Home
>
Software
>
Open Source Concepts: Dual Licensing Explained

Open Source Concepts: Dual Licensing Explained

We were recently faced with a decision: either to let a program that took us one year to code die, simply because we do not have enough time to maintain it, or make it open source.

Open source looked like a good idea for while, but there was one problem. We wanted to keep the software under our control and to be able to make money selling it later. And let us just be honest and admit it: we wanted monopoly over our software and why not? It took us one year to write the software, and its documentation. Yeah we believe in 'Free Software', but who works for free. Free software can never be successful in the long run, if there is no way to make money.

Dual Licensing and GPL:

Then we said to each other: 'Hey, RedHat and MySQL are open source. Still they make lot of money. How?" The answer lies in the strategy known as 'Dual Licensing'. It is very simple. The Open Source company first has to copyright the source code, and then make it available to public. Now, since the company owns the source code copyright, it can distribute it under two different licenses: one open source and the other commercial. The open source license in such case will almost always be GNU GPL (General Public License), which allows anybody to modify the source code, redistribute it and incorporate it into other projects. However, there is one catch (a big, and annoying catch). The restriction is that any project that uses GPL'd code must also be released under the GPL license (GPL, we believe, works like a virus. It keeps on spreading). Which simply means (regarless of what open source ativists tell you), you cannot sell the GPL'd code or any project that incorporates it for profit. For that purpose, you will have to offer a commercial license.

Some well known companies that use Dual Licensing are: RedHat Inc, MySQL, AB., Sleepycat among many others. These companies one hand attracts people and developers who want to move the Open Source movement, and on the other, they want to make some serious money with dual licensing.

Let us look at an example: a guy was creating a commercial database application that was intended to bring him some cash. He used MySQL database at the backend, thinking it was free. He later found out that he violated the GPL license that MySQL uses. Anybody is restricted from distributing an application that uses GPL in modified or unmodified form unless the whole project is licensed under GPL. So that guy was left with no choice, but to buy commercial licenses (based on per copy) from MySQL, AB.

Is Dual Licensing Evil?

Yes. But there is nothing wrong with it. If no product revenues are coming in, the project will eventually die or will always be in a very bad shape (a lot of open source evangelists might try to contradict us and compare open source with religion, which it is not). In other words, if a guy is not making money from a project why in the hell would he keep supporting it. An example of one such software is PuTTY (with apology to Simon Tatham). Even though it is immensely popular, it still leaves a lot to be wished for. The User Interface is meager, the documentation is of low standard and there is no (customer) support. Strange for a very popular software.

Now if PuTTY was released under dual license, it might have been a lot different than it is now. The PuTTY company would have expanded, hiring new people and giving customer support. That did not happen and the result is that PuTTY is not used in large corporations who prefer commercial software with customer support and someone to blame if anything goes wrong. For example, Vandyke SecureCRT, Whitehorn Secure Terminal or Celestial Telnet are some popular commercial SSH clients.

So you mean Open Source is bad? Why people go open source then?

No. It is not. The number one advantage of open source is that it can cut the development time by as much as 50%. The other reason why people go open source is to make sure that project will always stay alive with the help from development community (many commercial software applications die in their first year). Some people participate in open source development just to make a name for them.

The bottom line is that Dual Licensing is not as evil as many people think it is. It is the only way to go if you want to make money from your open source project. We would like to end this article with a line from the infamous 'Open letter to hobbyists' written by Bill Gates: "Nothing would please me more than to be able to hire ten programmers and deluge the hobby market with good software."

DISCLAIMER: All information given in this article is provided on 'AS IS' basis. The author's do not assume any responsibility for any consequences and do not swear that the information given in this article is accurate. This article is not affiliated with any organization. This article can be distributed and redistributed as long as Author's names are not changed and the original text remains intact.

Ali Mansoor (malimansoor@hotmail.com) has written several famous commercial applications. Umer Mansoor (umer.mansoor@gmail.com) spends most of his time programming or thinking about money making schemes. He is inspired by his Dad, God, Microsoft, and more recently, Google. Visit his open source project page at: http://www.pegsol.com/newdesign/development.htm

Note from the authors: No we are not nerds or geeks and we define FREE as in 'free beer', not as in 'free speech'. Cheers..

Airbnb cleaning service Glenview ..

In The News:

ChatGPT 2025 now connects to Apple Music, Canva, Expedia, TripAdvisor and OpenTable through built-in apps that help users create playlists, design graphics and more.

Apple releases emergency patches for two zero-day vulnerabilities actively exploited in attacks. iPhone and iPad users urged to update immediately.

DoorDash launches Zesty, an AI-powered social app that recommends restaurants through conversational search, now testing in San Francisco and New York.

Cybersecurity firm Infoblox reveals that over 90 percent of parked domains now redirect visitors to scams and malware, making simple typos extremely dangerous.

The Fox News AI Newsletter covers the latest artificial intelligence technology advancements, including the challenges and opportunities AI presents now and for the future.

GPT-5.2 is now live for all ChatGPT users with improved coding, writing and image interpretation, with Kurt Knutsson offering his review.

New iPhone replacement scam uses pressure tactics and fake carrier calls to steal devices from buyers. Criminals claim shipping errors and demand urgent returns.

Amazon Ring's new facial recognition feature sparks privacy controversy as Electronic Frontier Foundation critics argue the AI upgrade expands surveillance risks.

New Android banking trojan Sturnus steals credentials, reads encrypted messages and controls devices.

Denmark's 3D-printed student village proves automation builds 36 apartments faster than traditional methods. Skovsporet project shows housing future.

Discover Android's new Sound Notifications feature that alerts you to smoke alarms, doorbells, and baby cries even when wearing headphones.

New SantaStealer malware reportedly threatens holiday shoppers with password theft. This Christmas-themed info-stealer targets browsers and crypto wallets.

The Christmas season brings a surge in Netflix phishing scams targeting shoppers with fake emails. Stacey P received convincing scam but verified account first.

San Francisco Giants invite Jamie Grohsong to throw ceremonial first pitch at Oracle Park after he learned to play baseball with a bionic hand following an injury.

FBI warns cybercriminals are stealing family photos from social media to create fake proof of life images in virtual kidnapping scams targeting victims.

Instagram's new 'Your Algorithm' tool lets you control your Reels feed in real time. The app now gives you power to customize what videos you see.

Major Marquis fintech breach exposes 400,000-plus Americans' data through unpatched SonicWall vulnerability, with Texas hardest hit at 354,000 affected.

Free up iPhone storage fast by clearing large photos and videos from Messages app. Simple steps for iOS users to delete attachments without losing chats.

Scammers are flooding inboxes with fake tracking alerts that mimic real carriers, exploiting the holiday rush to steal logins and personal data.

The Fox News AI Newsletter brings you the latest news on AI technology advancements and the challenges and opportunities AI presents now and for the future.

Texas family reunites with missing 11-year-old cat Grayson after 103 days using Petco Love Lost's AI photo matching technology and community help.

Tired of AI customer service loops? These insider tricks help you escape "frustration AI" and get real human help when you need it most for urgent issues.

Unlock richer audio from your streaming apps with simple tweaks to volume normalization, equalizer settings, and quality preferences for cleaner sound.

Scammers are sending fake Facebook settlement payout emails that mimic legitimate notices from the privacy settlement administrator to deceive users.

Holiday shopping scams surge as fake refund emails target distracted consumers during Black Friday and holiday seasons, costing Americans billions annually.