Recently, Consona acquired Compiere. Is this a failure of Open Source business model

GoAhead Software Moves to Open Source Business Model. GoAhead® Software today announces that it is shifting its business model and technology strategy from its proprietary SAFfire product to an open source software model. Simultaneous with the move to open source, GoAhead is announcing the acquisition of Avantellis from Emerson Network Power.

Open source has long been an important development methodology. The biggest surprise of 2009, however, was just how quickly it took center stage as a business strategy in the larger software economy.

Microsoft must really love open source and want to see it succeed. Recently, Microsoft's open-source team lead, Sam Ramji, urged open-source vendors not to compete with Microsoft on price, but instead focus on "value."

The question of whether business can co-exist with free and open source software (FOSS) was settled long ago. It can, and not only successful companies like Red Hat but also the willingness of venture capitalists to fund FOSS business models proves the case.

OpenITWorks CEO Michael Grove contends that it is a mistake to think of commercial open source as its own business model. Instead, open source is one of many possible means to an end of making a single software business model successful -- that of selling value to customers through software. Businesses should focus their strategic planning on how to best monetize their value propositions, through open source or something else.

Gartner declared open-source software the biggest disruptor the software industry has ever seen and postulated it will eventually result in cheaper software and new business models.

"The Open Business Foundation (OBF) operates on two premises: that the open source development community makes good business sense, and that small businesses can be more successful if they band together with each other to share resources of all kinds."