The Open Source Software Funding report for 2024, prepared by GitHub, The Linux Foundation, and an academic team led by Harvard, sheds light on how organizations are supporting the development of open source software (OSS). According to the findings, organizations contribute approximately $7.7 billion to OSS each year, highlighting the strategic and economic relevance of this ecosystem.
Organizational Contributions to OSS
The report notes that 86% of the value contributed comes from the work of employees who contribute to OSS development as part of their job activities. This underscores the importance of investing time and talent compared to direct financial contributions, which, although significant, represent a smaller proportion.
Key Findings from the Report:
- Global Scale: Annual contributions from organizations to OSS are estimated to range between $2.9 billion and $10.1 billion, depending on variables such as salaries and the number of contributing organizations.
- Labor Impact: Every employee working on OSS generates, on average, one commit every 21.4 work hours.
- Contribution Distribution: While many companies contribute code, other forms of support include donations, foundation memberships, and event sponsorships.
Challenges in OSS Funding
Despite the volume of resources invested, the report identifies several challenges:
- Lack of Visibility in Contributions: Many organizations do not accurately measure the time and resources allocated to OSS.
- Decentralized Operations: The absence of a formal OSS program (OSPO) in 64% of surveyed organizations makes monitoring and reporting difficult.
- Limited Focus: Contributions tend to prioritize visible functions, such as new developments, rather than maintenance or security audits.
Recommendations for Organizations
The report suggests a series of measures to improve efficiency and transparency in supporting OSS:
- Internal Monitoring: Implement regular surveys to capture key metrics, such as the time employees dedicate to OSS.
- Consolidation of Efforts: Centralize contributions under a public organization, such as a corporate profile on GitHub.
- Encourage OSS Culture: Incentivize and recognize employees’ work on OSS through awards, dedicated time, and mentions in job descriptions.
- Collaboration in Public Indices: Share contribution data on open platforms to promote transparency and standardization.
The Value of Financial and Labor Contributions
The survey reveals that typical organizational contributions include:
- $345,600 annually in labor (equivalent to 4 full-time employees dedicated to OSS).
- $175,000 annually in direct financial contributions.
In total, the 159 surveyed organizations reported a combined total of $1.7 billion in contributions during 2023, demonstrating the accumulated impact of OSS on the tech ecosystem.
The report emphasizes that the sustainability of OSS relies on collective efforts to improve governance and increase funding sources. Organizations can leverage resources such as the Open Source Funding Toolkit to align their contributions with global best practices.
Open source software has become a critical component of modern technological infrastructure, and the 2024 report highlights the need for organizations to measure and optimize their contributions. By adopting clear strategies and appropriate tools, companies will not only support the OSS ecosystem but also ensure that their investments generate sustainable long-term value.
This report establishes a framework for organizations to measure their impact and contribute to OSS with a strategic vision that benefits both tech communities and their own business objectives.