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IBM Doesn't Comply With SCO's Deadline

prostoalex writes "IBM refused to settle with SCO and comply with their deadline, expiring Friday the 13th. "We've got a strong defense case, and we're going to fight it", IBM representative is quoted."

67 of 593 comments (clear)

  1. I hate to say... by Associate · · Score: 5, Insightful

    I hate to say this, but who actually thought IBM would give in to this undersized bully?

    --
    Someone hates these cans.
    1. Re:I hate to say... by littlerubberfeet · · Score: 5, Insightful

      well, they didn't give in...

      IBM has been around for over 50 years now...They have a DoJ sized legal department that is now out for blood.

      My money is on Big Blue

      --
      Sig (appended to the end of comments you post, 120 chars)
    2. Re:I hate to say... by norwoodites · · Score: 4, Informative

      50 years, more like 100 years, it was called something different 100 years ago but still the same IBM. It made counting machines used for the census.

    3. Re:I hate to say... by James_Duncan8181 · · Score: 4, Insightful
      I hate to say this. I have good karma and it makes me sound a bit immature. But...

      Suck it up bitches, I'm looking forward to seeing IBM rip you into small pieces and feed you to the dogs. I only hope that considerable finacial harm can also come to Daryl et al personally.

      And I don't think I'm alone in this viewpoint.

      --
      "To any truly impartial person, it would be obvious that I am right."
    4. Re:I hate to say... by tartanblue · · Score: 5, Informative

      Yeah, it used to be called Computing-Tabulating-Recording Company back in 1911. CTR merger in 1911

      --
      TartanBlue
    5. Re:I hate to say... by EvilAlien · · Score: 4, Interesting

      You absolutely aren't alone... I think it is safe to say that SCO is well on its way to being the most hated company in the IT sector. Microsoft, step aside, there is a new whipping boy in town.

      --
      perl -e 'print $i=pack(c5, (41*2), sqrt(7056), (unpack(c,H)-2), oct(115), 10)'
    6. Re:I hate to say... by kasperd · · Score: 5, Insightful

      SCO is well on its way to being the most hated company in the IT sector. Microsoft, step aside

      Maybe SCO can suceed on becomming the most hated company. But I don't think they suceed on becomming the most dangerous company however hard they try. If SCO loose the case, there'll probably be nothing left. So we can laugh at them and go back hating Microsoft.

      --

      Do you care about the security of your wireless mouse?
    7. Re:I hate to say... by saden1 · · Score: 4, Insightful

      IBM is the result of a merger between three companies and those companies that spawned IBM existed since 1890's. IBM is one of the true Blue Chip companies in the world and there is no place safer to put you money.

      --

      -----
      One is born into aristocracy, but mediocrity can only be achieved through hard work.
    8. Re:I hate to say... by RoLi · · Score: 5, Interesting
      You absolutely aren't alone... I think it is safe to say that SCO is well on its way to being the most hated company in the IT sector. Microsoft, step aside, there is a new whipping boy in town.

      Given the fact that Microsoft is financing SCO's anti-Linux crusade (or do you really believe that they pay millions for a license they don't need?), I can't agree with you.

    9. Re:I hate to say... by sql*kitten · · Score: 5, Insightful

      IBM even made machines that were sold to Nazi Germany before WW2 and used to administrate the execution of Jews. Or so I heard.

      They sold census-tabulating machines, that's true. It's not as if the Germans said "Hi, we'd like some machines to help us exterminate Jews please". Every nation takes censuses periodically, so there was nothing to raise a red flag.

      You can't blame IBM for this, otherwise it just gets ridiculous... after all, Ford isn't responsible if a bank robber makes his getaway in a Ford truck, is it?

    10. Re:I hate to say... by noahm · · Score: 4, Interesting
      (Conspiracy theorists are no doubt convinced that there's GPL code in it as well. Maybe they're right, who knows?)

      Before somebody out there calls me an idiot or worse, let me reply to my own comment and say that I've since noticed that yes, Services for Unix definitely does include GPL code. In binary and source form, per the license.

