While I agree with most of your points, @mikegerwitz , I disagree on Heartbleed/Shellshock being examples of failure in Linus's law. In fact, they demonstrate the obverse of Linus's Law, thus being a mark in favor of Linus's Law.
The obverse of Linus's Law is: If no one's looking, all bugs are impossible to find.
There's clearly a spectrum between "no eyeballs" and "enough eyeballs", but both openssl and bash suffered from not enough eyeballs.
cc @fsf
FLOSS licensing *allows* anyone to audit the software, but it doesn't ensure that anyone looks at it, let alone does any kind of in-depth audit. Most FLOSS developers I know don't even know what "security audit" means.
Both openssl and bash were developed *for years* by small, under-resourced teams and not given any in-depth security review. People just assumed they were reliable because they "always had been".