Funding, Focus, and What's Next? #17977
Replies: 60 comments 198 replies
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Sharing my two cents here.. I am also a user of https://www.odoo.com/ which is an open source product too. What odoo team is offering are :
Running an open source project is beyond my experience, but I'm willing to pay to get services if Directus plays a great role in the projects of my company. I think Directus will. |
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Just throwing in some of my thoughts... When I first started using Directus I was so impressed with the features and how easy it was to build my backend. A key thing for me (and I'm sure a lot of others) was the fact that it was open source and I'm able to extend upon it and have access to my raw data/db whenever I needed. Compared to other Backend as a Service companies where you have less control and you aren't able to export your data easily (8base, Hygraph etc) If I'm being honest, I've (shamefully) never donated toward an open source project. Not because I don't appreciate the software or that I don't want to contribute in any way, I just find it a bit alien because it's something I've never done before. If I were to contribute to something, it would likely be a library with a very small team (1-2 people). Not to take anything away from you guys, but if I see a company has had funding then I'm even less likely to contribute because on the surface it looks like you already have the money you need to grow. I think Directus Cloud is a great idea. People don't have to worry about the hassle of managing a server, backups etc. And they can feel like they're somewhat supporting the growth of the business by subscribing. I'm currently paying $30+ a month for basic app hosting on Digital Ocean where I would be much happier paying it to you. However, your lowest cloud hosting price is currently triple the price and we'd be unable to add our own custom extensions. I may be alone in my opinions, but you guys have done such a great job building the software that I wanted to share my thoughts to see if it could help. |
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hope you will solve this problem. great product. |
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The best way to help the ecosystem based on market data is to switch to a Business Source License (BSL 1.1) that allows developers to still get free production usage, while requiring a paid license from large companies and governments. This incentivizes contribution, while still providing free access to hobby projects and small businesses, while generating revenue to maintain the open source project. |
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Directus is becoming popular among other things because of its openness and solutions, making it a paid system will make it lose popularity. Directus cloud would be great if it didn't cost a fortune, maybe in the U.S. or other richer countries $99 is not a lot, but for countries that are developing it is 1/4 of some people's paycheck, so at the start they give up using this solution. If on a private server for $ 30 it is possible to set up a large number of instances, why not give it for $ 2-3-5? Of course, with limits or pay per use. Under small projects it can give a lot and count on the effect of scale. An idea, maybe instead of pushing this type of solution it is better to design and finish extensions makretplace and charge 10-20-30% from the sale of licenses for add-ons. This will develop the project and also allow everyone to make money. I myself would be happy to buy extensions for board view like on directus cloud so the topic can be developed. |
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Dual license trickery. I've paid for amcharts, fontawesome, and shopify themes after giving them a spin and realizing the pro features are worth it if they work as well as the free features. |
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My vote is for free personal use, and a license for commercial projects with e-mail support for a year – then a smaller charge for subsequent years to continue getting updates/support. Same licensing for extensions. Also echo some comments about cloud – I'd much rather use this than self host. But need a way to extend it and sync with local environment (all settings). Love Directus, I want to see you thrive! |
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Brainstorm a crazy idea I had. What if Directus put sale the features. Something like that: You announce, if 200 companies pay 100 dollars for feature x, it will start to be developed in the next cycle. I know that there is an option to pay for features, but what I'm proposing here is something similar to the collective purchase of a feature. I don't know the viability of this in your business model. But I wanted to leave this idea here, so that who knows, maybe it can be evolved into something that can contribute financially. |
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I'm grateful for every day Directus exists and I sincerely hope you find a satisfying solution. I feel however you can be more aggressive in asking users for funding. E.g. You could show a big friendly banner telling users (of a self-hosted admin application) that they are using free and open-source software. I'm thinking of the yearly Wikipedia funding rounds. I find them especially effective and I think they have proven to be very profitable for the Wikimedia Foundation. There is still such a small environment around Directus. I believe that's because there's a lot of agencies using Directus. It's their life-blood to sell their stuff. Which, for my part, belongs on the yet non-existent marketplace. If you would offer Directus Hosting with the same flexibility as open source and yet the same benefits as paid – we'd be your customer. Is a Docker style licensing something for Directus? Yearly revenue as a requirement for obtaining a commercial license? |
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I think there is a huge difference on how to make money between big companies and small companies / individual persons. For large companies the easiest would be to require them to pay (by license). For individuals it get's a bit more complicated but there's a lot of opportunities (and based on my experience most people are happy to pay if it saves time): Looking at cloud exclusive stuff like the kanban layout I'd be more than happy to pay for the extension. Same would be for more specific relational interfaces with predefined filters, and integrations (sync Data with xy, payment providers, ...). Another product could be starter-templates and complete (internal) apps. 1.) Starter-Templates 2.) Full Apps 3.) Third-party starters for directus
Another thing would be "verified" extensions. Those would be extensions that aren't build by core but verified to work and be secure. These could be sold in the upcoming marketplace and take a comision from every sell. For inspiration you'd just have to have a look on all the WordPress Plugins and Notion templates. |
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Maybe an option that has already been named. Next to that, maybe the marketplace can generate some revenue? |
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I really like directus and want to give some advices on how to make the project financeable and continously grow.
