The Open Market Source Definition

Open Market: an unrestricted competitive market in which any buyer and seller is free to participate.

Compare the following point by point to "The Open Source Definition", version 1.3: http://www.opensource.org/osd.html.

1. It allows others to distribute for a fee and it does not require a royalty from that fee.
2. It provides the source code to everyone.
3. It allows derivative works to be created.
4. It may require that any modifications be clearly noted.
5. No one is excluded.
6. No applications are excluded.
7. The sublicensees must have the same rights as the licensee.
8. It does not conditionally tie or bind itself to another product.
9. It does not exlude distribution with other products.

Further requirements specific to that subset of Open Source licenses that are also Open Market Source.

10. It may be sold by anyone.
11. It may be used without charge.
12. It does not require that an encompassing work have the same license.

While the first nine points are as explained in "The Open Source Definition" document, the following new requirements need some introduction.

10. It may be sold by anyone.

The license must not restrict the licensee from commercially selling the source code. Not only must the license allow the licensee to distribute the source code without royalties as described above in clause 1, but it must also allow the licensee to sell the source code to others as part of a larger proprietary work.

The MPL, the X consortium/MIT style licenses, and release to the Public Domain meet this definitional requirement; the GPL does not.

Note that while the GPL allows one to charge a fee for distributing the code as stated in clause 1, clause 2.b. clearly forbids charging for the right to use the software. In effect, when the original copyright holder releases his code under the terms of the GPL, he preserves his exclusive right to sell the code commercially under a different license. By contrast, those who release their code under the terms of the MPL immediately share the right to sell the code with all licensees non-exclusively.

That is why you sometimes see something like the following posted on GPL distribution websites but never on MPL websites:

"You may use this code under the terms of the GPL which means that you may not use it in a larger work for which you charge people to use. However, if you do wish to use it in a larger work for which you charge people to use, please contact me and I am sure we can come to some other agreeable licensing terms given an up-front fee or per-unit royalties."

11. It may be used without charge.

The license may not require a fee for performance of the original software or any derivative works. The license may not require a fee for usage of any patents owned or controlled by the licensers, whether they be originators or contributors, in the performance of any unmodified software from the same. When components are incorporated into a larger work that is sold commercially, it must not require royalties.

The MPL meets this definitional requirement.

12. It does not require that an encompassing work have the same license.

The license must not require that any encompassing larger work composed of multiple components all be distributed under the same license.

The MPL meets this definitional requirement; the GPL does not.

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