[HN Gopher] Companies should probably pay $2k per person for ope...
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       Companies should probably pay $2k per person for open source (2017)
        
       Author : mattbk1
       Score  : 104 points
       Date   : 2021-09-29 13:57 UTC (9 hours ago)
        
 (HTM) web link (gratipay.news)
 (TXT) w3m dump (gratipay.news)
        
       | dystopiabreaker wrote:
       | We should not be building our infrastructure to rely on the
       | incidental beneficence of the oligarchy. We should build tools
       | for decentralized permissionless economic coordination. Quadratic
       | funding as used in Gitcoin and others is promising.
        
         | interactivecode wrote:
         | I have no clue what half of these words mean. But why would any
         | type of block chain coin be better than regular subscriptions
         | or licensing?
         | 
         | Note: Im purposely ignoring the pyramid scheme like effects
         | from rising currency values.
        
       | gibba999 wrote:
       | * Well, the links on the front page point somewhere random -- to
       | a clipart site.
       | 
       | * There's nothing about who is doing this or why.
       | 
       | * There's no way to actually pay that I could find.
       | 
       | * There's no information about overhead, or if the GratiPay is
       | pocketing the money.
       | 
       | It's just a half-baked half-finished web page. I think a good
       | not-for-profit here might be helpful? But I'm not sure how to
       | structure it so that it is. I don't see why a business would
       | actually want to pay. Most managers believe they have a fiduciary
       | duty to maximize shareholder value. This doesn't help.
       | 
       | And the money raised? I'm not sure a serious analysis has been
       | done by anyone. As an open source author, I'm not inclined to
       | even deposit a $0.32 royalty check.
        
         | dhosek wrote:
         | If you look closely you'll see that the banner on the linked
         | site says:
         | 
         | "Gratipay: A pioneer in open source stability nee gittip
         | 2012-2017 RIP"
         | 
         | Apparently, after five years of trying to make a business of
         | it, he gave up.
         | 
         | The article, by the way is from 2017. Perhaps a mod should add
         | that to the link title.
        
       | sam0x17 wrote:
       | This is very true and based on well-researched, well-founded
       | premises.
       | 
       | At Arist (YC S20) we donate $1k/month to the main open source
       | project we make use of (Ruby on Jets). This has been a major
       | productivity boost for us as issues critical to our business are
       | fixed quickly. Definitely recommend it!
        
       | whit537 wrote:
       | I guess that would be $2,232.11/yr/eng in today's dollars. :D
        
       | bob229 wrote:
       | Lol good luck with that companies are greed freeloaders
        
       | whichdan wrote:
       | I wish more open source projects had an "enterprise" plan with a
       | few inconsequential features and maybe priority support - just
       | enough to justify a line item on a tech org's budget.
        
         | GordonS wrote:
         | Ah, I wish it were so simple!
         | 
         | One of the reasons why devs at enterprise scale companies like
         | OSS so much (except GPL, obviously) is because trying to
         | purchase anything is a _nightmare_.
         | 
         | If you've worked at such an org, you know exactly what I mean,
         | otherwise you might even find it difficult to believe.
         | Purchasing anything can take several _months_ , with _hundreds_
         | of manhours wasted on call, meetings, legal review, approvals
         | from random people etc. And if you 're the one that initiated
         | it, you'll be the poor sod that has to keep pushing that
         | boulder up the hill all the time, otherwise it just stalls
         | forever. It's honestly should destroying.
        
           | AtlasBarfed wrote:
           | I have general complaints about modern "business schools"
           | still not properly teaching (assuming they exist to ACTUALLY
           | train business people and aren't just fancy badges)
           | information technology in a world where your business is your
           | software.
           | 
           | Businesses teach accounting and finance, very numbers-
           | oriented subjects, as a minimum, so this is not entirely
           | outside of the wheelhouse of business schools.
           | 
           | And yet this near-universal problem of software procurement
           | continues across enterprises, a problem traced basically to
           | equally universal teachings on cost control policies and
           | other nuts and bolts that come out of explicit teachings of
           | b-schools and the general literature of running businesses.
           | 
           | Since I posted a wandering treatise on american
           | antiintellectualism and the fundamental lack of cool of the
           | "nerd", and how b-schools want to appear as cool, cutting
           | edge producers of captains of industry (that adopt learning
           | nerdy accounting as a necessary hurdle to get as much money
           | as possible), I doubt they will properly pivot anytime soon.
        