Hope it helped 💪 |
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I knew it was coming... was too good to be true :) My personal startup fully relies on Directus for its headless CMS part. I also work on a couple of projects at my full-time job where we use Directus (I introduced it to the company). While the company that I work for may be able to afford a paid plan (although it's a non profit org, so the funds are limited) my startup will certainly not be able to do it. I realize how much work you guys do and any good work must be compensated accordingly. For that reason I personally made small contributions in a form of PRs and a small donation, to show my appreciation. But it is very unlikely I will be able to pay for Enterprise plan for my startup to have custom extensions, which I currently have. Besides there are many use cases where you have to host your data on premises, not in the cloud. Data sovereignty rules in some of the countries where my nonprofit company operates is a good example. The ability to use the product for free for small startups, companies with a small revenue, or nonprofits sounds great. It will be interesting to see the criteria for qualifying for this. Not allowing to use the new versions for a few years on the other hand is a terrible idea on my opinion. In the era of technology when products are evolving on a literally hourly-basis, no one will want to use a few YEARS old software in production. A few years ago Directus was PHP based, who would want to use that version of Directus today except the legacy platforms that had that version installed few years ago and never migrated? Just think about it... I think a pricing model would be better if it
With all that said, my impression is that the problem with funding is not caused by your current monetization model as by marketing. There are several fully open source CMSs that make a huge profit from hosting and support. Drupal with its Acquia.com and Wordpress (wordpress.com) are great examples. In fact Aquia was the fastest growing company on East Coast a few years ago. If the pricing model was the cause of your funding problems, there would be more installations of self-hosted Directus instances than the paid subscriptions to your competitors, such as Strapi, Sanity, Contentful, and others. I don't think there is an easy way to count all active production instances of self-hosted Directus, but something tells me that number is way smaller than the number of paid subscriptions to those competitor services. And to be fair, Directus is superior to all those competitors when it comes to features and UX. So why is Directus struggling with funding? When I was looking for a headless CMS for my projects a couple of years ago, I saw all those competitors in Google search results and in various articles with reviews and comparisons, but it took me about a week of research to see the name "Directus" in of the articles. And I believe it was the only place where I saw it back then. The situation may have improved since then, but even today when someone searches for a headless CMS they would get all sorts of products in search results, but for some reason Directus is very often not one of them. So there is clearly a discoverability issue. Therefore I think the number one problem that Directus needs to solve is the discoverability and effective marketing. Being an owner of a startup myself I know very well how important this is. Once you improve your discoverability your funding will also improve IMHO. |
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Hi All,I think it's a good idea to keep Directus open source, many people put their time into this project to make it better. Still not everything works properly and it will be difficult to sell such a product. The software base you have achieved at the moment should remain under this license. Let's focus on the next features, price them and collect funds to implement them. Marketplace can be a source of income, or extended projects, for example: someone needs a system to manage a car fleet, rent apartments, or maintain tools in the company, then you offer the service of implementation and data transfer, for which a fee will be charged. |
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Just thinking out loud, and this may have been mentioned already, but what about a Jetbrains style subscription approach for roll-your-own commercial instances, with a perpetual fallback license after a certain subscription length, leaving you with access to the last major version of Directus once your subscription ends? People tend to be more accepting of the model because you know once you're subscription ends, you're still left with a product. |
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Just getting into Directus & it is a total breath of fresh air amongst a sea of mediocre paid products & far less developed open source options. My use case would be a paid SaaS offering, which is currently utilising a very restrictive paid platform. I would be totally fine with paying for Directus, most likely by way of Directus Cloud. I think it is important to retain free commercial dev & hobbyist usage, but beyond that you either have to go down the path of Directus Cloud or pay for a license/subscription to host yourself (if using for commercial use). As much as open source is amazing, you guys have put a lot of time & money into this project, so it makes sense to be able to recover costs if someone is using it for profit. Whilst there are always new products entering the market, I currently do not see any that compete on the full feature set that Directus offers in an open source capacity or even paid. |
