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Follow the money, especially in open source

  • What: Discussion on funding sources for the Linux Foundation
  • Impact: Linux developers and open source community
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Linus Torvalds, the creator of the Linux kernel and git, is employed by the Linux Foundation . This Foundation is a non-profit organisation dedicated to, as the name obviously implies, the promotion of Linux. The primary use of the funds it collects is to ā€œhelp fund the infrastructure and fellows, including Linus Torvalds, who help develop the Linux kernelā€. The list of megacorporations donating most of the Foundation’s funds is long. The Linux Foundation has twelve platinum members , which donate $500000 per year, followed by twelve gold members, who donate $100000 per year. Below these two primary tiers lie the silver peasants, who each donate $5000-$25000 per year, based on number of employees. Looking at the list of twelve platinum members, I noticed something interesting. Of the twelve platinum companies, six are ā€œAIā€ companies or companies with massive investments in ā€œAIā€: Google, Huawei, Facebook, Microsoft, Oracle, and IBM/Red Hat. Then there’s Samsung Electronics, which is raking in stupendous amounts of money thanks to the ā€œAIā€ bubble. Additionally, one of the gold members is Anthropic, another major ā€œAIā€ company and makers of ā€œClaudeā€, the sloppiest of slopcoding tools. Many of these companies are unimaginably deep in the red when it comes to ā€œAIā€, with very little indication they’re ever going to be able to recover any of it . The situation is particularly bad for Oracle and IBM/Red Hat. Oracle’s debt has been downgraded to one notch above junk status because of its ā€œAIā€ spending, while IBM’s shares experienced the largest crash in its 115 year history only a few days ago. By the way, in the first half of 2025, ā€œAI-related capital expenditures contributed 1.1% to [US] GDP growth , outpacing the U.S. consumer as an engine of expansionā€. Fun fact: since most of The Netherlands is effectively a swamp, most of the country’s buildings are built on massive wooden or concrete poles (piles) hammered deep into the ground until they hit something more stable than mushy clay and wet sand. Otherwise, buildings in the country would simply sink into the ground. Every Dutch person who ever lived near a construction site has heard the rhythmic kathunk , kathunk , kathunk , all day long, as the massive piledriver machines spread their gospel. I guess something reminded me of this just now. Anyway, a large chunk of the funding the Linux Foundation, Linus Torvald’s employer, receives is coming from increasingly desperate companies frantically trying to convince a populace deeply skeptical and often downright hostile towards ā€œAIā€ to spend money on ā€œAIā€ before the bubble bursts. For some reason, I thought this was interesting .

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