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yeah what you're describing is almost a textbook example of enterprise services/consulting that companies like Oracle/IBM/HP have been doing for decades. and w
by capkutay 8y ago
yeah what you're describing is almost a textbook example of enterprise services/consulting that companies like Oracle/IBM/HP have been doing for decades.
and what you're describing was also debunked as a scalable core business model by many companies...
https://a16z.com/2014/02/14/why-there-will-never-be-another-redhat-the-economics-of-open-source/ https://a16z.com/2014/02/14/why-there-will-never-be-another-...
- yesimahuman 8y agoActually our particular model is more like the OSS as a service he gets to at the end, but it’s unique to us and so my original comment was more broad strokes. A lot of the software our customers pay us for is _not_ open source but fits in with the open source in a really natural way (and we’re on the frontend/mobile). We also don’t see support standalone, you only get it in tandem with the software subscription. “Support” is a loaded term. Every B2B company has to have a team able to support their biggest customers and you’d be dumb to not charge extra for it. I don’t think the shape of our support is that much heavier than any B2B SaaS company today and our high gross margins just on support further prove that (but it’s not our core business). So far the model is scaling. Can it scale to be another public OSS success like red hat or mongo? We’d like to think so but we’ve got a long ways to go still on that.