Odoo Is Not Open Source? A False Debate

It is a misconception we still hear far too often.

In a meeting, at a trade show, or even from the mouths of seasoned consultants:

"Odoo isn't really open source."

And yet it is both false… and revealing of a misunderstanding.

At Auguria, we have been supporting SMEs, mid-sized companies and groups with Odoo integration for over 10 years.

So let's set the record straight, clearly, and with a bit of perspective.

Yes, Odoo is open source (and it is even one of its great strengths)

Let's start with what is not up for debate (or shouldn't be):

💡 The core of Odoo, the Community version, is published under the LGPL license, a recognized open source license, validated by the Free Software Foundation and fully compatible with free software standards.

In practice, this means that:

• the source code is open, viewable and modifiable;
• the ERP can be downloaded for free from GitHub;
• anyone can install it, fork it, adapt it to their needs;
• you can add your own modules, under the license of your choice (as long as you comply with the LGPL).

It is a complete open source ERP, with sales management, inventory, accounting, website, manufacturing, CRM, and more.

And unlike many open source projects, Odoo is well maintained, documented, scalable… and actively used worldwide.

Free, but not magic: an ERP has to be implemented

This is often where the confusion starts.

Yes, the code is free.

But an ERP is not a blog plugin or a mobile app.

You need to scope the requirements, configure the modules, migrate the data, train the teams, structure the processes and manage the change.

In other words:

🛠️ An ERP, even an open source one, needs a real project to succeed.

That is why the cost of services (consulting, integration, support) is often far more significant than the cost of the software itself.

At Auguria, we have seen companies succeed with 100% Community projects, but almost always supported by an integrator, with a structured approach.

The Enterprise version: proprietary, but not "closed"

Odoo also offers an Enterprise version, with extended features:

Studio (no-code editor), Helpdesk, electronic signature, IoT, timesheets, documents, and many more.

These modules are:

• proprietary: they require a paid license;
• accessible: their code is visible and viewable;
• extensible: they can be overridden and extended through custom modules.

And here again, a frequent misunderstanding:

"But if it's paid, it's no longer open source!"

Not quite. The core remains free.

Enterprise is a commercial extension, not a betrayal.

This model is exactly the same as that of Red Hat, Elastic or GitLab:

💡 An open source foundation, with a paid layer for companies that want to go further.

A strategic choice that has paid off

I'll admit it:

When Odoo adopted this dual model, I was doubtful.

But in hindsight, I acknowledge that it was the only viable path:

• to guarantee the longevity of the publisher;
• to fund continuous innovation (a new version every year!);
• to convince large accounts of its industrial credibility.

And today, most of our customers choose the Enterprise version.

Why? Because Enterprise features really make the difference, especially at the scale of a growing SME or a structured group.

It is also what allows Odoo to compete with giants… while keeping the flexibility and open source DNA.

In summary: a hybrid model, embraced and effective

It is not a compromise.

It is a balance.

Conclusion: a matter of understanding… and maturity

Odoo is open source.

But it does not pretend to be free everywhere.

It acknowledges that some advanced features are paid.

And it shows that an open source project can be profitable, credible, structured, and conquer markets.

The next time someone tells you:

"Odoo isn't really open source…"

You can answer, with a smile:

"It is, you just have to try to understand."

And if you want to go further in your thinking or in the implementation…