Private-Collective Innovation Model
Description
Peter Troxler:
"In innovation research, however, it is still relatively early days of accepting the open source way as a mode of innovation of any substantial relevance. von Hippel and von Krogh (2003) proposed the explanation of a ‘private-collective innovation model’ that combines elements of the traditional private investment model of innovation and the collective action model of innovation of public goods. Participants use their private budget to create innovations they freely reveal as a public good (private investment model). In return they do not want legal protection for the exclusive commercial exploitation of their innovation, but other private benefits such as learning, enjoyment and community participation (collective action model)." (http://wikis.fu-berlin.de/download/attachments/59080767/Troxler-Paper.pdf)
More Information
Paper: Private-Collective Innovation: Let There Be Knowledge, Ali Kousari and Chris Henselmans. Open Source Business Resource, January 2011: The Business of Open Source
URL = http://www.osbr.ca/ojs/index.php/osbr/article/view/1256/1201
"Many innovators (companies or individuals) opt for a private innovation model. This model uses resources to create a product whose intellectual property (IP) is protected by the firm. At the opposite end of the scale is the collective innovation model, in which innovators collaborate and expend resources to produce a public good. Many free/libre open source software (F/LOSS) projects rely on collective innovation. Some innovators are now combining the two models into a private-collective innovation model, in which an innovator may chose to collaborate with other innovators and spend private resources while still keeping some IP private. For example, a company may release its product’s source code to the public in the hope of attracting a community of contributing developers. Such a company commits its own resources to a project, but may still hold on to the intellectual property.
The success of private-collective innovation is dependent on many factors including: project interest and value, company reputation, and project status. There are benefits and risks to private-collective innovation which must be carefully weighed before making a decision to employ this model. Private-collective innovation involves the sharing of knowledge and, in some cases, the sharing of IP that may or may not be patented."