What is the role of licensing audits in open-source?

Licensing audits in open-source ensure that organizations comply with the legal terms of the software they use. Open-source licenses vary widely in their requirements: some, like the MIT License, only mandate attribution, while others, like the GNU GPL, require derivative works to be open-sourced under the same license. Audits systematically review a project’s codebase, dependencies, and documentation to verify adherence to these terms. For example, using a GPL-licensed library in a proprietary product without releasing the source code would violate the license, exposing the organization to legal risks. Audits help identify such issues early, allowing teams to resolve them before they escalate.

Beyond legal compliance, audits also protect an organization’s reputation and relationships within the open-source community. Developers and companies that contribute to open-source often rely on others to respect their work’s licensing terms. Failing to comply—such as omitting required copyright notices or not sharing modifications—can damage trust and lead to public disputes. For instance, in 2021, a major tech company faced backlash after an audit revealed improper use of Apache-licensed code without proper attribution. Regular audits demonstrate a commitment to ethical practices, fostering goodwill with contributors and users. They also prevent scenarios where non-compliance becomes public, which could harm partnerships or customer trust.

Practically, audits involve tools and processes to catalog dependencies and their licenses. Tools like FOSSology or SPDX generate software bills of materials (SBOMs), listing components and their obligations. During an audit, teams cross-reference this data with project documentation and distribution methods. For example, a team distributing a closed-source application might use an audit to confirm all copyleft-licensed components are isolated or properly licensed. Audits are also critical during mergers or acquisitions, as they reveal potential liabilities in a codebase. By integrating audits into development workflows—such as during CI/CD pipeline checks—teams reduce risks proactively, ensuring compliance becomes a routine part of the process rather than a reactive scramble.