      That's right. Microsoft actually ships GPL code and complies with the license.

      noah

    11. Re:I hate to say... by cgleba · · Score: 5, Informative

      The part of IBM that has been around since the 1890s is Hollerinth:

      http://www.cs.nyu.edu/courses/spring00/V22.0004- 00 2/history/hollerinth.html

      The US Census was the birth of the punch card and indirectly, what we know of as IBM.

      IBM history is really fascinating. For instance, in the great depression Watson made the same mistake as Henry Ford -- over-production. IBM would have struggled hard like Ford did if it wasn't for Roosevelt's New Deal (which, incidentally, needed a *lot* of tabulating machines to account for it all).

      I could go on and on, but I suggest you get a good book such as "Computer: History of the Information Machine". The history of the computing industry is much like a geek soap opera.

    12. Re:I hate to say... by flacco · · Score: 4, Insightful
      Ah, yes, that was Adolf Eichmann's defense, wasn't it?

      Yes, well, maybe, but until you've actually died rather than do something against your will, would you mind dropping the air of superiority?

      --
      pr0n - keeping monitor glass spotless since 1981.
  2. place your bets!! by tucolino · · Score: 5, Funny

    Third round!! 50 bucks on IBM!!!

    1. Re:place your bets!! by corsec67 · · Score: 5, Funny

      Well, considering that IBM has (more) money, and that their busines plann isn't:
      1. Sue
      2. ???
      3. Profit?

      I think that we all will agree that IBM just about has to win this case.

      --
      If I have nothing to hide, don't search me
    2. Re:place your bets!! by alexre1 · · Score: 3, Funny
      Lol, it's more like

      1. Annoyed by annoying fly buzzing around
      2. Swat annoying fly
      3. Profit?

      Hehehe
    3. Re:place your bets!! by Rob.Mathers · · Score: 3, Interesting

      However, unlike other prominent lawsuits in the tech world, IBM actually has more than just a money-tree with which to pay lawyers. They actually have the law on their side (assuming that all the indications are correct and SCO's claim is BS, which I would rate at atleast 95% chance).

      --

      My other sig is funny!
    4. Re:place your bets!! by jo_ham · · Score: 4, Funny

      It's Ali in the ring.

      First round, first minute.

      SCO just lost 50 brain cells thanks to walking into IBM's fist.

      They're 49 brain cells in debt now.

    5. Re:place your bets!! by Wavicle · · Score: 5, Insightful

      I'm rather suprised more people aren't mentioning this. IBM has bankrupted more than one smaller fish in the past who tried to play them in the court room only to find themselves under a mountain of patent infringement lawsuits months later.

      When it comes to litigation, IBM is a prize fighter who knows where to hit and knows to hit there very hard.

      So there are three possibilities as I see it:

      1) SCO wants to be bought out. Darl McBride has mentioned this in the past as being a reasonable thing for SCO's shareholders.
      2) SCO wants a token settlement from IBM to use as a weapon for suing other companies who have Linux deployed without a Unix license.
      3) SCO has a solid foundation to their case.

      Hiring a well-known lawyer like David Boies (ahem, didn't the justice department win the battle but lose the war in their anti-trust suit against microsoft??) seems to imply either #1 or #2. Giving "experts" very small selections of code (80 lines?? give me a break!) for media propaganda suggests either #1 or #2.

      I guess agree with what you closed with, SCO probably doesn't even have a case to begin with.

      --
      Education is a better safeguard of liberty than a standing army.
      Edward Everett (1794 - 1865)
  3. and in other news by Anonymous Coward · · Score: 5, Funny

    On Friday the 13th a black cat was found dead at SCO underneath a broken mirror.

    1. Re:and in other news by davidstrauss · · Score: 3, Funny
      On Friday the 13th a black cat was found dead at SCO underneath a broken mirror.

      ...under a ladder. (Throws salt over shoulder)

  4. IBM vs SCO Poker Game by ticklemeozmo · · Score: 4, Funny

    SCO: I bet "Friday the 13th"
    IBM: I call.
    SCO: Umm..*looks at cards*
    IBM: *smiles*
    to be continued...

