the ethical implications? I am going to discuss motivations (of source code authors and businesses) as an ethical consideration and then finish with a summary. The summary will include an assessment of business ethics from the Common Good and Utilitarian perspective.
Motivation of Programmers and companies
I consulted with a company that had proprietary software. During the consulting gig we realized software would be a delivery system for our services and would not make money on the software but rather the services. As software development became less expensive and more prevalent, using Open Source software applications along with add on proprietary add programming seemed ethical. It was ethical because we could keep the criteria developed by the Open Source movement and make the money on the services or value added propositions of the company. This also gets into the Free Software movement that is taking hold, which though different from Open Source, suggests all software should be free and accessible by all.
In the end, this company gave away software for free, allowing the companies who purchased to modify the software as needed to work in their corporate environment. This worked well for us, but did remove a major stream of revenue in program customization. This was a business model transition as we recognized a sea change. It also meant we had to be very clean in our programming.
As the author of the Open Sourced program, there are many issues. Ethics come into play when one has to make a determination as to whether the new code should be included in next release. If you do not add updates, you run the risk of shutting down collaboration on your program. The reason why open source started as a movement was to further the profession. If one owns an open source software program, you have a responsibility to advance the profession of computing.
How do this affect proprietary software developers and what are the ethics involved for these big guns. In the beginning Microsoft saw open source as a huge enemy, however today Microsoft is embracing the developing in the gaming division. While they lock down a certain part of the source code, other is open, allowing gaming enthusiasts, who are programmers to improve the interface software for controllers. MODS to the Microsoft programs have become part of the next release, allowing Microsoft to compete well in the market. We see other programming companies giving up parts of their code to keep the enthusiasts engaged and are finding this practice delivers better programs.
We use Open Source software for our university online program. We use Moodle. At first the program discouraged me as 7 years ago but today I find it does everything I need it to do. Students seem to have some ideas for enhancements and I encourage them to send these forward to Moodle. Most students do not know Moodle is being used because the university renames the program.
There would be ethical concerns for the author/owner if the program was installed and then the support or development did not occur. In the early years of using Moodle, this was my fear. Patches and improvements were not made rapidly but today, that does not seem to be a problem. Support issues, once a system is installed and running could cause significant ethical issues if a company is built around Open Source platforms.
Summary
When we look at ethics, we need to determine if an action could be damaging to some group. In the case of Open Source, not having a process or program documented well could cause some concern. Another thing we must consider is using Open Source involving a choice between a good alternative and a bad, or two goods? I think that there are times when choosing a less costly approach is a good alternative because the less costly is what the market can bare. Because of this, I do think there can be an ethical decision as to how and when to use Open Source. One more thought about ethics and Open Source comes when a question as to whether someone is doing what is easiest, using an Open Source approach, or what is right. Does a program require more controls in order to maintain the safety (such a medical devices or stop light management)?
Additional link: In our ethics classes, we learned about the different perspectives of ethics, this link is great at putting all of these into perspective when considering open source development. This link from Santa Clara University provides a great description of the Utilitarian, rights, fairness, common good and virtue perspective: http://www.scu.edu/ethics/publications/submitted/open-source.html
profonamission 
An interesting book that provides a good history of the Open Source movement is Curtis Bonk’s The World is Open (2009). Curtis is currently starting a sabbatical in order to write the sequel – The World is More Open.
http://worldisopen.com/
Thanks for your insight. I am not particularly familiar with the open source programming process, but I am curious whether developing an open source software ever disincents programmers or developers to underdesign or limit the potential capacity of the software? Could underdesigning negatively impact economic growth, development or innovation? I appreciate the value of open source tools and use many of them, however, is creativity ever stalled because the product will be licensed in an open source format?
On the otherhand, I appreciate the value of open-source development in a flat world. Since numerous programmers can essentially alter, change, improve and distribute the open source software, it appears it may have more adaptability and agility than proprietary code. As our networks expand, adapt and appear more agile, open software clearly positions itself to seize new opportunities. The trick as you clearly point out is to determine what additional revenue streams can supplement the software to justify its continued production. Do you see any potential struggles as companies further embrace the open source movement?
Thanks for your comments-
Amy
I think open source movement may have some limitations as you speak of. I think you hit the nail on the head with under designing impacting economic growth. I also have seen creativity stalled because individuals have to be available and willing to build on the come so to speak, with no sense of return on their investment will happen.
I think there will be struggles for some companies to embrace because of the revenue streams issues, AND I think some software development does not lend itself to open source development. I have been challenged by some open source individuals when I discussed government programs, and possible medical device programs need to be proprietary, but I still have my concerns. I do want to read the book our professor suggested as I bet we would find more deep thought about just the issues you raise.
Your post gave me some more details on Open Source than I had before. Thanks.
I think that Open Source can be both a boon to a company or individual or a death knell if not properly research and controlled.
The concept of focusing on customer support vice development can be a beneficial if the customer’s are willing to sign up and pay for the service. The business model must take into account the amount of control the company maintains and how they will review the upgrades, enhancements, and the code fixes and determine which ones get added to the next release.
You are right that having your hard work ignored by the powers that be can cause you to walk away from that software and the company. There must be checks and balances and the decision makers must decide what is best for all their customers but also be responsible and explain their decisions.
I think that there could some advantages in using Open Source programs in portion of my business area where i can capitalize on the innovative minds of my staff but also on the larger world. However, I continue to run into the brick wall of security. Some day I hope that they will see that Open Source, properly managed could actually improve our efforts at a substantial price break but with a definite productivity increase.
Most people do not recognize just how important Open Source has been. Here is an interesting list of Open Source Success Stories – http://www.techdrivein.com/2010/08/11-biggest-open-source-success-stories.html
To: Profonamission
From: NotSocrates
This was a very helpful summarization of the Open-source concept. I am glad you feel that there can be an ethical decision as to how and when to use open source. The question I have is what should be the guiding framework for that decision. With so many ethical frames to look through (Utilitarian, Common Good, Rights), which one wins out? If it is the common good approach, who’s common good should be considered? Society’s? An individual country? These are the questions that perplex me. These questions are particularly difficult to answer in a flattened world where a lone individual in Africa trying to break through to climb the economic ladder may have a very different vantage point than that of someone here in the United States.
Thank you for the insight on “open source” and the ethical perspectives that it can involve. With your experience in this area, do you see where classes can be beneficial that would explain or assist others when faced with ethical issues related to “crowd source” and “open source”?