Earlier quoted context omitted.
> We realized soon that it's hard to monetize such [self-hosted product] Spot on. We iterated on a similar product in this space: "privacy preserving", "self-hosted", "open source" etc. But focused on local AI indexing & search of personal videos and photos [0], rather than backups. We ultimately shelved VideoNinja because we weren't able to find a sustainable business angle: * Non-technical people simply don't care…
Just put a price on it, ffs! Make it extensible with plugins. To gain 100% trust make it open source. I am happy to pay good money of a local, non-leaking AI based tagging software for video and photos.
I think until they've got a customer base and a proven model a happy median is to put the code in escrow and agree to give the source to paid licensees should the project be abandoned/more than x months without updates/whatever.