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From: "Marin David Condic" <marin.condic.auntie.spam@pacemicro.com>
Subject: Re: ADCL
Date: Tue, 17 Jul 2001 17:41:37 -0400
Date: 2001-07-17T21:41:38+00:00	[thread overview]
Message-ID: <9j2bei$d1p$1@nh.pace.co.uk> (raw)
In-Reply-To: 3B54ACA5.9E286B04@PublicPropertySoftware.com

There are obviously issues WRT just how much an independent developer should
share in the revenue of a given product. If I build a custom one-off
software product and 10% of the code is yours, maybe that number should be
10% of the gross sale. If I build the next Great American Operating System
and 10% of the code is yours, but I'm retailing this on the order of $29.95
a box to 50,000,000 users, giving you 10% of that gross sale is simply not
going to happen. At that level, it quickly becomes more cost effective for
me to reverse-engineer anything you contributed and get you out of the loop.

For that reason, I think that there would likely be "volume discounts".
First you have to agree on how to determine the relative percentage of
contribution. From there, you can come to an agreement on percentage of
gross sales or some kind of unit cost for your contribution and discount it
for volume as seems appropriate. This isn't that different from when some
company licenses an RTOS (like VxWorks) for embedding in a commercial
eletronics product. There's a price for Quantity 1 and a different price for
Quantity 100,000.

I would think that just because you were to release something under the ADCL
doesn't mean you aren't free to renegotiate a different deal with any
individual or corporation that has an interest in it. You're saying "Unless
otherwise agreed to, you can use this software free and if you sell it you
owe me $X.XX." You can always work a deal with MassiveHard Software to
license your software for $0.0001/copy included in their product. If some
company wants to use it but doesn't like the terms, they can always contact
you and get different terms.

I don't think developers should price themselves out of business, but it
still seems to me that developers should get *some* piece of the action if
someone commercializes their work & makes money with it. It isn't that
different from book publishing - there is a lot that goes into book sales
besides the author's contribution, but the author gets a cut based on sales.
Is that somehow unfair?

MDC
--
Marin David Condic
Senior Software Engineer
Pace Micro Technology Americas    www.pacemicro.com
Enabling the digital revolution
e-Mail:    marin.condic@pacemicro.com
Web:      http://www.mcondic.com/


"Al Christians" <alc@PublicPropertySoftware.com> wrote in message
news:3B54ACA5.9E286B04@PublicPropertySoftware.com...
>
> In the market system of contemporary capitalism, factors like shelf
> space, media placement, etc, are very important factors.  Depending
> on the product, maybe much more important than programming language
> and/or developer talent.
>
> If the source code for a wonderful Ada IDE, object database, or XML
> demihetraline hyperflugenator magically appeared on your doorstep
> tomorrow morning, how far are you from a profitable business based
> on that product?  Is it easier or harder to write code or to turn
> code into a profitable business?   IIRC, last time I checked, the
> combined total profits of software companies #2 to #1000 (ranked by
> revenues) was negative.  In most companies, developers are lucky not
> to share in the profits.
>
>
> Al





  parent reply	other threads:[~2001-07-17 21:41 UTC|newest]

Thread overview: 13+ messages / expand[flat|nested]  mbox.gz  Atom feed  top
     [not found] <mailman.995392315.19704.comp.lang.ada@ada.eu.org>
2001-07-17 18:13 ` The Ada Developers Cooperative License (was Re: Marin David Condic
2001-07-18  5:19   ` Robert C. Leif, Ph.D.
2001-07-18  7:50   ` Robert Dewar
2001-07-18 10:46     ` Larry Kilgallen
2001-07-19 21:49       ` Robert Dewar
     [not found] ` <3B54ACA5.9E286B04@PublicPropertySoftware.com>
2001-07-17 21:41   ` Marin David Condic [this message]
2001-07-18  5:40     ` ADCL Robert C. Leif, Ph.D.
2001-07-18 14:57       ` ADCL Marin David Condic
2001-07-18 15:35       ` ADCL Al Christians
2001-07-18 16:12         ` ADCL Marin David Condic
2001-07-18 17:46           ` ADCL Al Christians
2001-07-19  4:04             ` ADCL Robert C. Leif, Ph.D.
2001-07-19  3:04         ` ADCL Robert C. Leif, Ph.D.
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