Open source software as a customer capture tool

Posted on in Categories Make money with Linux last updated July 25, 2006

Have you ever wondered how an open source software vendor makes money? Matt McAlister has posted information on how open source software vendor making money with open source software. He is comparing SugarCRM and Salesforce.com CRM software.

FTA, “…They’ve done a really clever thing which is to build a revenue model around the added services rather than try to charge for the core software…” Read more at his blog…

RedHat, MySQL and others, follows same type of revenue model to make money. You can download and install open source software free. Now vendor will charge for following services:

  • Tech support
  • Installation service and support
  • Paid or hosted solution
  • Priority software updates and bug fix
  • Software customization
  • Education (training) etc

Posted by: Vivek Gite

The author is the creator of nixCraft and a seasoned sysadmin and a trainer for the Linux operating system/Unix shell scripting. He has worked with global clients and in various industries, including IT, education, defense and space research, and the nonprofit sector. Follow him on Twitter, Facebook, Google+.

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