Six ways to monetize open source: 'being popular' isn't a business model
rseroter · x · 2026-09-21
Ben Williams argues that "being popular" is not a business model for open source software: open source lets people use your product without paying, so you must clearly answer what becomes worth paying for once they do. He outlines six models and who each fits:
- Open core – individual adopts, the org pays to govern (GitLab, Grafana, Metabase)
- Managed cloud – you're on call
- Support & services – selling expertise and an SLA
- Commercial licensing – different terms for specific use cases
- Sponsorship – funding work everyone benefits from
- Companion products – selling a second thing to fans of the first
Companies often run two or three of these at once, but the model must explain why paying makes sense regardless of adoption.
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