Open source is in again · MakerChecker<br>Skip to content<br>Concepts·6 min read<br>Open source is in again<br>The cost of writing code has collapsed, and with it the defensive value of hiding it. The advantage that remains is operations and trust, and openness strengthens both.<br>June 29, 2026
The economics of hiding code have changed
For most of software history source code was treated as the asset, and companies<br>guarded it because writing it was slow and expensive and hard to reproduce. A<br>competitor who wanted your product had to hire engineers and spend months<br>rebuilding what you had already built, so the secrecy was rational; the code<br>carried real scarcity, and scarcity was worth protecting. That assumption no<br>longer holds. The cost of producing working code has fallen so far that what once<br>took a team of engineers a full quarter can now be drafted in a few days with the<br>help of capable models.
As the cost of writing code approaches zero the value of merely possessing it<br>approaches zero with it, since a thing that is cheap to make is cheap to remake. A<br>competitor who wants to copy your implementation can now do so at a fraction of<br>the historical cost whether you publish it or not. This reframes the whole<br>question of secrecy, because if your code can be reconstructed by anyone with a<br>model and a clear goal then guarding it produces very little protection while you<br>go on paying the full cost of keeping it closed.
Replication was always coming
Closed source assumes that hiding the implementation slows imitation, and in a<br>world of expensive engineering it genuinely did, but the moat that secrecy buys<br>has grown thin and keeps thinning. Think about what actually happens when a<br>product succeeds: competitors observe the behavior, infer the structure, and<br>rebuild it, and they were doing this long before models existed; the only thing<br>that has changed is the speed. The window between your release and a credible<br>clone has collapsed from years to weeks, and secrecy does not close that window so<br>much as delay the moment you admit it is already open. If imitation is going to<br>happen regardless then the defensive value of hiding becomes a cost you carry for<br>almost nothing in return.
The real strength was never the code
Code is the description of what your company does rather than the doing of it. The<br>durable advantage of a company lives in its operations , in how reliably you<br>run the system and how you respond when something breaks and how you handle the<br>edge cases that never appear in any repository. None of that is contained in the<br>source, and you can read every line of a payments company and still be entirely<br>unable to run a payments company. This is why publishing your code costs you far<br>less than it first appears, because the part a competitor cannot copy by reading<br>is the part that actually matters, and that part was never sitting in the file.<br>What you give away is the cheap layer, while the expensive layer stays exactly<br>where it was.
Open code builds trust
When code is open it can be analyzed, and anyone can verify what it does instead<br>of trusting a claim about what it does. For any company whose product touches<br>money or health or safety or compliance that is a direct asset, because it turns a<br>promise into something a customer or a regulator can actually check. There is a<br>second effect that matters more over time, because publishing your implementation<br>is itself a statement of confidence; it says that you are willing to be examined,<br>that your advantage does not rest on concealment, and that you would rather<br>compete on how well you operate than on what you manage to hide. A company that<br>opens its code is signaling that its strength is in execution, and that signal is<br>hard to fake, since a company with a weak operation has every reason to keep the<br>doors shut. Trust earned this way compounds. Customers who can verify your system<br>extend more of it to you, regulators who can inspect your controls move faster,<br>and engineers who can read your work form a clearer view of your competence that<br>then travels on its own.
What this points toward
Put these forces together and the direction becomes clear. The cost of writing<br>code is falling, the protection offered by secrecy is falling with it, and the<br>advantages that remain, operations and trust, are the advantages that openness<br>strengthens rather than erodes. The rational response is to publish, and we should<br>expect to see far more open source in the coming years, not as an act of<br>generosity but as a recognition that the old reasons for hiding have quietly<br>expired. The companies that understand this early will spend their secrecy budget<br>on the one thing that still pays, which is running their operation better than<br>anyone else can. Open source is in again, because the cost of keeping code closed<br>has never been higher relative to what that secrecy now actually buys you.
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