Open-source software will continue its march through the enterprise technology stack, buoyed by AI and (hopefully) transformative funding solutions that address sustainability.
Credit: Fancycrave
Over the past decades, open source software (OSS) has transformed from being merely a cheaper option into the superior choice for enterprise infrastructure. Now it often provides higher quality, stronger security, better privacy, unparalleled extensibility, and access to innovation compared to proprietary rivals. It is no coincidence that 96% of all software today relies on open source, and large enterprises are increasingly inclined to invest in OSS-based solutions to capitalize on these advantages.
For venture investors like myself, this shift in market preferences represents a significant opportunity to fund the next generation of OSS-based category leaders in enterprise software. And a few notable trends will likely shape how this market area will likely evolve in 2025 and beyond.
Rise of open source AI
The rapid development of foundational large language models, related AI infrastructure, …