Abstract
Vendors of proprietary software products are increasingly moving to business models inspired by open source software (OSS). This study investigates sources of heterogeneity in value appropriation associated with commercializing OSS. Specifically, I suggest that the relationship between a firm's OSS releases and its value depends critically on its stocks of protection mechanisms for intellectual property rights, such as software patents and software trademarks. I find that while software patent stocks positively affect the relationship between a firm's OSS product portfolio and its value, software trademark stocks have a negative effect on this relationship.
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