Compare it to open access research. It's not about doing work for free, it's about making the results public, and sharing your research. "Open" is about granting everybody access, as opposed to keeping secrets. It's let people know how a product works.
If he hooked onto the "free" argument perhaps you described "free software" as opposed to "open software".
Great point - "free" vs "open" is a really important distinction.
I prefer the libre vs gratis distinction. It's free as in speech
I still come from the old world and just don't consider most "open" software to be free. It's a movement that kind of co-opted the original free movement. There is very little "free" software in mass use anymore. Of course, most software isn't even "open". :(
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