1. www.FITT-for-Innovation.eu Open Source Business Case FITT (Fostering Interregional Exchange in ICT Technology Transfer)

2. Practice in General  Siruna NV has developed Software for development of mobile websites through a dual Open source business model  Nature of reusability: this model can be easily copied as far as it helps to cover development costs by the help of a large and free developer community, helps to market the product, quickly sets a reference in a rapidly evolving market and succeeds in creating value within an open source setting.  Case is mostly generic  Quality/Nature of stakeholders: High tech start-up company, starting form research results  Processes related to case: business model, IP management

3. How we can help you open the mobile experience.

4. Who are we?

5. About Us The experts in web-to-mobile: Make Anything Mobile Professional Open Source company Venture Capital backed startup Located in Belgium | UK | US | India | UAE | China 5

6. : the leading OPEN SOURCE platform and managed SOLUTION provider for mobile web applications

7. Internet is everywhere CONTENT USER experience WEB App’s

8. Nice USABLE stuff … Mobile News (POWERED BY SIRUNA) m.deredactie.be (STANDARD WEBSITE) www.deredactie.be Mobile Search (POWERED BY SIRUNA) m.goldenpages.ie (STANDARD WEBSITE) www.goldenpages.ie 8 Mobile Portal (POWERED BY SIRUNA) m.zita.be (STANDARD WEBSITE) www.zita.be

9. Open vs. Closed Source  Revenue from services  Source code is publically available « Copyleft »  Source can be adapted / improved  Development by a community  Selling software licenses  Source code protected as intellectual property  Customer can’t get the source code  Development inside the company The business models are linked with the license model: GPL/LGPL business models BSD/Apache models Multi license business models: Dual license OPEN SOURCECLOSED SOURCE

10. Customer value

11. 11 First Generation Business Models Services based Revenues are generated through support, consulting, training, documentation Loss leader A free OS product is used to create a market position for the traditional commercial software. Fight competition Vendors as IBM, Apple, Novell, Oracle.. realize that OS provides a way to compete against Microsoft because: They can reduce R&D costs Eliminate dependencies on competitor’s technology Of the access to a large, external development community Example: instead of competing with Symbian, Motorola committed to OS

12. Siruna OSS strategy Is NOT to create a large developer community Can be a side effect We control it through the Contributor License Agreement. (CLA) Disruptive business model People can try the code, see the internals They buy what they like (quality) They can modify the code for their customer Create a developer/user pull 12

13. Dual Licensing Product available under a regular commercial license for commercial customers and under a free software licence (AGPL) for those who live by the principles of free software The product is technically identical under both licences, but the financials and the legal ramifications are different It is up to the customer to decide what path he wants to follow and what licence to use but restricted by our policy & commercial strategy. MySQL AB, Sleepycat Software & Trolltech AS use dual licensing Siruna is the copyright holder

14. Copyright of Siruna Necessary condition for dual licensing. Gives us rights and protection We decide what license is used by who: Commercial AGPL We can introduce “golden lines” or credentials. Our “golden lines” Adapted for Mobile by Siruna Google Analytics transformer insert 14

15. Affero GPL license GPL license: Everything that touches it becomes GPL (viral) If you redistribute a GPL software package, you need to publish your code Service provider loophole AGPL license: Closes the MSP loophole Software distribution & network access 15

16. OSS Sales Funnel 16

17. OSS Marketing 17

18. 18 Open Source Trends By 2010, Global IT organizations will use OS in 80% of infrastructure investments and in 25% of business software investments (Source: Gartner). OS impact on infrastructure SW is 20 B $ growing to 46 B $ in 2011 (Source GIMV )

19. 19 VC activity  Increased VC investment in OS:  2005: 294 M $ was invested  2006: 475 M $ was invested, up 61% from 2005 (Source: Computer Business Review, Feb. 2007)  Why do VCs invest in Open-Source?  The increased adoption of OS by corporate users.  Attracted by the success of Red Hat,:  Marketcap of 3.8 B $ and.. profitable!  Revenues increasing very fast: 200 M $ in 2005, 280 M $ in 2006 and 400 M $ in 2007  Belief that there could me more money made from OS than from proprietary software  Lower cost of development  Also lower cost of sales & marketing due to the viral effect of the dvlpt community  OS leads to better quality assurance, more frequent releases, community dvlpt (Source GIMV )

20. 20 M&A activity Recent deals: There were 35 transactions There were 3 significant transactions; Sun acquiring MySQL for 1 B $, EV/S of 14.3 x Yahoo acquiring Zimbra for 350 M $ (email collaboration), Nokia acquiring Trolltech for 153 M $, Citrix acquiring Xensource for 500 M $ RedHat acquiring JBoss for 350 M $ (Source GIMV )

21. OSS Facts & Figures MySQL – Database vendor Founded in 1995. Challenger for Oracle, Sybase,.. External VC in 2001: Revenues 2002: 6,5 Mio Revenue 2005: 34 Mio Euro 2006: 50 Mio Euro Exit 2007: Sun acquiring MySQL for 1 B $, 2009: Oracle acquiring Sun OpenBravo – ERP vendor (GIMV investment) Founded in 2003. (Univ. of Navarra – 2001) External VC in 2006: 4 Mio Euro from SODENA Revenue 2007: 1,1 Mio Euro External VC in 2008: 9 Mio Euro Target 2008: 3,3 Mio Euro Target 2010: 24 Mio Euro (requiring 15 Mio Euro investment) 21

22. Contact Us FRANK GIELEN, CEO Zuiderpoort Office Park Gaston Crommenlaan 10/101 9050 Gent, Belgium Tel +32 (0)9 331 48 36 contact@siruna.com contact@siruna.com 22