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Sunday, 7 March 2004    
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Lanka Software Foundation Launch

Sri Lanka became the latest contributor towards the global Open Source community with the launch of the Lanka Software Foundation (LSF). LSF is a non-profit organisation with a mission to build brand recognition for Sri Lanka as a prime destination for open source expertise.

Open source software refers to software whose code is freely available for users to view and modify according to their requirements, and re-submit for subsequent use by others. Linux is a good example while others include Apache, the dominant software for servers that dish out corporate web pages.

Delivering a presentation on 'Open Source Business Models - A Conceptual Analysis of the commercial viability of the Open Source concept', Sujiva Dewaraja - Head of IT Sector John Keells & CEO of John Keells Computer Services (JKCS), highlighted the opportunities for organisations to gain financial benefits from open source through value addition. Today's purchase decisions are made mostly based on the 'value-add' of a product or service rather than the core product or the service itself. This was illustrated through the comparison of the traditional manufacturing value chain with the value chain of the software industry.

He further stated that initially the value addition for "old economy" products was created during the core manufacturing processes. There used to be little value addition through support services such as branding or marketing. Subsequently the manufacturing processes evolved to a point where the core technology became commoditized while the product is augmented by value addition through the support services. He went on to say that revenue generation through Open Source software products would most likely come from the support services and solutions since the core elements would be freely available to everyone.

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