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I really like that you‘re putting your thoughts out in the open. 👍 Have you considered the Fair-Code option, developed by Jan Oberhauser of N8N? |
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Hello. Directus is one of the coolest open source projects I've seen. I want to share my opinion about this whole situation. It seems to me that Directus should use a business model similar to that used by Vercel. they also has an open-source project that we all know called next.js. So, in my opinion, the success of Vercel lies in two things, what kind of user experience they provide, and how they push users to use their platform. Let's start with the first one, When the user sees "Create a collection" (maybe implement onboarding?) in front of him when opening the application, he understands that he now needs to learn something, do something, the whole wow effect disappears. A demo project that could previously be created in the free version of Directus cloud produced some kind of wow effect, but this could not be put into practice, so this effect quickly subsided. That is, my solution to the first point, obviously, as many have already said $129 per month, this is a lot compared to what competitors offer. I can use railway.app, get a Vercel-like experience, and host it almost for free. Directus cloud should obviously become usage based, similar to railway. The user experience should look like this: authorization with Github -> deploy template -> use in production. Three clicks and Directus solved the user's problem, and only then does the user learn about the enormous power of Directus (auto-generated API, extensions, and many more). About the second point, Vercel motivates the user to use them in a very elegant way, many features in next.js are specifically tied to platform. Yes, you can use the middleware just in the self host option, but it will not be an edge function. Yes, you can just store static assets on the simple server, but Vercel will place it on the CDN for you. Edge runtime, caching, cron jobs are just a few examples of why it's just easier to pay money to them than to host next.js yourself, although this is also very simple at first glance. If Directus Cloud makes life easier, doesn’t make users think about scaling, offers some bonuses like Vercel offers with next.js and has the ability to deploy a working and useful project in three clicks, then this will be a real success. And with such a service, it is much easier to conduct marketing, when you can easily demonstrate such a user experience, then, accordingly, it is easier to advertise it. Directus itself has long been ahead of competitors in terms of features, but the service we have now is far behind what we have on the market. Yes, I know, I mentioned Vercel here so many times, but in my opinion, these guys have done the best to build a business around an open-source project and I wish Directus the same success |
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I think your 3rd option sounds like a good one, Rijk ... makes simple economic sense to find a way to earn from those who are truly earning from implementing the software, ie enterprise users. How that is achieved is not simple I know. But as it dawns on people what an elegant and dynamic solution Directus is , for devs and for users, I feel sure huge success will come. |
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Option 3 sounds good. Option 2 is also fine, particularly if Directus continues its pattern of maintaining new features for Directus Cloud. It would have been fine for a feature like Flows to have been held in Directus Cloud for 2-3 years. Maybe that wouldn't have been possible, or maybe Flows were exclusive to Cloud for some time, but just as an example. An Extensions marketplace is desired. Totally understand the worry about its costs outstripping revenues. Since Directus is in part about democratization of data management, it would be particularly awesome to charge on API requests to a Directus Enterprise Cloud instance. The developer opens paid APIs on the Marketplace, Directus Cloud charges per request, and Directus receives a fraction of the revenues. This would create a positive feedback loop between development of Marketplace Extensions, and use of those Extensions with paid APIs. Would love this functionality for the purposes of publishing federated data models, where customers can use a Directus schema/model maintained by my company, self-host their data on Directus Cloud, and pay their fair share for transactions within the federation. Directus Cloud is then, ultimately, providing usage-based billing and data privacy to the customers of federations on your marketplace, while also collecting regular hosting fees. Super complex, but Directus is in one of the best positions to do this sort of thing. |
