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The difference between the AGPL and traditional GPL is simple: The AGPL seeks to close a "loophole" that allows a company or organization to modify GPL'ed software and use it to provide a service — but without actually distributing changes.
GPL v3 License: The Basics Like the GPL v2, GPL 3 is a strong copyleft license, meaning that any copy or modification of the original code must also be released under the GPL v3. In other words, you can take the GPL 3'd code, add to it or make major changes, then distribute your version.
You can distribute your application using a GPL library commercially, but you must also provide the source code. GPL v3 tries to close some loopholes in GPL v2.
Assume the following:
You are developing a server side application in GPL. Now this application serves HTML and not an executable which is directly executed on your machine. That means that another guy could take the GPL code, adapt it and does not necessarily need to publish it. Ie. he can create the identical service using your software without violating the GPL. (Although THEN he cannot publish the software itself i.e. selling)
Not so with the AGPL.
This hole in the GPL is often called "Application Service Provider" hole.
Search for "Why AGPL" or "AGPL vs. GPL" or just read this for some real projects who have problems with GPL. The MongoDB tries another interesing thing. They want that people do not fork the core DB (thatwhy AGPL) but the driver which has to be linked with the main program is apache 2.0 licensed so that the mongoDB could be used within commercial application.
Public web application that uses the AGPL are listed at wikipedia.
See http://www.gnu.org/licenses/licenses.html#AGPL
The GNU Affero General Public License is based on the GNU GPL, but has an additional term to allow users who interact with the licensed software over a network to receive the source for that program. We recommend that people consider using the GNU AGPL for any software which will commonly be run over a network.
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