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this does not address the OSS / proprietary choice though. e.g., there are companies providing support for Moodle. it is service that must be paid somehow, whether through internal staff, external partners or a proprietary software vendor as an additional offering.

The mystery is why they wouldn't amortize the development costs of the platform across the vast number of institutions, creating an ecosystem where smaller edtechs could provide niche customizations via plugins etc.