Difference between revisions of "Open Source ROI Model"
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** downloading costs = cost to train inexperienced engineers in downloading plus cost to download | ** downloading costs = cost to train inexperienced engineers in downloading plus cost to download | ||
** Integration cost = finding cost plus conflict resolution cost plus adaptation cost plus quality assurance cost | ** Integration cost = finding cost plus conflict resolution cost plus adaptation cost plus quality assurance cost | ||
+ | *** Integration cost also includes integration with 3rd-party software (not modeled yet, above is integration of non-mainlined patches) | ||
** Finding cost = cost to train inexperienced engineers in finding plus search time plus downloading cost plus evaluation cost | ** Finding cost = cost to train inexperienced engineers in finding plus search time plus downloading cost plus evaluation cost | ||
** conflict resolution cost = cost to resolve patch conflicts | ** conflict resolution cost = cost to resolve patch conflicts | ||
*** Conflict resolution depends on patch series breadth (patch locality), and magnitude of version gap (among other things) | *** Conflict resolution depends on patch series breadth (patch locality), and magnitude of version gap (among other things) | ||
+ | ** Adaptation cost = engineering cost to adapt existing code to current situation | ||
+ | *** Adaptation may involve re-writing existing code, or developing new code (drivers) where they don't exist | ||
+ | *** Adaptation is the programming companies have to do to fill in the gaps left by open source code | ||
+ | *** Adaptation costs increase as hardware is customized, and decrease as commodity hardware is used | ||
+ | *** Adaptation costs likely decrease when older hardware is used (due to software "showing up" for hardware over time) | ||
== Effect of mainlining code == | == Effect of mainlining code == |
Revision as of 10:59, 31 May 2007
Here are some loose thoughts on Open Source contribution Return On Investment (ROI):
I once created a game called TuxBucks which tried to model the dynamics of open source ROI.
Below is a list of some factors affecting open source ROI, which I think would be good to model. I have no idea, for most of these, how to come up with realistic values for these factors.
Contents
Overview
- Total return from open source = amount of code that is relevant to your product, minus acquisition and integration cost, minus participation cost
- Let RP = amount of code relevant to your product
- Let AC = acquisition cost
- Let IC = integration cost
- Let PC = participation cost
- the formula becomes ROI = RP - AC - IC - PC
- Acquisition cost = license fees plus subscription fees plus downloading costs
- downloading costs = cost to train inexperienced engineers in downloading plus cost to download
- Integration cost = finding cost plus conflict resolution cost plus adaptation cost plus quality assurance cost
- Integration cost also includes integration with 3rd-party software (not modeled yet, above is integration of non-mainlined patches)
- Finding cost = cost to train inexperienced engineers in finding plus search time plus downloading cost plus evaluation cost
- conflict resolution cost = cost to resolve patch conflicts
- Conflict resolution depends on patch series breadth (patch locality), and magnitude of version gap (among other things)
- Adaptation cost = engineering cost to adapt existing code to current situation
- Adaptation may involve re-writing existing code, or developing new code (drivers) where they don't exist
- Adaptation is the programming companies have to do to fill in the gaps left by open source code
- Adaptation costs increase as hardware is customized, and decrease as commodity hardware is used
- Adaptation costs likely decrease when older hardware is used (due to software "showing up" for hardware over time)
Effect of mainlining code
- what costs go up in order to mainline code?
- cost to generalize code (very hard to gauge?)
- cost to convert code to submission standards
- cost to forward-port code to the latest project version
- may be unavoidable if your code is dependent on other items (especially board support or architecture code)
- could factor in cost to forward-port the board support or architecture code
- what costs go down as a result of mainlined code?
Effect of not being current with your source code version
- What is effect of not being current?
- raises mainlining cost (see mainlining code costs)
Effect of experience with open source
- What are switching costs for developers entering open source work?
- How expensive is it to learn diff+patches or git, for example?
- What is the magnitude of the learning curve for participating?
- Does the learning curve increase over time (I believe it does, as complexity of code bases grow)
- Can this be measured by examining
Dynamics of network effects
- What number of contributors is needed before open source becomes useful?
- number of contributors affects amount of contributions
- skill of contributors affects value of contributions
- amount and value of contributions affects the total code base size
- total code base value affects likelihood of code relevance to product (really?)
- Can this be modeled, realistically?
Dynamics of participation costs
- as participation increasing, training cost go down
- finding cost is reduced
- mainlinging cost is reduced
- integration cost is reduced??