this post was submitted on 18 Mar 2025
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The Value of Open Source Software (www.hbs.edu)
submitted 3 days ago by misk@sopuli.xyz to c/opensource@programming.dev
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via: https://infosec.exchange/@juanan/114183068696835294

Researchers at Harvard Business School and University of Toronto used unique data to quantify the value of open source.

Takeways:

  • Supply-side (cost to recreate) is ~$4.15B, but demand-side (value to firms) is $8.8T. Shows massive cost savings & productivity boost from OSS.
  • If OSS didn't exist, firms would need to spend an estimated 3.5 times more on software than they currently do. OSS provides a massive, often invisible, productivity boost.
  • A tiny fraction of OSS developers create the vast majority of value. Only 5% of developers are responsible for over 96% of the demand-side value
  • Firms should not just "free ride" on OSS but actively contribute to the ecosystem, as this is far cheaper than recreating the software themselves.
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[–] TootSweet@lemmy.world 7 points 3 days ago (1 children)

That's a little bit like trying to "quantify" the value of laughter or beautiful sunsets or a human life.

[–] misk@sopuli.xyz 5 points 3 days ago

But if you won’t quantify value of laughter then how will you know how much to charge for it?

a very sad /s