         | foo92691 wrote:
         | How do you provide these pay-only features on an open source
         | project?
         | 
         | And who is doing the support?
         | 
         | It sounds like you are envisioning something like Red Hat.
        
           | whichdan wrote:
           | I was thinking more like Sidekiq -
           | https://sidekiq.org/products/enterprise.html
        
         | infogulch wrote:
         | The problem with this is that a single enterprise customer may
         | not pay enough to support: 1. an individual dedicated to
         | provide that priority support, and 2. the overhead of managing
         | two independent releases with different feature sets.
        
         | Fiahil wrote:
         | Just drop the features, priority support with SLA are really
         | what they are looking for on critical pieces.
         | 
         | Note that you can have a one week (or more) lead time for
         | support requests: the timing doesn't matter, you only need a
         | maximum window so they can share visibility and socialize
         | issues like this: "ticket opened with vendor, next update in
         | one week".
        
       | axegon_ wrote:
       | Overall this is a good idea but with too many options to turn
       | ugly fast. You need to carefully examine the situation: For
       | instance at an old job my contract contained the following
       | sentence: "all intellectual property and code, developed during
       | or outside working hours, regardless of it's nature or purpose
       | belongs to {COMPANY_NAME}". Somehow if my employer pays me extra
       | for working on personal(albeit open source) projects will make me
       | incredibly suspicious.
        
         | 908B64B197 wrote:
         | That's just flat out unenforceable in California.
        
           | maccard wrote:
           | And yet it's still in a contract. Just because it's
           | unenforcable doesn't mean you're not going to have a shit
           | time dragging your employer to court over it.
        
             | 908B64B197 wrote:
             | Just strike it out and get it removed.
        
               | maccard wrote:
               | And what happens if your employer says "no sorry that's
               | our standard contract"?
        
               | axegon_ wrote:
               | That's what happened in my case. I signed it regardless
               | because the law in my country makes this worth as much as
               | the paper it's written on but you know... Your options
               | are either to roll with it or move on to the next job.
        
               | 908B64B197 wrote:
               | That's a red flag.
               | 
               | Hope the option package is worth it.
        
         | vlunkr wrote:
         | That's a good point, and also, what a horrendous thing to have
         | in your contract. I wonder if it's even legal for them to claim
         | ownership of unrelated code done outside work hours.
        
           | throwdecro wrote:
           | I actually check the laws in a US State before moving there
           | just to make sure it this type of intellectual property grab
           | is not allowed. By rights any jurisdiction that allows this
           | should have zero people producing intellectual property, but
           | there's so much friction in moving elsewhere for most people
           | that companies can push it and get away with it.
        
           | matheusmoreira wrote:
           | It's not just code either, it's all intellectual property.
           | Can't write a book without the company owning it.
        
       | xupybd wrote:
       | Really the best way to go about this is a mixed license. If you
       | want commercial users to pay then require them to pay.
        
       | [deleted]
        
       | kderbyma wrote:
       | I may be alone, but I believe that open source should be wholly
       | free except for the contribution of returning and modifications
       | to the public domain.
       | 
       | The reality is, if these tools are so worth it, the company will
       | support them in house as needed, but the idea that community
       | needs to pay for software suddenly because some people want to
       | work on it full time is a bit odd.
        
       | kiba wrote:
       | PSA: Gratispay is dead. RIP.
        
         | axiosgunnar wrote:
         | What happened?
        
           | mtmail wrote:
           | https://gratipay.news/the-end-cbfba8f50981 "Gratipay is
           | shutting down at the end of the year" "However, funding open
           | source is almost entirely about marketing, and we spent most
           | of the past year writing code instead."
           | 
           | https://liberapay.com/ a different team/company took over the
           | assets.
        
       | ItsMonkk wrote:
       | This is a positive externality problem. A public goods problem.
       | There is no incentive for each company to pay into a pile if
       | another company doing so for them would get the same results.
       | 
       | The only way this will ever get resolved is if companies
       | collectively join together and decide to pay. Like say, we could
       | have a tax, that they pay the country they operate in, and that
       | tax could then subsidize these free open source projects that
       | produce positive externalities.
        
       | uncomputation wrote:
       | I think this is good will for sure, and 2k is a rounding error to
       | the cost of most enterprise software, but the real problem with
       | (most) FOSS is the lack of clear structure or organization in
       | terms of payment. Not only who gets paid, but also how much to
       | pay, how to quantity roles and work, spending if necessary, etc.
       | That's the real problem/opportunity for someone like Gratipay.
        