    --
    When modding "Informative", please make sure it both has a source and IS actually informative.
  5. An IBM lawyer... by sql*kitten · · Score: 4, Funny

    ... was later heard to comment, "Ha ha ha, they are SOOOO dead".

    1. Re:An IBM lawyer... by p0ppe · · Score: 4, Funny

      I believe that would be, "Ha ha ha, they are SCOOOO dead".

      --


      "Democracy is three wolves and a sheep voting on what to have for dinner."
  6. Sick of this crap... by telecaster · · Score: 4, Insightful

    I'm sick of the money grubbing BS that's hovering around this case. It's clear that SCO is using the "open" in open source to try and challenge an IP issue because they know the court's never seen anything like this before. Also, the fact that M$ injects money into SCO is really suspect and deserves and out right investigation, because EVERYONE knows they [SCO] wouldn't be paying lawyer's for this FUD if they didn't have the cash.

    Everyone here knows that Linux is kicking the shit out of Microsoft on the server, and they [M$]know it's not long before it starts cutting into their desktop margins.

    This stuff is making me sick. It's a joke, it's friggin' "high-tech ambulance chasing".

    I can't wait until they lose and I hope IBM find's something suspect in the case so that they can reveal the true evil behind all this...

    1. Re:Sick of this crap... by KDan · · Score: 4, Insightful

      To be honest I hope IBM counter-sues and sues Microsoft for being a party to this lawsuit by their blatant money-injection. That must be illegal in some way.

      Additionally, I must repeat what has been said before.. "I won't at all feel sorry for SCO when they get completely trashed in court." Also I think this whole case shows how desperate Microsoft has really become to try to spread FUD about linux, to resort to such crude and ineffective methods.

      Daniel

      --
      Carpe Diem
    2. Re:Sick of this crap... by Mostly+a+lurker · · Score: 4, Insightful
      To be honest I hope IBM counter-sues and sues Microsoft for being a party to this lawsuit by their blatant money-injection. That must be illegal in some way.

      I wish that too, but it will not happen, unless direct collusion can be proven. I doubt it ever will. Remember, MS has the best, most experienced legal team in the business (they need it). There is no way to prove that they gave SCO money to pursue the case, even though that is almost certainly true.

    3. Re:Sick of this crap... by gini_ · · Score: 3, Interesting
      I wish that too, but it will not happen, unless direct collusion can be proven. I doubt it ever will. Remember, MS has the best, most experienced legal team in the business (they need it). There is no way to prove that they gave SCO money to pursue the case, even though that is almost certainly true.
      They also seem to have the most arrogant and incompetent management in business. All that is needed is an innocent admission from SCO managers that MSFT actually engouraged them to pull this stunt in some meeting and a *huge* pile of crap will hit the fan.
  7. Who are we cheering for? by cperciva · · Score: 4, Interesting

    I'm a bit confused here... do we want SCO to win, or do we want SCO to lose?

    Ok, SCO is a bunch of scumbags, so obviously we don't want them to win.

    On the other hand, if SCO loses, it will send a strong message to the world: "Stay away from anything GPL, or you'll find your proprietary code taken away from you."

    I'm really not sure which outcome would be worse.

    1. Re:Who are we cheering for? by rking · · Score: 5, Insightful

      On the other hand, if SCO loses, it will send a strong message to the world: "Stay away from anything GPL, or you'll find your proprietary code taken away from you."

      If SCO lose because their rights have not been infringed upon, as seems likely, then that doesn't say anything bad about the GPL at all. How could it?

    2. Re:Who are we cheering for? by LordLucless · · Score: 4, Insightful

      IBM has contributed to Open Source far more than SCO has. If SCO wins (*snort*) the message being sent will be "Don't contribute to Open Source; you never know whose gonna claim that the code you submitted was really theirs".

      Nope, this is a no brainer, IBM all the way.

      Go blue!

