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Nick discusses the importance of understanding open source software licenses and how they define the rights you have over the code. He explains that some licenses are more permissive while others are more restrictive. He goes on to explore the most commonly used licenses for free and open source software, highlighting the rights they grant you. The video is sponsored by Linode, who is offering a hundred dollars to set up your own Linux or gaming server. Linode's app marketplace makes it easy to deploy a server with just a few clicks, making it suitable for both development and gaming environments.