         | whit537 wrote:
         | > 2k is a rounding error to the cost of most enterprise
         | software
         | 
         | 2k _per engineer_ ... that 's more than a rounding error. It'd
         | be interesting to compare to per-seat licensing for commercial
         | software. Anyone have examples?
        
           | dnautics wrote:
           | It's not far off for a developer in the US. You figure they
           | make somewhere from 80-150k in the median, X2 all-in cost as
           | a rule of thumb for employment in the US, so 2k/dev is ~1% or
           | "rounding error"
        
             | whit537 wrote:
             | Sure, but I'm saying compare it to something like Oracle
             | (what other commercial software is still out there? I don't
             | know). What does a company pay annually for Oracle
             | (expressed per engineer for comparison)?
        
               | whit537 wrote:
               | Okay this is really complicated. D:
               | 
               | https://wintelguy.com/oracle-db-licensing-calc.pl
               | 
               | https://www.orskl.com/what-is-the-cost-of-oracle-
               | database-li...
        
               | whit537 wrote:
               | Soooooo I realized that commercial software is no longer
               | onpremise (Oracle) but SaaS. :D
               | 
               | Anecdotally, $2,000 per user per year would be a really
               | expensive SaaS app (right?). Not exactly apples to apples
               | but so far I think $2,000/user/yr is a good ballpark for
               | open source value. Note also that the blog post indicates
               | a 50% markdown in labor value because companies pay a tax
               | to direct employee time, so people should expect to get
               | paid less when working self-determinedly on open source.
        
             | coolspot wrote:
             | Can you please elaborate what are "X2 all-in cost" for a
             | $150k software engineer?
             | 
             | I can imagine it would include things like an office space,
             | snacks, yoga classes, etc. I don't think it is anywhere
             | close to additional $150k, maybe $10-20k.
        
               | littlestymaar wrote:
               | Your software engineer, have a manager, was hired by the
               | Human Resource department based on a contract written by
               | the legal team. Your company also most likely has sales
               | persons, marketing, project management and a product
               | development team. Then you have office cost, health
               | insurance plans, etc.
        
               | tester756 wrote:
               | it's amortized between all devs.
        
               | mmiyer wrote:
               | Health insurance and other benefits add up.
        
               | [deleted]
        
         | sam0x17 wrote:
         | Worst case scenario, I guarantee you if you open an issue on a
         | repo (especially a small / one-person repo) saying you want to
         | donate $1k/yr, or some non-trivial amount, you'll get a
         | meaningful response.
         | 
         | True though that for larger projects there can be a lack of
         | ownership problem. The conversation could become "hey we'd like
         | to lend you our legal resources to help you set up a foundation
         | for this project, and then we'd like to donate $X/month to the
         | foundation going forward." When it comes down to it, if a
         | project is able to cut releases, there is some sort of
         | structure in there that is working, just have to figure it out.
        
           | uncomputation wrote:
           | Right, this is the most common model I've seen: forming a
           | foundation and companies contribute via that foundation,
           | either workers/staff/people or money.
        
         | aordano wrote:
         | I think a possible solution may be paying not in terms of
         | money.
         | 
         | For a free and open source project, the ultimate goal IMO is
         | growth and usability, to fulfill the reason why the software
         | itself exists, and that can be done by donating that money in
         | the shape of a hiring dedicated to work on the software. Some
         | companies already do this, and i don't see why the practice
         | couldn't be more established as a way to ensure a quid pro quo
         | with the community.
        
           | GordonS wrote:
           | I have a few small-time OSS projects, the most popular only
           | has ~50 stars on GitHub.
           | 
           | A couple of years back, someone asked if they could donate
           | $250 to me - that was the first (and until now, only) time
           | anyone did such a thing. I was really happy about it - not so
           | much about the money, but more the fact they liked the
           | project so much they were _willing_ to hand over money.
           | 
           | Anyway, I asked if they could donate it to a charity instead,
           | and I suggested a few that have personal meaning. They were
           | quite happy with that, and actually donated $500 instead :)
        
           | pessimizer wrote:
           | That would only work for the largest companies hiring for the
           | largest FOSS projects, without some sort of independent
           | administration.
        
             | jimmaswell wrote:
             | Hiring a full time dev just for FOSS submissions probably
             | isn't justifiable to most employers, but diverting just a
             | little employee time seems reasonable, especially if it's
             | directed at bugs/feature improvements impacting the devs'
             | use of the thing.
        
