Michael R Sweet, the creator of CUPS, revealed that Apple acquired the ownership of the CUPS source code and hired him on board in February 2007.
CUPS was developed under GPL2/LGPL2 license, commonly used for free and open source software. Apple will continue to offer CUPS through the same licensing scheme.
Apple uses CUPS for part of the printing system in Mac OS X, and with the purchase of the source code, that isn't likely to change.
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