---

The Real Reason Open Source Startups Fail

The recent news around Nebula shutting its doors has stirred speculation that OpenStack startups are struggling because of the state of the OpenStack market. There is even a piece claiming that the OpenStack dream is on “life support.”

This couldn’t be further from the truth. The reality is that winning in open source requires a playbook that is drastically different from one that most VCs investing in technology today are used to.