Commercializing means sell for profit. If a non-profit were to create a cracked version of Windows 7 with security updates and sell that for $200 an install that'd not count as commercialization. The idea here is that if Netflix took someone else's work and made a bajillion dollars off it they'd need to ask for permission and credit the original author.

I don't know if something still counts as intellectual property if it can be infringed upon except by for-profit entities.