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Thanks again for all the invaluable insights all ❤️ The BSL option has been released under v10.0.0, so I'll close this thread 🙂🐰✨ |
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Congratulations on the step forward. I really appreciate the terms you’re offering. They seem fair to me ($5mil, 3 years to license change) and hopefully the community will agree! |
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Does this mean that Directus 9.x still uses the GPLv3 and this new license only applies with version 10.x forward? This means that interested parties can fork this old version and develop it further? Finally, I would like to thank you for the awesome product and congratulate on the good choice of license. Hopefully, this will inject some needed cash and make Directus development more sustainable. |
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@rijkvanzanten Do you plan to continue to publish security updates for Directus 9.x? |
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First and foremost, I want to express my gratitude for all the hard work you and the team have put into Directus so far. It is undeniable that the open-source licensing has played a significant role in reaching such a broad audience, and the collaborative spirit of the community has truly elevated the project. It is entirely understandable that, in order to maintain and grow a project of this scale, it must be financially sustainable. The need to adopt a different licensing strategy is both reasonable and, perhaps, inevitable. Your transparency in sharing the challenges you face and the options you've considered is greatly appreciated. The re-licensing approach after three years is an interesting solution. However, I would like to point out that such a lengthy period may potentially disengage open-source advocates who value unrestricted access to the software. This aspect might be worth reconsidering to strike the right balance between financial sustainability and maintaining the open-source spirit. Lastly, I believe that continuing to provide support and development for patches in version 9.X, addressing bugs and security issues, would be highly beneficial for the entire community. This would not only maintain the trust and support of existing users but also demonstrate your commitment to the project and its open-source roots. Once again, thank you for your dedication and for keeping the community informed about these critical decisions. Wishing you the best of luck in finding the right path forward for Directus. |
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As someone who has done many different software and platform trade studies for the companies I work(ed) for (requirements, use cases, etc.), here are my two cents (as of now, price may change due to inflation). First, let me say that your software is awesome! As someone who puts a heavy weight on user experience and learning curves, you guys did a terrific job. The money problem is an understandable one and is definitely one that needs to be solved early to minimize impacts (after all, people gotta eat). While you might have sponsors and individual buyers, realistically speaking, your main source of income will come from companies that want to use your tool for data management and publishing. Taking that into account, here are some points that I've learned dealing with FOSS while at the same time trying to make the legal, contracts, procurement, and security folks happy:
A lot of FOSS project make the mistake of starting to adjust their licenses to "protect" their work from large companies. That is a bad idea. The last thing I want as an engineer is to go through a trade study, select a platform, and then have legal tell me no because the license of the software is restricted (a thing I learned the hard way with licenses such as the AGPL). For example, as part of the trade study that we run, we also do controlled (usually somewhat short) pilot runs to ensure that the teams like the software and it meets their needs without causing any unforeseen issues. Directus would be automatically removed from the list of potential software because of your license. My company's revenue is higher than the $5M limit and a pilot run, even though done for analysis, runs in a production environment. Even if I can convince legal to allow us to use the 12-month version, security would never allow it (not to mention the possibility of losing out on testing new features). If you're okay with one of the "standard" FOSS licenses (GPL, Apache, MIT, etc.), just use that without any asterisks.
Your Enterprise Cloud solution has exactly the stuff that enterprises are looking for and most individual users don't really care about (SSO, extended and long term support, etc.). The only issue (at least from what I see on the website) is that none of those features are present in the self-hosted version. Some companies (such as the one I work for) cannot use cloud solutions due to different reasons (including the type of data that is being process and where it's stored). If you haven't done so already, creating an addon/module to add those features to the self-hosted version for enterprise customers would be a good idea.
