And, the winner is a dual EPL/BSD license:
The Project Steering Committee has accepted an RFC making uDig available under a dual BSD and EPL license. This is an excellent compromise between using BSD to share code with projects such as GeoTools, while retaining the protection afforded by the Eclipse Public License as we work with downstream Eclipse RCP projects.
--- original post 10/8/12 ---
I think I vaguely knew uDIG, that "other" desktop GIS that's not QGIS, was looking to join the Eclipse Foundation's LocationTech Industry Working Group. Eclipse (the project) is a software development environment used to build, among other things, uDIG.
Of late, the Foundation has been working in and around mapping. This group seems to be growing out of this work. To date some 24 organizations are looking at membership in LocationTech and OSGeo is involved, too. (See LocationTech FAQ.)
I actually learned about Eclipse when I first looked at uGID as a potential software package to use in a class. I chose to use QGIS in my class, in the end.
The news today is that in order to join the Eclipse Foundation, uDIGS must change its open source license to one that Eclipse recognizes. The choices are:
The Project Steering Committee is looking for user input.
For those still wondering how all this open source stuff "works," this is one example.