[Reader-list] IBM frees 500 software patents

[Oli]

Just think about eclipse (eclipse.org), an IDE that so nicely fits into the 
'open source community', a big success, and IBM saved a lot of money, 
because PR was not necessary anymore. They are just using the 'community'. 
The story of eclipse is far more complex, and I am only interested in one 
point here: open source more and more becomes an 'Adapt or Die' strategy, 
and it is an competitive advantage to jump on the open-source wagon,  which 
seems to be the future of software as a commodity (yes!). Look here:

 <http://management.itmanagersjournal.com/management/04/05/10/2052216.shtml?t
id3D85>

"Seven open source business strategies for competitive advantage" is not 
just a proposal that might be of interest, but it's already a paradigm in 
contempory software development.

The strategies names are telling a lot what it is about:

The Optimization Strategy
The Dual License Strategy
The Consulting Strategy
The Subscription Strategy
The Patronage Strategy
The Hosted Strategy
The Embedded Strategy


So, open source is not innocent. It's a tool being used more and more for 
competitive advantage. How does the 'open source community' react? Is this 
an issue and for whom?

-Oli


--On Wednesday, January 12, 2005 12:39:42 +0530 Pankaj kaushal 
<penguinhead at linux-delhi.org> wrote:

> Monica Narula wrote:
>> http://news.bbc.co.uk/2/hi/technology/4163975.stm
>>
>> IBM frees 500 software patents
>>
>> Computer giant IBM says 500 of its software patents will be released
>> into the open development community.
>>
>>  The move means developers will be able to use the technologies without
>> paying for a licence from the company.
>
> IBM foresees the future, where software is a commodity. It doesn't
> bother them because they sell a lot of hardware and its almost
> believable that people will buy even more hardware from them if software
> were free. If as much of the money that was going to Microsoft now
> starts flowing the IBM way keeping the OSS developers happy is a very
> good move.
>
> That being said, IBM is the leader in new patents every year. IBM rarely
> let's their patents go. IBM's success is partly due from those thousands
> of IP patent's they attain every year. IBM already has one of the
> largest patent portfolios worldwide and it continues to register more
> patents with the U.S. Patent and Trademark Office.
>
> With 3,415 patents in 2003 IBM has more than any other company ever has
> done in a year. It was also the 11th consecutive year that IBM was
> awarded the most patents, and it brought IBM's total over those 11 years
> to more than 25000 patents.
>
> 500 patents is a tiny fraction of the mountain of patents they own. IBM
> releasing 500 patents for OSS developers can not be seen as giving away
> its IP portfolio, nor can it be seen as a generous move of collaboration
> with the Open source community.
>
> Exactly how many open-source projects currently pay IBM for patent
> licenses? And how many do you expect to pay in future?
>
> Another reason why giving away a few patents is a very good idea is
> because IBM wants to not look like an IP Hoarding company. By freely
> distributing the patents IBM, in effect is trying to hit those IP
> hoarding companies.
>
> IBM is losing nothing here. What they have gained is a great deal of
> goodwill, and given open-source development a boost. They have a great
> deal of experience in building upon open-source projects, where there
> competitors do not - so anything good for open-source is good for IBM at
> the moment.
>
> This is a smart move by smart people, and it follows in the footsteps of
> other smart moves. This is an indicator that IBM really understands how
> open-source can help their business, and if IBM continue in this
> fashion, they will make a great deal of money while the rest of the
> world catches up with them in the open-source stakes.
>
> Open source changes the notion of who will make money. IBM has made
> major moves to make sure they will be the benefactors of this change.
>
>
> Pankaj.
> --
> make install --not war
>
>
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