When a programmer develops code, it is treated as intellectual propertyProperty that is not material but that belongs to someone. Examples are design ideas, copyright and patents. and many programmers want to ensure that their code is not taken or used by other companies. To do this, programs are published alongside a licenceA legal agreement between the company that published the software and the end user covering areas such as copyright. which tells the user what they may and may not do with the code.
Companies may wish to keep their code private for a number of reasons, including protecting the development of new products, which may take months if not years to develop. If this code was taken, they may lose a significant amount of money from both the potential sales of the product and the time invested in development.