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RESEARCH JOURNALS

 

INTERNATIONAL SCIENTIFIC RESEARCH JOURNAL OF MYKOLAS ROMERIS UNIVERSITY
"INTELLECTUAL ECONOMICS"
ISSN 1822-8011 (print), ISSN 1822-8038 (online)

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lithuanian

INTELLECTUAL ECONOMICS 2009, Number 1(5)

REVIEW OF NEW BOOKS

THE IMPACT OF FREE INFORMATION DECISIONS ON THE DEVELOPMENT OF INFORMATION TECHNOLOGIES (review on Žilvinas Jančoras‘ and Mykolas Okulič-Kazarinas‘ manual “free information decisions”)
Mykolas Romeris University Publishing Centre. Vilnius. Lithuania 2009 Nr.1(5), p. 73-76 recenzija 1

The study book “Open Information Systems” introduces us to the domain of free open source software and open formats and standards. It discusses the causes and consequences of development of the free open source software, its establishment in the market and the reasons of its popularity Technical, social, and economic factors behind the development of open source software are disclosed. It considers the need of open formats and standards, their impact on the development of information technologies, the principles of open source software licensing and aspects of their application.
The book is addressed to students, graduates and doctoral students of computer sciences, economics and management, and to all those interested in software application. It explains the reasons and consequences of development of free open source software, its popularity and establishment in the market. It aims to reveal technical, social and economic factors affecting the development of open source software. The book examines the need for open formats and standards, and their impact on information technology development, the principles of open source software licensing, and discusses the subtleties of its application.
The reader is introduced to the models which help to analyze and design information systems. The manual assists in developing the skills necessary in order to create more efficient information systems for business, public sector or educational establishments. It also discusses the application of liberal licensing on other works: lists of programs, encyclopedias and works of art.
Large emphasis is made on the open standards which ensure the interoperability of software. The benefits which this provides are increasingly understood by the society. They are supported both by professional organizations and public institutions. Increasing demand for computers determined the increase of demand in software. In addition, it became clear that the software needs to be standard, not unique. The increase of demand attracted companies which engaged in software developing and sales. In September 1983 Richard Stallman launched the GNU project. The primary purpose of the project was to create a free operating system, which would be compatible with Unix, a popular proprietary operating system. This was a start for a unique movement, which by its growth and strengthening has changed both the understanding of information technology business, and caused changes in other fields of intellectual production. In the future it promises to take us to a new stage of economic development, known as a “gift economy.”
The term “Open Source Software” is understood as software which is not protected by intellectual property law. The right to copy it is not restricted. If the original version of the software is in public domain, it means that the program is free since it can be used at anyone’s discretion. However, on the basis of this software, other authors can create proprietary programs, thus appropriating the results of others’ work, because there are no rules which would preclude a part of the open source software from being “closed” by contracts or licenses.
Proprietary software is not free software. Typically, such programs cannot be distributed, used in several places, rented, etc. The original text of proprietary software usually is not made public. The term “proprietary software” is used to define a situation which is a complete opposite of open source software.
The free software movement is becoming a serious competitor to virtually all software monopolies, whereas the governments can contribute to this movement by localizing the free software (translating it into national languages), promoting it and user training, and enhancing competition and by protecting consumers. Import, export needs balance. The countries without large proprietary software producers need to import the necessary software from abroad. If the country imports high-technology products, in order to maintain the trade balance it needs to export commodities or the products created by a cheaper labour force. What change would it make if the government and politicians were to promote the wider use of free software? Free software should not be acquired, hence its use does not create an outgoing cash flow. Thus the country’s foreign trade balance is improved. It also contributes to training local experts. Usage of proprietary software leads to training of local sellers, installers and administrators, as only original programmers can correct the errors and otherwise improve the program. Using free software applications, as well as the necessary installer moderators, creates an opportunity for local developers to participate in correcting, improving programs and acquire the skills both to use high technologies and to create them.
The use of free software encourages growth of local economy. If companies use free software, they save money which is necessary to buy proprietary software. Thus they can spend more on IT network administration, development of specific software and to train the employees.
Open-source technologies (open protocols and formats) have become popular as a counterweight to the closed protocols and formats which were often used as a means of market monopolization. Open standards are generally described in public organizations, and are free for all to use. Due to the open standards, any manufacturer can create high-quality online programs, which actively compete against each other, leading to reductions of software prices. This is the first advantage for the consumer. In addition, the users of software created by different producers, can easily connect with each other. This encourages the growth of the market and, ultimately, results in benefits to both the users and software developers.
In 2000, a working group on libre software, created at the initiative of European Commission’s Information Society Directorate General, published its study on „Free software/Open Source: Information Society Opportunities for Europe? In it, the group recommended the use of open standards:
“Just as it was important in the past to have control over the operating system and the standards of the formats for data interchange, in the future it will be very important to have open data interfaces in networks for electronic commerce and content interchange between different services in the Internet. [...] These application protocols should stay open, with open source reference implementations, which any company or individual can use or adapt to suit their needs. Otherwise, anyone wishing to use those services will need to purchase some proprietary software from the company which sets the standard. As these services are more and more part of the basic infrastructure needed by any individual for their everyday life and by any company for its normal functioning, it becomes more and more critical that their normal activities should not be controlled by any given software provider.“
Their advantages were discussed in a symposium organized by the European Commission for the open source software in public administration. Those advantages are – independence, security, possibility to control pricing and changes.

Prof. dr. Dalė Dzemydienė
Informatics and Software Systems Department
Faculty of Social Informatics
Mykolas Romeris University, Lithuania






Responsibilities for information Dalė Dzemydienė
E-mail: int.economics@mruni.lt