Software Licensing
In this article, we are going to explore what is Software Licensing, how to choose a software license, how to use a Software License and key points about Software Licensing.
What is Software Licensing?
A license is an agreement between a developer and a user on how a software product can be used. The terms of a license are outlined in a document called a “license” or “licensing agreement”.
Some license agreements can be general and can apply to all users. As well as they can be more specific to particular users and these would include private licensing agreements between a developer and a user.
Other licensing agreements allow users to modify the product’s code and they are known as open-source software. Developers are offering these products in the spirit of software freedom.
The followings are the key features of Software Licensing.
- Permitted Uses
The license needs to indicate whether the use is exclusive to the one licensed user or limited to particular purposes. If sublicensing is allowed, those terms are included here too.
- Restrictions
Consider following example for this.
If you run a platform to help developers create their own apps, you may place a restriction on using the code for profit in your licensing agreement.
- Intellectual Property Rights
If you wish to retain exclusive ownership of the software and keep it closed-source, your licensing agreement requires a section explaining that the copyright belongs exclusively to you.
Even if you offer an open-source product, this remains relevant.
- Warranties & Limitations
When you allow users to create derivative works with your code, that has the possibility of opening you up to liability if it does not work for them.
If you offer certain guarantees, those need to be stated clearly too.
- Redistribution Terms
If a user creates a profitable product using your code, do you expect compensation? Any royalty requirements need to be indicated clearly to the user.
Likewise, if redistribution is prohibited and the code is only for personal use, that statement is also required.
How to choose a Software License?
Choosing a license form depends on whether your software is free, purchased or contains open source code.
- Broad License
This “do anything” license allows users to modify the software and use the code in their own proprietary products, including those that are distributed for profit.
A broad license is one of the easiest licenses to implement but offers little copyright protection.
- GNU License
The GNU, or General Public License, is a free software license that offers users the freedom to operate, study, share, and modify the software.
Audacity is an open-source sound manipulation app that’s available to download for free. This app is an example of a software product that uses the GNU.
Even using the GNU license, that does not give users the chance at a free-for-all of public distribution and profit generation. While using the GNU license leaves your software open to being changed for personal preferences, there are still limitations on using it for proprietary products or distributing it.
Sharing is encouraged, but not for a price.
- EULA License
The EULA license is used to limit use. There are no terms regarding the modification of the software or using its code for other products. A EULA agreement does not allow for derivative products or reverse-engineering either.
The EULA offers additional intellectual property protection that would not be present in other software agreements.
One example of a relevant limitation is the one concerning users and devices. Microsoft licenses Office 365 as a subscription service. While a GNU encourages free distribution, the licensing and subscription agreement available through Microsoft products is much more limiting.
A EULA is normally enough if all you wish to authorize is used. However, if you offer open-source code, going to a GNU or modified GNU license is likely a good way to go.
How to use a Software License?
A way to handle licensing agreement availability is through your product.
How to do that?
Going to the “About” tab on CCleaner Free by Piriform takes you to a link that leads to the list of licensing agreements for Piriform products.
Another way of using a license agreement is like following.
Key Points of Software Licensing
- Know what “free” means. In the context of software licensing, free doesn’t refer to price. It means free in the sense of “free speech” and refers to the rights and restrictions imposed on using the software.
- Proprietary software has more restrictions. If the software is proprietary or closed-source, there will usually be significant restrictions in the license that limit the ways you can use the software.
- Free or open-source software has fewer restrictions. Glossing over a lot of nuances, if a program is released under a free software license or an open-source license, you generally don’t have to ask anyone’s permission to use it. You can also copy and redistribute the software to your heart’s content.
- Pay attention to how long the license lasts. A perpetual license doesn’t expire. Once you purchase it, you have the right to use the software for as long as you like. A term license expires after a specified period of time (often one year) and must be periodically renewed.
- Look into volume licenses or site licenses whenever possible. These arrangements offer lower prices and often make administration tasks easier.
In this article, we overlooked the Software Licensing and its basics. Thank you.
