Commons-based peer production (CBPP) is a term coined by Harvard Law School professor Yochai Benkler. It describes a model of socio-economic production in which large numbers of people work cooperatively; usually over the Internet. Commons-based projects generally have less rigid hierarchical structures than those under more traditional business models.
One of the major characteristics of the commons-based peer production is its non-profit scope. Often—but not always—commons-based projects are designed without a need for financial compensation for contributors. For example, sharing of design files for objects freely on the internet enables anyone with a 3-D printer to digitally replicate the object saving the prosumer significant money.
Synonymous terms for this process include consumer coproduction and collaborative media production.
Yochai Benkler used this term as early as 2001. Benkler first introduced the term in his 2002 paper in the Yale Law Journal (published as a pre-print in 2001) "Coase's Penguin, or Linux and the Nature of the Firm", whose title refers to the Linux mascot and to Ronald Coase, who originated the transaction costs theory of the firm that provides the methodological template for the paper's analysis of peer production. The paper defines the concept as "decentralized information gathering and exchange" and credits Eben Moglen as the scholar who first identified it without naming it.
Yochai Benkler contrasts commons-based peer production with firm production, in which tasks are delegated based on a central decision-making process, and market-based production, in which allocating different prices to different tasks serves as an incentive to anyone interested in performing a task.
In his book The Wealth of Networks (2006), Yochai Benkler significantly expands on his definition of commons-based peer production. According to Benkler, what distinguishes commons-based production is that it doesn't rely upon or propagate proprietary knowledge: "The inputs and outputs of the process are shared, freely or conditionally, in an institutional form that leaves them equally available for all to use as they choose at their individual discretion.
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Open source is source code that is made freely available for possible modification and redistribution. Products include permission to use the source code, design documents, or content of the product. The open-source model is a decentralized software development model that encourages open collaboration. A main principle of open-source software development is peer production, with products such as source code, blueprints, and documentation freely available to the public.
A prosumer is an individual who both consumes and produces. The term is a portmanteau of the words producer and consumer. Research has identified six types of prosumers: DIY prosumers, self-service prosumers, customizing prosumers, collaborative prosumers, monetised prosumers, and economic prosumers. The terms prosumer and prosumption were coined in 1980 by American futurist Alvin Toffler, and were widely used by many technology writers of the time.
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