      --
      Just because you're paranoid doesn't mean there isn't an invisible demon about to eat your face
    3. Re:Who are we cheering for? by dachshund · · Score: 5, Insightful
      On the other hand, if SCO loses, it will send a strong message to the world: "Stay away from anything GPL, or you'll find your proprietary code taken away from you."

      And if SCO wins, it'll send a message to the world that you can't trust any GPLed product, because a contributor might suddenly determine that, oops, some of the code in it was "unintentionally" released-- and therefore, you never really had a license to use/distribute it in the first place.

      Of course, you really have to break this case into four separate decisions:

      1) Did IBM steal proprietary code from SCO in violation of an NDA, and include that code in their Linux release?

      2) Does SCO even own the copyrights to that code, or do they still belong to Novell, in which case the determination in (1) may or may not be important.

      3) Assuming (1) and (2) break in favor of SCO, does SCO have the right to sue Linux end-users for posessing/distributing Linux code, even if the end-users didn't know they were breaking the law? This turns on...

      4) Does SCO's distributing their own version of Linux (under the GPL) invalidate any copyright claims they might have made on code that was (without their knowledge) included in the Linux codebase? In other words, if you steal my code and hide it in a corner of the Linux kernel, can I legally be deprived of my rights to it just because I distributed a copy of Linux?

      Quite frankly, the best outcome is for SCO just to drop this nonsense.

    4. Re:Who are we cheering for? by dcavanaugh · · Score: 4, Insightful

      Very simple: SCO must die. Their downfall is not so much GPL as it is the overdependence on old technology that is now commoditized. Just how many dollars were they expecting to squeeze out of Unix, anyway?

      Would you have sympathy for M$ if their DOS business was threatened by FreeDOS, or would you tell them to grow up and spend a few dollars on R&D?

      I find it ironic that SCO/Caldera is the first company to be killed by Linux while simultaneously failing as a Linux company. Good riddance.

  8. Drama by Anonymous Coward · · Score: 5, Funny

    Who needs drama/soaps on tv when you have a show right here..

    SCO and IBM's marriage isnt going well.
    SCO says IBM is cheating with another OS.
    SCO files for divorce.
    SCO takes IBM's keys to the house away
    IBM fights for the house.

    Oh how I will tune in next week to see what happens.

  9. SCO stock at 28 month high by 26199 · · Score: 4, Interesting

    It seems the Friday deadline looked good to traders, the stock price jumped... Yahoo has an article, written on Friday, about the jump.

    Any bets on what happens to the stock price on Monday?...

  10. I'd like to comply ... by jc42 · · Score: 5, Funny

    Since I don't have the money to defend myself in court like IBM, I'd really like to comply with SCO's claims that not just linux, but a lot of other software infringes on SCO's claimed copyright. I'm just a bit puzzled as to how I might go about this.

    For example, I'm looking at a line of code in one of my GPL'd programs:

    i += j - n;

    Does this infringe on any code claimed by SCO? How would I know?

    The only way I can think of is that SCO should send me a copy of their code. I can easily write a little perl script that will compare every line of my code with every line of theirs, and I can rewrite anything that seems to be infringing.

    Can anyone think of another way?

    Since my code is GPL'd and on my web site, SCO could do it themselves. But they are probably pretty busy, so I'd rather do it myself. Anyway, recent history shows that when they find infringing code, they don't send the programmer a nice message so the code can be changed. SCO just sues them for big bucks. I'd much rather avoid this threat, and save them time, by eliminating any infringements myself.

    SCO doesn't need to send me their code. If someone at SCO would just package it up in a few .tgz files and post the URL here, I can download it and take care of it myself.

    Eagerly awaiting the URL ...

    --
    Those who do study history are doomed to stand helplessly by while everyone else repeats it.
    1. Re:I'd like to comply ... by Jaghound · · Score: 5, Interesting
      i += j - n;

      Does this infringe on any code claimed by SCO? How would I know?

      I guess your post was written as a joke, but I am going to write a serious answer.

      "It's the comments, stupid!"

      If you read the what the reporters said about the code they were shown under NDA, they explicitly stated that they thought the code was identical because of identical comments. As comments serve no real purpose from the compilers point-of-view, chances of two comment lines taken from two different projects should be about zero.

