Comment Re:501(c)(3) Classes (Score 4, Insightful) 228
Most open-source "foundations" have been operating in a "give away the razor, sell the blades" mentality.
Give away the razor (base software), sell the blades (support contracts / phone support / specific pay-for-implementation requests / etc).
I can see why the IRS is having a hard time taking claims of being a nonprofit or public-benefit company seriously when that's examined. It's kind of taking the "how to make money off FOSS" instructions constantly published in the community at face value.