This paper shows a model à la Hotelling in which profit-maximizing firms use either an open or a closed
strategy to develop their software products. Only in the first case they can freely interchange information about
their R&D, and the spillovers are higher the closer they are.
What comes out is a clustering force that drives open firms to stay closer one another in the product characteristic
space and which lead to believe that a sense of community is essential to work for an organizational model that
is decentralized, modular and that cannot be planned in advance, like the Bazaar development model, used by open firms, is.