On the LGPL issue, I’m not a lawyer and maybe you are. You’ll see that enterprise application open source projects have gone with mostly GPL, LGPL and MPL (or derivates of MPL). We felt our license choice offers the best opportunity for our customers, our channel partners and ourselves to be successful. Could someone fork our Open Source code…yes. That’s actually a fundamental aspect of open source. That isn’t necessarily bad from Coupa’s standpoint…nor is it bad from a market standpoint. We also think that some companies will want to go with our Enterprise Edition, which will include additional innovative features, enhanced support, product updates, certifications, etc.

In the end, we believe that the Coupa solution offers the best value for customers. We’re bringing innovation to a market that hasn’t seen much lately. We know this because that’s what companies are telling us.

>>We will make our API “Open Source”. It does not make commercial sense to make “ebdex Document Exchange” “Open Source” given its a hub and spoke solution.

If I am a developer,

why would I care if your API is open source or closed source? If it is not standards based, what’s the incentive for me to make use of your API? If it’s not LGPL based, what’s the incentive for me to evaluate it? If you are going to make money ultimately through your commercial entity, why would I contribute my time and effort for your cause, unless there is some benefit for me as well?

If it is based on some standards, if my interest is to implement the standard, I will probably write the API myself. But if I want to make use of your API into my own applicatation, the moment it’s not LGPL, then I wouldn’t care a bit.

Now, if I am a end user,

why do I care if your software is open source, if it’s java or COBOL as long as it can get my work done. The reason why your company’s webserver is using Apache 1.3.26 with Frontpage 5.0.2.2510 on a Red-Hat Linux is probably not because Apache’s code is available as an open source for you to look at the code, but because it’s “free” to either your or your hosting company.

Great open source softwares linke Linux and Apache succeeded because these are applications that wets their appetite. How many college kids are interested in writing an Inventory Management or a Procurement software when there is so much cooler stuff like Flickr or MySpace type of stuff going on?

There is so much more I can keep writing on this subject. I am not saying that open source is not a good idea. Instead, I am saying that one can’t expect to automatically survive in a competitve market by just making their code open source.

I was surprised to see Coupa being offered under LGPL! Not sure what made Dave and his guys choose this license but I haven’t seen that many non-library type of solutions being offered as LGPLs. I mean, for all practical purposes nothing prevents me to repackage the entire software with my add-ons and if I some how make money, not pay a single dime to Coupa! Well, not that I have time and energy to do that :). I will wait and watch how this shapes up.

Dave, as Biju wrote, I am also very much interested in knowing how you would make money! Whether we like it or not, we all need money!