The idea behind open source is very simple: When programmers can read, redistribute, and modify the source code for a piece of software, the software evolves. People improve it, people adapt it, people fix bugs. And this can happen at a speed that, if one is used to the slow pace of conventional software development, seems astonishing.

We in the open source community have learned that this rapid evolutionary process produces better software than the traditional closed model, in which only a very few programmers can see the source and everybody else must blindly use an opaque block of bits.

Open Source Initiative exists to make this case to the industrial world.

open source movement has been the inspiration for increased transparency and liberty in other fields, including the release of biotechnology and other projects. The open-source concept has also been applied to media other than computer programs, e.g., by Creative Commons. It also constitutes an example of user innovation . Often, open source is an expression where it simply means that a system is available to all who wish to work on it.

Most economists would agree that open source candidates have a public goods aspect to them. In general, this suggests that the original work involves a great deal of time, money, and effort. However, the cost of reproducing the work is very low so that additional users may be added at zero or near zero cost - this is referred to as the marginal cost of a product. At this point, it is necessary to consider a copyright. The idea of copyright for works of authorship is to protect the incentive of making these original works. Copyright restriction then creates access costs on consumers who value the original more than making an additional copy but value the original less than its price. Thus, they will pay an access cost of this difference. Access costs also pose problems for authors who wish to create something based on another work yet are not willing to pay the copyright holder for the rights to the copyrighted work. The second type of cost incurred with a copyright system is the cost of administration and enforcement of the copyright.