The Open Road

Read all 'artificial scarcity' posts in The Open Road
July 5, 2007 3:47 PM PDT

Artificial scarcity and open source

by Matt Asay
  • 4 comments

Luis Villa has left a placeholder for a larger discussion on artificial scarcity. He has a problem with:

creating artificial scarcity, either through the use of patents, copyrights, or trademarks, or by allowing others to use trade secret and SaaS (software as a service) tactics to take data from the commons and then "proprietarize" it (make it proprietary).

I see his point, and agree, but any business depends on artificial scarcity of some kind. Or, rather, I should say instead that successful businesses are good at creating the appearance or reality of scarcity. Why? Because otherwise, the customer will take forever to buy something, even if they want it today. Right now.

This is actually one of the weaknesses of an open-source business model. ... Read more

  • prev
  • 1
  • next
advertisement

15 sites that went kaput in 2009

Web sites launch all the time, but they also shut their doors. We highlight 15 that bit the dust this year.

Top 10 news stories of the decade

Let the debate begin: Was the iPhone more important than iTunes? Was anything bigger than Google finding a great business model? CNET offers its list of the 10 most important stories of the '00s.

About The Open Road

Matt Asay brings a decade of in-the-trenches open-source business and legal experience to the Open Road, with an emphasis on emerging open-source business strategies and opportunities. Matt is general manager of the Americas division and vice president of business development at Alfresco, a company that develops open-source software for content management. He is a member of the CNET Blog Network and is not an employee of CNET. Disclosure.

Add this feed to your online news reader

The Open Road topics

Most Discussed



advertisement

Inside CNET News

Scroll Left Scroll Right