               | pessimizer wrote:
               | Instead of a little time from a lot of employees (which
               | might be as much a burden for the project as a blessing),
               | it might be better for many companies to pay into a pot
               | that provides someone's salary, while one of the
               | companies donates the desk. This is what I meant by
               | administration.
        
               | xboxnolifes wrote:
               | An issue with that is that even if you use a FOSS
               | solution, your devs might not have the domain experience
               | to contribute. Of if they could, it may be pretty
               | inefficient to or take a while to get up to speed to get
               | any meaningful contributions in.
        
         | [deleted]
        
         | malwarebytess wrote:
         | There's several 100+ million dollar businesses where I live
         | that make their money on phone support/installation/deployment
         | of open source software they maintain. Nobody pays for the
         | software, but they'll pay out the nose on a yearly basis for
         | support.
        
           | curryst wrote:
           | That creates a perverse incentive where you want your open
           | source stuff to be hard to use so people have to pay you.
           | 
           | Plus there's no guarantee that the developers will be the
           | ones making money. There's a lot of ire at Amazon because of
           | that.
        
             | dudus wrote:
             | Or even worse, it creates an incentive for the big cloud
             | conglomerates to offer that software as a managed service
             | and pocket the revenue.
        
         | inter_netuser wrote:
         | perhaps this is something DAOs can fix.
        
           | uncomputation wrote:
           | Could you elaborate? My understanding of what you're saying
           | is the organization will be specified in code, whether that
           | be compensation via commits or transactions or what have you,
           | and then companies pay into this DAO contract?
        
             | inter_netuser wrote:
             | essentially it could license the open source for commercial
             | use transparently and automatically, when you pull the
             | library/package.
             | 
             | zero negotiations, zero lawyers, just a commandline one-
             | liner or something.
             | 
             | micropayments for package management.
        
       | ginko wrote:
       | Sure, but WHO are you supposed to pay those $2k to?
        
         | dr-detroit wrote:
         | Half wits sudo-apt-getting donated code only to turn around and
         | insist that they don't need to implement any code
         | appropriately. You owe them new features. And more And more.
         | Until they break your mind body and/or soul.
        
         | phkahler wrote:
         | I'm sure there will be several people and organizations willing
         | to step in and be a clearinghouse / middleman to "make it
         | easy".
        
         | whit537 wrote:
         | I like deps.
         | 
         | https://raw.githack.com/getsentry/deps/fy2022/fundable.html
        
         | reginold wrote:
         | I can make something up, but would love to see a guide to how
         | to donate broadly to open source. Apache, GNU, Ubuntu,
         | libinput?
         | 
         | I've been doing this myself with a combo of one-off donations
         | (Ubuntu, Pop OS, libinput) plus experimenting with Github
         | Sponsors on one project.
         | 
         | Here's an example from TripleByte of their employee-directed
         | donations: https://triplebyte.com/open-source-donations
        
           | smoldesu wrote:
           | https://my.fsf.org/donate
        
       | prepend wrote:
       | Cool, that's easy. So each company should donate 200 hours of
       | work to open source projects.
       | 
       | Encouraging more volunteer time is better than trying to collect
       | and allocate cash. And better improved OSS. I think.
        
         | zamadatix wrote:
         | > Cool, that's easy. So each company should donate 200 hours of
         | work to open source projects.
         | 
         | The article proposes that per person not per company.
         | 
         | > Encouraging more volunteer time is better than trying to
         | collect and allocate cash. And better improved OSS. I think.
         | 
         | Depends on the size of the company and the number of projects
         | you want to support. A bunch of low level commits across a
         | bunch of projects by 100 companies would leave things off a lot
         | worse (due to the maintenance burden vs improvement amount
         | provided) than a bunch of donations from 100 companies to get a
         | dedicated resource dedicated to each project year round.
        
         | david_allison wrote:
         | This adds to maintainer burnout.
         | 
         | During heavy periods this year I had ~20-30 code reviews per
         | day.
         | 
         | There's a balance between money and contributions. You can't
         | just throw bodies at a problem and say it's better than any
         | alternatives.
        
         | decebalus1 wrote:
         | I disagree with that. Maintaining OSS projects is not easy. And
         | it does not get easier when you have a plethora of people
         | trying to contribute for the sake of contributing. Money is
         | better IMO. It would serve as an actual payout for people who
         | are actually working on the OSS project.
        
