Software comes (and goes) in lots of flavours. For the average user probably not much more then a brand or style. For the creator, distributor, maintainer and programmers these flavours are of main importance.
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Proprietary Software
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Free Software (Free use of the application)
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Freeware (Free use of the application)
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Shareware (Continued use 'obliges' registration)
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Nagware (Continued use 'requires' registration)
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Crippleware (Has some build in 'defects')
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Firmware (Hardware specific utilities, mostly stored in a fixed memory)
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Hardware (Electronics to enable use of any software)
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Wetware (Procedures and structures in the (human)mind)
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Flatware (Table utensils for consuming food)
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Slackware (The very first collection of software to create a Linux Operating System)
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Free Software (Free use of the source code)
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Open Source Software (The Source code can be obtained)
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GNU (Gpl) Software (Licenced under GPL)
Shared Source Software
(Do not)
Proprietary Software
Software as 'sold' by the big commercial companies. You obtain the right to use one single instance of the software. In most cases the processed information with this software is still yours. Though you will need the Proprietary Software to alter anything or in some cases even to show it.
Freeware and free software
Software which costs nothing, and has no strings attached to do with cost. Mainly small personal projects such as games or simple utilities. Often distributed as an extra with other software, magazines and even with peanut butter. Take care free is not always free, when the distributor requires an email to reply you with an access key, they harvested a potential customers address. Most Trojan virusses are also 'freeware'!
Shareware
Software you can obtain and try before you have to pay the fee. Mostly it is just a symbolic amount of money, but it will get you in touch for comments, updates and occasionally spam. (Sometimes just an email will do!)
Nagware
Software pretending to be of great potential by showing you just a glimpse. Sometimes the functionality is limited to a certain time or times of use. After you registered you can find out what is behind the greyed out buttons. Often nagging to register (perhaps to pay, or to obtain a key code). The latter is becomming also not uncommon for 'Proprietary Software'.
Crippleware
Demonstration versions of software often still some basic functionality is left, but is will not be possible to use it in a normal manner. Also shareware with limited functionality is sometimes called crippleware.
Firmware
Software dedicated to certain hardware, often also stored in hardware memory. Distributed by the firm who made the hardware, well mostly. Hardware like graphical cards, disk-writers, modems and motherboards rely on the firmware to give any functionality. Be carefull with it, only upgrade if you need to, as the hardware will seize to function if something goes wrong. Make absolutely sure you have the firmware as meant for the hardware you want to upgrade. In most cases it is free, if not, let the supplyer perform the upgrade! Rarely stored on disk, mostly stored in ROM, PROM, EPROM, EEPROM, FRAM, BBSRAM or other exotic static memory hardware devices.
Hardware
What is any software whithout hardware? Just a sequence of ones and zeros. Required for use of any kind of software, even Free Software will not perform any task without the appropriate hardware.
Wetware
The other end of software, any program, any utility all have spawned off by a human mind. Despite patents, licences or whatever they invent to limit software. If you where unaware of the structure of these patented or licenced routines you may still use them for your own! If they are not covered by patents
Flatware
Software for performing basic maintenance functions like copying and deleting files. Creating files with short notes, remarks and such.
Slackware
The very first distribution of the Linux Operating System probably not the best one for newbees but surely worth a look for experienced system operators.
Free Software
Software free of restricting licences. In most cases the only restriction is that the software stays licenced by the same kind of licence.
Open Source Software
Software where you can obtain the source code, to see what it does, to find bugs or to learn how to write such program. Anyway the source of this software is available for reading, it is depending on the actual licence what you are allowed do with the source.
GNU (GPL) Software
Software licenced under the General Public Licence. In contrast to copyrighted software Gpl software is called copyleft as you can and even are encouraged to copy the software in all ways. Gpl software has one major restriction: it stayes Gpl software if you alter any part of the code.
Shared Source Software
Software source code you buy from the distributor and after doing so any part of software you produce by yourself can be copyrighted by that distributor. If they can show similarities between your program source and their source, which in their opinion is then a copy of their source. Simply: do not officially read, obtain or posess any of this evil stuff.