The term was coined by @pketh in 2023 in his blog post “In Search of Organic Software”. TL;DR1: Businesses change when they take VC money.
Certainly, there were already terms like "Indie" and "Bootstrapped", but what do they really mean? The "organic" label for software means something specific:
Organic Software is software that...
- Has no external pressure (eg. from funding sources) to chase funding rounds, grow unsustainably, or to get acquired2
- Has a clear pricing page, discloses their sources of funding, and sources of revenue
- Doesn't make majority revenue from selling user data to third parties3
- 1 no really, you should read it. It's a good article!
- 2 bootstrapping, crowdfunding, grants, and angel investment are okay
- 3 added from the original by this site