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Concept
Commercial use of copyleft works
Summary
The commercialization of copylefted works differs from proprietary works. The economic focus tends to be on the commercialization of other scarcities, and complimentary goods rather than the free works themselves. One way to make money with copylefted works is to sell consultancy and support to the users of the work. Generally, financial profit is expected to be much lower in a business model utilising copyleft works only than in a business using proprietary works. Another way is to use the copylefted work as a commodity tool or component to provide a service or product. Android phones, for example, include the Linux kernel, which is copylefted. Unlike business models which commercialize copylefted works only, businesses which deal with proprietary products can make money by exclusive sales, single and transferable ownership, and litigation rights over the work, although some view these methods as monopolistic and unethical, such as those in the Free Software Movement and the Free Culture Movement.
Businesses and governments can obtain value and cut costs by using copyleft software internally. See for example Linux adoption.
By building on existing free software, businesses can reduce their development costs. With software that is copyleft, the business will then have the disadvantage that selling licences is rarely possible (because anyone can distribute copies at no financial cost), but the business will have the advantage that their competitors can't incorporate that improved version into a product and then distribute it without that competitor also making the modifications they authored available to the original distributor, thereby avoiding a type of free-rider problem.
Copyleft enables volunteer programmers and organizations to feel involved and contribute to software and feel confident any future derivatives will remain accessible to them, and that their contributions are part of a larger goal, like developing the kernel of an operating system (OS). Copylefting software makes clear the intent of never abusing or hiding any knowledge that is contributed.
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