Compliance is big these days. Very big. Going off the previous point, since your platform is designed to deal with data, it would be a good idea for you to start looking into the different data accreditations for the different industries out there (FedRAM, HIPPA, etc.). Since there are a LOT of accreditations out there, you should first start with looking into integrating with platforms that are already accredited (e.g. AWS GovCloud). Compliance is a deep rabbit hole that people spend entire careers in so it's not something I'd recommend a startup to do (unless you have the resources), which brings up the point about using accredited platforms. These are just a few of the items I can think about now while drinking my morning coffee in the afternoon. If you have questions or would like to discuss further, let me know :) |
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any updates on this ? |
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I’m not sure it’s easy to build amazing software.
… On Aug 17, 2023, at 1:29 PM, Nathan Doyle ***@***.***> wrote:
I have a question that will sound rhetorical, but it's not my intention and although it sounds like a simple question (and possibly a stupid, uninformed one), it's actually much deeper than that.
Why can't you go all in?
The further you move away from OSS models and its fundamental paradigm and values, the less people are going to want to contribute, in-turn the more the Directus team is going to have to take on, in-turn the more money you have to make from outside entities, in-turn the further they'll want you to move away from OSS (because you have to pay them back and they have to make their profits and fair enough.) This thread existing being case and point I think, and eventually you'll die because you can't sustain the product (okay, maybe you'll survive as is, but hear me out), because you don't have the funds to do so, because the community you could have built to take on the monumental task of making the World's Best CMS finds a new home. A home where they feel like their contributions are better served and more appreciated. A place where they feel more included and a part of something greater than themselves. A place where they can say, hey, "we're all in, and it's hard, but we're all in together".
WordPress and Drupal didn't grow the way they did because their software was the best - well, maybe at one time they were, but that only lasted for a short time. Either way, they still have some of the best communities out there, because they were all in and stayed the course no matter how difficult it was. And so the people were all in, in return and then everyone profited. Even to this day, their communities are mega-all-in (although with so many better options out there the last 10 years it's is becoming harder and harder to ignore said better options; and all the tech dept etc, but that's another topic.) Either way, people still want to be apart of the World's Best Community and they want the best CMS too, of course, but community is stronger then the best (WP case in point.) And there isn't anyone stepping up to the plate in that regard; most of you all start, but then someone flashes something shiny and you go the direction you're going now.
In my mind you guys are just another Strapi at this point. No offence (but that should sting some, regarless.) And there is nothing wrong with that, if that's what you want to be. Just be honest with yourselves about it. And be honest with us (not to imply you aren't.) But if you want to build the World's Best CMS it's going to require the World's Best Contributors and for that you'll need the World's Best Community and you can't have the World's Best Community if you yourselves aren't really all in.
You know, I could just use Payload. It's great software. But you know what, I'm not sure they are all in either. Maybe they see OSS and its contributors as cogs in a wheel and people can sense that and eventually those people aren't going to go all in either. Especially if the Mothership isn't all in themselves. With their cloud offering now, they're just another Strapi too; there are other reasons I say this aside from cloud servies, but I digress.
It's easy to build amazing software, it's easy to grow a community just enough to show a VC you're a sustainable investment. But in comparison, to build the World's Best CMS, now that's not easy at all and I don't blame you guys for not wanting to do it. But at least be honest with yourselves, because you can't have your cake and eat it too. It just doesn't work that way.
If you want to eat your cake, great, go eat your cake, no one is going to blame you for that. But if you want to save your cake for the future party, the heavenly reward, so to speak, if you really want people to go all in too and wait for the party promised and not eat their cake now, save it for a better day, then you have to wait. And sure, it sucks, it's risky, the whole thing might not work out, and like, how much more all in do you have to be, right? Is it even possible to more all in than you guys? I don't know, tbh.
But either way, at some point you're going to have to decide if you're OSS, heart mind and soul or if you're just another good piece of software and a service, along a sea of software and service.