      Interesting comparison comes from world of chess, where the reconrding of moves can _not_ be copyrighted (because nobody could then play those moves again), but the comments on those moves (like in a book) _can_ be.

    2. Re:I'd like to comply ... by norwoodites · · Score: 3, Interesting

      I thought the Judge in the case of Bell Labs (Novell) vs BSD said that comments did not matter when it came to copyright terms dealing with code?

    3. Re:I'd like to comply ... by MrHanky · · Score: 4, Funny
      Does this infringe on any code claimed by SCO? How would I know?

      You can't. It could be obfuscaped, like some of the infringing code is, according to SCO. Now, I'm an expert crypotgrapher, so I know all there is to know about obfuskation (sp?). The most advanced crypot known to man is rot-13, which is unbreakable, at least for people who can't read or write. I did a crypotanalysis of the Linux kernel, and found nasty elements pretty fast:
      linux-2.4.21/fs/ufs/inode.c: ptr -= 1 << (uspi->s_apbshift + uspi->s_fpbshift);
      To the untrained eye, this means nothing, but using rot-13 on the letters s, c and o shows that s_fpbshift is actually s_scoshift!!! Very clever: it actually shifts code from SCO to FPB (probably a notable figure in the open source community, as only the best get to have three letter words for names). It looks like IBM is doomed, guys.
  11. Has Slashdot reported this? by beldraen · · Score: 5, Informative
    It appears SCO is expanding their threats to everyone else.

    Linux software companies could also become SCO targets. "Do we have potential issues with Red Hat, SuSE and other commercial Linux distributors--yes, we might," Sontag said, adding that chances for negotiating with such companies appear to be slim.

    --
    Bel, the mostly sane.. "Of course I can't see anything! I'm standing on the shoulders of idiots." -- Me
  12. This really reminds me... by RyanFenton · · Score: 5, Interesting


    Of a case involving MCA Universal, Nintendo and Donkey Kong.

    It ends up Universal didn't actually OWN the rights to Donkey Kong, but bullied several companies, and sued Nintendo anyway... and ended up paying 1.8 million for the trouble.

    Ryan Fenton

  13. You're assuming ownership... by TheConfusedOne · · Score: 5, Insightful

    ...of something strongly in doubt.

    First off, SCO has to prove that the code in question is in fact "theirs". Considering the rather incestuous family tree that is UNIX that is not so cut and dry.

    Additionally, there are allegations that SCO has been helping themselves to GPL'd code without credit or redistribution.

    No, the thing we're learning here is that if you really have an IP case against Linux or another GPL project than just be right out in the open. Document the code and PROVE your case. Don't hide behind lawyers, NDA's, horribly out of context quotes and vaguely threatening letters.

    And, oh yeah, it helps if you can at least stick to one story for greater than a week.

    --
    --- I wish I could hear the soundtrack to my life. That way I'd know when to duck.
  14. Sad and tragic by christurkel · · Score: 5, Interesting

    SCO can't compete with Linux. Its UnixWare OS, while a fine middle level server OS, doesn't have the the scalability, hardware support or applications that Linux has. They know it. SCO couldn't make money selling its own Linux.
    So, it does what M$ could only dream of: launch a self destructive lawsuit in a last, desperate gasp of trying to save its business and destroy Linux, unleashing the greatest FUD attack witnessed yet. People are scared. M$, with its "license" pulls the strings, and watches with glee. "I told you so!" M$ will say. "You can't trust open source!"
    SCO needs to be destroyed. No bought or settled with, but crushed, utterly and completely. What they have done is unethical, immoral and (hopefully) completely without legal base.

    --

    CDE open sourced! https://sourceforge.net/projects/cdesktopenv/
  15. I just want to know by anthony_dipierro · · Score: 4, Interesting

    When is the class-action countersuit going to begin?

  16. Power through copy eh? by TheConfusedOne · · Score: 3, Interesting

    You mean like Beowulf clusters? (Who were those copied from?)

