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GCC and Emacs famously followed similar models (the Cathedral model): developed behind closed doors, to be released as open-source when it's ready. Both eventually went full "Bazaar" model. I guess it depends on the personality and goals of the projects' maintainers. (I'm certainly not faulting Lua's creators for anything!)

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If you think about, a cathedral is a fine place to turn into a bazaar; but a bazaar would't make much of a cathedral...

Every time a liberally licensed piece of software (MIT, BSD, etc) is being compiled with changes to the orig. source code, and the source isn't released, a bazaar turned into a cathedral. This happened multiple times in history.

There is this great article[0] on the "Bazaar" on ACM[0].

[0]: https://queue.acm.org/detail.cfm?id=2349257

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