       | 908B64B197 wrote:
       | Some businesses are incredibly dependent on open source
       | components that can stop being maintained at any time.
       | 
       | Having in-house contributors spend company time on these
       | dependencies alleviates the issue.
        
       | tyingq wrote:
       | I can't tell what "Person" in the headline maps to. Like, for a
       | non-tech company, is that every employee, every employee in the
       | IT org, or every developer in the IT org?
        
         | whit537 wrote:
         | IC engineer. That's the brightest line for comparison across
         | companies (dim though it may be), as well as the primary role
         | whose productivity is materially multiplied due to open source
         | (i.e., imagine if the engineer had to build everything they get
         | from open source).
        
           | whit537 wrote:
           | So yeah for a non-tech company it'd be something like "every
           | developer in the IT org."
        
       | dirtyoldmick wrote:
       | Companies like money too much and won't pay for something they
       | already get for free. Ye of too much faith.
        
       | bronlund wrote:
       | Yeah, reminds me of this letter:
       | https://en.wikipedia.org/wiki/File:Bill_Gates_Letter_to_Hobb...
       | 
       | We all know how that went :D
        
       | saulhoward wrote:
       | I've often thought companies should provide say $500/month for
       | each of their developers to pay out to the open source projects
       | of their choice. One month an employee might give it to Vim,
       | another to Curl. I think a discretionary scheme like that would
       | buy a lot of good will from the employees, potential hires and
       | the development community.
        
         | pessimizer wrote:
         | I've always thought that governments should do this to fund the
         | arts in general, and political campaigns. Some of your taxes
         | directed to the recipients of your choice. In the case of the
         | arts, it would of course be a floor, but in the case of
         | political contributions, it could be a ceiling.
        
         | david_allison wrote:
         | Google does this (each employee can nominate 3 people for $250
         | each per round of funding. Recipients are limited to $500/year
         | due to tax) [0]
         | 
         | [0] https://opensource.google/docs/growing/peer-bonus/
        
           | tpoacher wrote:
           | I initially read that as "Beer Bonus Program"
        
         | bcherry wrote:
         | I think this is a good proposal and have also been interested
         | in an expanded version of this where the company donates $X to
         | _any_ profit cause, but directed by the employees. This way you
         | can pay Vim one month and the NAACP or the ACLU the next month.
         | 
         | An easier way to scale this might be to just have a set amount
         | (say $10k/month for a large company) and a recurring ranked-
         | choice poll open to all employees. The funds would be allocated
         | according to the poll, with the winner getting say $5k and the
         | two runner ups getting $3k and $2k or something like that.
         | 
         | This way employees don't have to do the work of submitting
         | donations and filing expenses, as there's just one person at
         | the company who administrates it a few days a month.
        
         | 5faulker wrote:
         | Ultimately it boils down to the difference between traditional
         | business model and the non-profit model.
        
           | _wldu wrote:
           | Non-profits take in money too (just like for profit
           | companies). The only big difference is they do not profit
           | (money over and above expenses). Employees at non-profits are
           | still paid, receive benefits, etc.
        
       | Gormisdomai wrote:
       | > At Gratipay, we believe that companies want to pay for open
       | source, and will pay for open source if it's easy enough--
       | bureaucratically, technically, and socially.
       | 
       | I think this is the right insight, but clicking around the links
       | on their website I don't think they were executing on that
       | insight particularly well. This looks more like it was a platform
       | for individuals to make recurring donations than for companies to
       | support the tools they use.
        
         | whit537 wrote:
         | > I don't think they were executing on that insight
         | particularly well.
         | 
         | Probably why they don't exist anymore.
        
         | mattbk1 wrote:
         | There was a lot of pivoting going on near the end,
         | unfortunately. The "companies pay" version of the site wasn't
         | around for very long.
        
           | whit537 wrote:
           | Thrashing, one might even call it. :)
        
             | mattbk1 wrote:
             | Glad to see you're still around!
        
               | whit537 wrote:
               | <3
               | 
               | Funny timing, btw. :)
               | 
               | https://twitter.com/chadwhitacre_/status/1431368348886052
               | 865
        
       | dpitkin wrote:
       | Another attempt at this business model post-Gratipay is Tidelift
       | https://tidelift.com/
        
       | ortusdux wrote:
       | Github has a sponsorship program for open source developers.
       | 
       | https://github.com/sponsors
        
         | mattbk1 wrote:
         | It also includes the ability to sponsor through Liberapay, the
         | remaining Gratipay fork.
        
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       (page generated 2021-09-29 23:03 UTC)