GNU GPL license
Many of Linux applications and Linux kernel itself is released under GNU GPL license. GNU refers to GNU project and GPL stands for General Public License.
This license allows for free copying, distribution and modification of software.
All of the change of GNU GPL software must be released under the same license.
How do companies make money using this license?
Companies using this license are allowed to charge for support and consultant fees.
A big competitor for Linux is Microsoft Windows. It is paid product and many companies choose Linux because it is free.
One of the requirements of GNU GPL license is that software which is released under this license needs to make source code of it available as well.
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