Paradigm Shift: Open-source and the Market Revolution

by James Matthew Miraflor

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Known also as the “Bazaar” paradigm of software development, the FLOSS operates under the economics of increased competition and participative development, in contrast with the “Cathedral” paradigm employed by most software development companies in the market which seeks to monopolize software production and maintenance through consolidated capital. Instead of concentrating resources in order to improve its product, FLOSS flattens the hierarchy and allows a greater number of channels by which the product can be improved.

This paradigm is actually based on a new model of economic production – the commons-based peer production. Coined by Professor Yochai Benkler in his seminal paper Coase’s Penguin, the model is different from the conventional industrial production model since the creative potential of large number of people is coordinated into large and meaningful projects without traditional hierarchical organization or financial compensation."