D&D has never existed in a space where it lacked competition. We can read accounts going back to the very beginning and everyone has always been taking competition seriously. For example, the very first adventure was created by a third party, as was the first campaign setting. Those are good examples both of the benefits of competition and the existence of that competition. The competition was continual, from Wee Warriors (involving both competition and partnerships) to Numenera (involving former staff).
The fact that adventures and campaign settings were created by 3rd parties at the beginning actually shows that liberal licensing is a benefit and was, at that time, alive and well. TSR later clamped down on that - as big corporations are (mistakenly, in my view) wont to do.
Wee Warriors and Numenera I actually don't agree are competition for D&D. They are part of the "roleplaying hobby", for sure, but they don't really steal sales from D&D IME. They sweep up those seasoned gamers who want something different from D&D - and who, if they still want D&D as well - will buy both. After all, compared to a hobby like golf, roleplaying is cheap even if you buy three or four systems (or, speaking personally, many more than that!)
This has never been a monopoly, though D&D has been dominant for the majority of its history. What is interesting about Paizo is that it is providing another D&D. As a good friend of mine is fond of saying, "I'm not sure it is good for the industry's top games to be D&D and D&D." Until very recently (thank you, Kickstarter), D&D and Pathfinder were so utterly dominant that all other systems were practically indie games. It wasn't good for the industry, because Paizo and WotC don't greatly benefit from cross-pollination. While they often intermix staff (a good example is Chris Sims, who worked at WotC, then at Paizo, then at WotC), the games are too similar and too rooted to truly inspire one another.
Pathfinder is, indeed, competition for D&D - and, like most competition, I think it's very healthy (even though I have no desire to run Pathfinder or 3.x again, personally).
It is really only the recent arrival of Kickstarter that has created a platform for other games to attract greater notice. Of perhaps equal importance has been D&D Next. By creating a long playtest period it has encouraged many groups to consider options and play other games in addition to just D&D. We see that effect even with Paizo supporters, and it's a very healthy thing.
Kickstarter has been a great boon to creative competition all around, but I think that is a separate and not-really-related issue to the OGL.
All of this is different from saying that an OGL is good because it challenges DnD. I really don't think it does. Wizards sees plenty of different freelancers, both new blood and old d20 contributors. It isn't missing out on seeing new ideas for D&D. Having an OGL wouldn't somehow change 'monopoly status', both because it isn't a monopoly and because if anything a dominant OGL would again hurt gaming by making DnD too big a thing compared to other games. As an example, consider when Call of Cthulhu, Legend of the Five Rings, Star Wars, and many other RPGs all went d20. While there were some good aspects to that, the majority of fans of those games will point to a non-d20 edition as their favorite. And every one of those games moved away from d20 to better represent their game. (Spycraft is doing so with its excellent upcoming third edition).
The OGL challenges the
manipulation (or "management", if you will) of D&D, rather than D&D itself, precisely because it means older "editions" can be kept alive by fans. This is what I think is profoundly healthy. The OGL enabled the OSR movement as well as Pathfinder, remember.
You made a number of points about free trade and the like, but they all rest on the concept that an OGL creates competition and new ideas, which I dispute. Especially as compared to a landscape where there is a single D&D with different RPGs rather than A) everyone writing for d20 or B) D&D and Pathfinder dominating. My hope is that D&D can be a great flagship brand for the hobby while other very different compelling RPGs provide a strong competition and influence. Either not having an OGL or having a restrictive OGL would help create that competition.
It's not the "generation of new" part of evolution that I think the OGL supports - it's the "fitness for purpose" part. Good evolution relies on two pillars - mutation (i.e. introduction of new ideas) and
natural selection. The creator killing off old designs because they are inconvenient to their business plan is NOT in any sense "natural". Once made, creative products should be left available to thrive or die on their own merits - that is the basis of evolution. And it is what the OGL promotes. The tragedy of 4E will be if, instead of being left available to continue or wither according to its continued popularity it is made unavailable and arbitrarily "killed" to make way for DDN.
I don't buy this at all. 3.5 was dying a certain death when WotC started 4E. We were deep into "Complete Adventuring Companion" type of material. There was practically nothing left to sell, and fans had been clear that they didn't want another minor edition change (they hated the .5). Sales were dropping and there was nothing left to offer gamers. Even books like the Book of Nine Swords were doing poorly, from all accounts. Importantly, the d20 market did nothing to change this. Nothing at all. It was not vastly pumping up the sales of core books at that time to where WotC could sit back. It was not creating amazing innovation that reinvigorated the market. Not at all. Instead, the only thing that reinvigorated the market was Wizards leaving it. Only when fans were faced with having to play a very different edition were they able to be open to accepting a 3.75. And that was only possible due to the OGL.
If 3.x was dying it seems to me it was because WotC wasn't being imaginitive about where they could take it. Paizo have done a bang-up job in that department.
I suppose part of my difference of opinion with you is that I think we really only saw the early days of the OGL with 3.x. It was a seismic shift in the marketplace and was always going to take years - maybe decades - to really play out, IMV. Sure, early on, it caused a majority of the RPG "industry" to hop on its bandwagon, but that was really coming to an end before 4E was announced. The (inevitable) cruft had been mostly winnowed out and the new enterprises were beginning to branch out into developing new systems of their own devising. Kickstarter has accelerated that by reducing massively the risk inherent in such a move, but it was in its initial stages already, AIR. And Storygames and such were initiated on the OGL's watch, besides.
I'm fairly certain had Paizo NOT come along and produced Pathfinder I probably wouldn't be gaming any more. Instead I think I'm spending more money on RPG stuff than I've spent since the early days of 3E. Monthly AP sub, the RPG sub, the occasional cards, Player's Companion and Module purchase. On top of the Card game and mini's and pawns. That's money that's not going to WOTC true but it wouldnt have been going to ANYWAY.
Not a reply to [MENTION=9213]ShinHakkaider[/MENTION], but I see this as evidence for what I'm saying above. Competition to D&D doesn't come from other RPGs - it comes from other editions of D&D. That's simply the way it is; other RPGs are played by those who either dislike D&D or are invested enough in the hobby to play (and buy) multiple RPGs. This really is a case of "I disagree with what you (ShinHakkaider) like, but will defend to the death your right to like (and be able to buy) such stuff
