I've been employed by the University of Helsinki, and they've been perfectly happy to keep me employed and doing Linux.
Before the commercial ventures, Linux tended to be rather hard to set up, because most of the developers were motivated mainly by their own interests.
Most good programmers do programming not because they expect to get paid or get adulation by the public, but because it is fun to program.
That's what makes Linux so good: you put in something, and that effort multiplies. It's a positive feedback cycle.
The cyberspace earnings I get from Linux come in the format of having a Network of people that know me and trust me, and that I can depend on in return.
The fame and reputation part came later, and never was much of a motivator, although it did enable me to work without feeling guilty about neglecting my studies.
The Linux philosophy is 'Laugh in the face of danger'. Oops. Wrong One. 'Do it yourself'. Yes, that's it.
I've never regretted not making Linux shareware: I really don't like the pay for use binary shareware programs.
Shareware tends to combine the worst of commercial software with the worst of free software.
You won't get sued for anticompetitive behavior.
See, you not only have to be a good coder to create a system like Linux, you have to be a sneaky bastard too.
Programmers are in the enviable position of not only getting to do what they want to, but because the end result is so important they get paid to do it. There are other professions like that, but not that many.
People enjoy the interaction on the Internet, and the feeling of belonging to a group that does something interesting: that's how some software projects are born.
Software is like sex: it's better when it's free.
My name is Linus, and I am your God.