What is the difference between proprietary, permissive and copyleft licences?
What you are permitted to do with the software, and — critically for the last of them — what you must do if you distribute your own version.
Proprietary. The copyright holder grants a limited licence to use the software under stated terms. Source code is generally not provided, modification is prohibited, redistribution is prohibited, and the licence may restrict how many people or machines may use it.
Permissive open source — MIT, BSD, Apache 2.0.
What they allow: use, modification, redistribution, and incorporation into proprietary products. You may take permissively licensed code, modify it, and ship it inside closed-source software you sell.
What they require: essentially only attribution — preserving the copyright notice and licence text. Apache 2.0 additionally includes an express patent grant and termination provision, which is why it is frequently preferred for commercial use over the simpler MIT.
Copyleft open source — GPL, AGPL, LGPL, MPL.
The defining requirement: reciprocity. If you distribute a modified version or a work incorporating the code, you must release your source under the same licence. The freedoms are preserved for downstream recipients, which is the entire purpose.
The gradations matter:
GPL — strong copyleft. Distributing a derivative work triggers the obligation.
LGPL — weaker. Designed for libraries, allowing proprietary software to link to the library without the obligation extending to the whole program.
AGPL — closes the network loophole. Under GPL, running modified software as a web service is not distribution, so no source release is required. AGPL treats network interaction as triggering the obligation, which is why many companies prohibit AGPL software internally.
MPL — file-level copyleft, applying only to modified files.
Why organisations care. Using copyleft code incorrectly in a commercial product can require releasing proprietary source, and licence compliance auditing is a standard part of due diligence in acquisitions.
Source-available licences — such as BSL and SSPL — permit reading and modifying the source while restricting commercial use. They are not open source by the accepted definition, and describing them as such is contested.