I don't envy you guys. I sure don't have the answers. It's easy for me to spout all this stuff off like some OSS fundamentalist or something. You could even say you were all in a couple years ago and that didn't work and now we're here and I'd be like, I totally get understand that. But what can I say, what I wrote is what came to mind and for better or worse, I hope I'm wrong and I hope what I said is just hogwash. But I just don't know that it is and although I didn't even want to hit the send button here, I'm going to do it anyway. Because maybe there is something here that resonates and may you'll pull it off and truely become the World's Best CMS.
Whatever you decide and whatever happens, I wish you guys the best...
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very informative content |
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Hi, I read that Directus project has been bumped to version 10 under a BSL, this could solve the long term monetization problem, but I would like to contribute with some ideas to monetize Directus. You could combine different methods/platforms to suit the needs. Basic ideas to implement in short term:
Explore other methods/platforms:
Source: |
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Open Source is fantastic. Creating and contributing to software that enriches the industry is fantastic. Elevating the tech industry as a whole, without any egos getting in the way (mostly, lol), is fantastic. The ability to collaborate with developers across the planet is fantastic. However—as I’m sure many of you are aware—open source has a bit of a funding problem. Who would’ve guessed that giving away software for free would be a bad way to earn money? 😆
Building and maintaining a project the size of Directus is (obviously) not something that can be done in off-hours or weekends, or something that can be done by one person (I’ve tried 🙋). As a matter of fact, maintaining this repo currently takes at least 10 full-time developers. In order to be able to afford those crucial core maintainers, we operate Directus as both a fully open source repo as well as a paid SaaS version, a strategy that’s increasingly popular within the industry. We’ve even raised a bit of financing to enable us to grow into that larger model more reliably than bootstrapping would allow. However, as you might’ve noticed, over the past few months things have seemingly gone slower rather than faster on this repo: issues have crept up to a record 200, PRs aren’t getting the love and attention they deserve, releases are few and far between, and new features (like the Kanban layout) have been made as exclusives for Cloud. What gives?! Well, the answer is both painful and simple: Open Source has a bit of a funding problem.
The revenue we’re getting from GitHub Sponsors (our primary OSS funding source) (thank you to all who donate! <3) is about 1% of what it costs to actually maintain the repo at its current scale. This in turn means we’re forced to focus on things that generate actual revenue outside of the core codebase to make sure the project can be sustained, which quite frankly sucks.
So, what’s next? Great question! If I had the perfect answer, the OSS funding problem wouldn’t exist in the first place. However, we have done a lot of thinking and research on this topic, which led me to a few different approaches, one of which (3) to me feels like a fair and sustainable path forwards:
Option 1: Make the whole thing private
“Wait you’re giving it away for free?!” is often the first thing friends and family ask me when I explain what it is that I do. When discussing the Open Source Funding Problem™ the follow-up question quickly becomes “So why don’t you just stop giving it away for free?”. I don’t think I’ll have to explain to this audience why that is a terrible terrible idea 😅 (Don't worry: this is not a thing we're actually considering)
Option 2: Add some dual-license trickery
I’ve seen this used in other “open” source projects to great success: make the whole codebase available, but limit a piece of critical functionality behind a paywall, and make the paywall a different license (to make it illegal to hack your way around it). While this approach is certainly a great way to make money, it feels... weird. I’m personally not a big fan of locking away the things that make Directus useful behind a paywall, blanket limiting the platform for all projects and users.
Option 3: Switch license to encourage/require more contributions
While researching our options, and seeing what other projects have done in the past, I came across the BSL 1.1 license. A BSL 1.1 licensed project is effectively an open source project with one usage limit: You can’t use the software in production for the first n years after a release is made (after which it becomes the regular OSS license again). That’s very restrictive (and kinda worse than the dual-license approach if you ask me), but there’s one important part to the license that makes this a pretty interesting direction: we can add exceptions to that rule in the form of “additional use grants”. Those additional use grants allow us to still provide free production usage for individual developers, growing businesses/ngos, hobby projects, etc., but require a paid license from large enterprise companies/governments using Directus in production. There have been other big open source projects that’ve made this switch in the past (including MariaDB, Sentry, and Couchbase) and it feels like it would be a great fit for Directus as well 🤔
Any thoughts, feelings, concerns, opinions, ideas? We’d love to hear your “Option 4” down below! 👇🏻
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