Community mailing list archives

Re: Odoo v9 Community and Enterprise editions

Anders Wallenquist
- 05/11/2015 10:28:13
Den 2015-05-11 15:10, Antony Lesuisse skrev:
> I am curious about your deployements, do you mean that the Odoo instance is
> always running on the intranet only inside the building of the company ? Do
> the employee access the instance from outside the office using a VPN to
> connect to the intranet.

90 percent of our customers are using OpenERP/Odoo as an ERP-system for 
employees only. Sometimes on local servers, sometimes cloudservers 
accessible only for employees.

This will probably change over time with all new fancy web functions. At 
this time all of our modules developed for customers using some sort of 
"web access" or public functions can be found at github. If someone 
wants the code its easy to point them in the right direction.

Yes we charge our customer for module development and customizations (in 
fact the vast IT developments occurring in the worldare customizations). 
The model with transparent development and equivalent cooperation that 
free software gives an opportunity to do are the most efficient way to 
develop systems. On the other hand there are just e few companies that 
have a successfull licence selling model and a very, very long line with 
companies that are unsuccessfull.

We have studied some ERP-companies and their business model for a couple 
of years now - for example IFS Industrial and Financial System. In the 
year 2000 they had a revenue from licences of 96 MEUR, product 
development cost of 52  MEUR, selling and dristributions cost of 170 
MEUR, aftermarket services 120 MEUR, (negative total revenue) and 2600 

To generate revenue they set a goal that the development cost and 
selling/distribution would fully be financed by license selling in ten 
years time. With the same personell and cost costume they should sell 
licenses for 320 MEUR.

Failed to do do that they outsources nearly all development to the 

2013 licens selling +53 MEUR (half 2000), selling and distribution -90 
MEUR, product development -26 MEUR, aftermarket services +220 MEUR 
(double 2000), 867 employees and positive cash flow.

In thirteen years IFS failed to increase license selling but doubled 
aftermarket services. Development cost are half, but i'm not sure the 
development phase have increased even if phillipine programmers cost a 
fraction of a swedish. Aftermarket services are not as sexy as licenses 
but the only thing that have made the company survive was staff cuts and 
better aftermarket services. If they instead had dropped the licence-fee 
I'm sure the installed base should be significant larger. With a larger 
installed base the market for aftermarket services also are larger. If 
they published their source code as free software and also manage to 
build a professional community the development cost would decrease, 
development phase increase.

The same pattern was true for MySQL AB, they had their revenue from 
aftermarket services and the "enterprise"-licens model or selling 
dual-licenses never worked. I havent seen the figures for MariaDB but am 
pretty sure that they point in the same direction.

Without revenue from license selling you have to depend more on the 
customers (via community) to develop the functions you think the product 
need. You have to make incentives for that and have to be more 
transparent. Without revenue from license selling you have to develop a 
portfolio of aftermarket services that is easy for the community to buy 
or resell.


Anders Wallenquist
> On 05/11/2015 12:55 PM, Anders Wallenquist wrote:
> > Den 2015-05-11 11:13, Stefan skrev:
> >> On 11-05-15 10:47, Alexandre Fayolle wrote:
> >> > This is BS.
> >> >
> >> > I don't know specifically about Akretion. As far as Camptocamp is concerned:
> >> >
> >> > 1. our customers' instances are typically not reachable over a public IP
> >> > address.
> >> > 2. the customer specific code is released under AGPL to the customer. If
> >> > he chooses to change partners for maintainance, he has the source code,
> >> > and the new partner is allowed to modify and redistribute the code
> >>
> >> Same for Therp.
> >
> > Same for Vertel
> >>
> >> Cheers,
> >> Stefan.
> >>
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