What is Open-Source Licensing?
Open-source licenses define the terms under which software can be used, modified, and distributed.
Open-source licenses define the terms under which software can be used, modified, and distributed. Choosing the right license is a critical business decision that affects commercialization potential, community adoption, and legal liability.
License types: Permissive (MIT, Apache 2.0, BSD — allow commercial use with minimal restrictions), Weak copyleft (LGPL, MPL — modifications to the library must be shared, but applications using the library don't), Strong copyleft (GPL — derivative works must use the same license), and Network copyleft (AGPL — even network-accessed applications must share source).
For companies building on open source: prefer MIT/Apache 2.0 dependencies (safest). Audit for GPL/AGPL contamination. For companies open-sourcing: MIT for maximum adoption, Apache 2.0 for patent protection, AGPL for "open-core" monetization (community edition AGPL, commercial edition proprietary).
Why It Matters
OSS license choice determines whether your project attracts contributors (permissive), protects against proprietary forks (copyleft), or enables commercial monetization (AGPL + commercial license dual-licensing).
Frequently Asked Questions
Which open-source license should I choose?
MIT for maximum adoption (any use allowed). Apache 2.0 for adoption with patent protection. AGPL for open-core businesses (forces competitors to open-source or buy your commercial license).
Can I use GPL code in my commercial product?
GPL requires derivative works to also be GPL. If your product links to GPL code, your product may need to be GPL (consult a lawyer). For SaaS: AGPL extends this to network access. Avoid GPL in commercial products unless you're prepared to open-source.
Related Terms
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