    Puh-leeze. Any Operting System has to have certain features and capabilities. Of course there's going to seem to be some copying involved because everyone's working to the same goals.

    There is NO advantage to SCO successfully prosecuting this case. First off, the "IP" that they're claiming and trying to protect so jealously is something that they bought fourth hand. They didn't even create it themselves.

    Second, they've been gladly trying to make a business from others' IP and when that didn't work out they suddenly decide that they need to pursue licensing?

    Licensing IP advances nothing. It's just making everyone pay over and over again for the same damn thing. To make matters worse they're pursuing this with all the class and aplomb of any eight-year-old shouting "I'll just take my bat and ball and go home!"

    --
    --- I wish I could hear the soundtrack to my life. That way I'd know when to duck.
  17. They're putting the UD in FUD by CPT+Carl · · Score: 4, Interesting

    Directly from the article:

    " The dispute between SCO and I.B.M. has not yet slowed the advance of Linux in the marketplace, according to industry executives. But the prospect that the suit may linger indefinitely can only add to the anxiety of corporate technology buyers.

    "They're really concerned," noted George Weiss, an analyst at Gartner. "The significance of this case is unclear, but there's no question it has gotten the attention of people." "

    SCO & MS are injecting some good ol' fashion Uncertainty & Doubt into the minds of corporate IT people considering a Linux project with IBM. Both SCO & MS have nothing to lose by bringing this case.

    Win: They get some $$ and stop IBM's new Linux business strategy
    Lose: They spread enough UD around to make buyers hesitate, thus still stopping IBM's Linux business.

    --
    THIS SPACE FOR RENT Call 1-800-555-CARL
  18. Re:I fear that IBM will win. by Anonymous Coward · · Score: 5, Informative

    > Modern OSS lack original ideas.
    No it doesn't. Look at GNU Radio. You can use it to decode HDTV signals. Try finding non-free software that does the same thing. The linux kernel has VFS (Virtual Filesystem Switch) which acts as an abstraction layer allowing you to mount and use many different file systems in the same way. That's pretty original. Look at OpenBSD. It has encrypted swap space and random pids. What other OS has that? Look at apache. Before apache you couldn't have more than one website per box. Look at Gnutella, it was the first distributed p2p software ever. And the list goes on....

  19. Xenix by -*MadMax666*- · · Score: 4, Interesting

    Correct me if im wrong but didnt SCO aquire Xenix from microsoft some time in the eighties, Xenix then becoming SCO OpenServer. I wonder if this is a reason microsoft and SCO seem to be such good chum's. Also wouldnt it be embarasing if code from what was Xenix turned up in Linux!

  20. Win or lose? by mindstrm · · Score: 5, Interesting

    If IBM illegally copied code that rightfully belonged to SCO,and is large enough to warrant real copyright protections, and it made it's way into linux, then we want SCO to win against IBM, and we want SCO to do the right thing, which is let us know which code it is so the linux world at large can work to remove that code from future versions.

    Furthermore, realize that we aren't obligated to remove it immediately; even if IBM copied it into, say, OS2, their customers would not be obligated to uninstall their software. SCO can claim damages, but claiming control over all of linux sure isn't going to happen.

    On the other hand, if scos claims are really baseless, we want them to die, because they suck.

  21. I had to laugh. by fidget42 · · Score: 5, Funny

    To date, SCO has signed new licensing deals with two companies. One is Microsoft; the other has not been identified.

    Could the other one also be Microsoft? Just thinking.

    --
    The dogcow says "Moof!"
  22. If you own SCOX stock, you'd better read this. by GreatDave · · Score: 4, Interesting

    Friends, I have seen the future.

    The SCO Group has three core businesses now. One is OpenServer and UnixWare, which as we all know, suck to high heaven and have never had more than 2% market share in the Unix market. They also hav-- er, had their UnitedLinux offering, but now that we have discovered just how much Darl McBride hates Linux, it's safe to say that SCO OpenLinux is history.

    That leaves us with SCO's newest business: SCOsource, their gambit in the lawsuit industry. Now, every time I think about SCO and the lawsuit and the questions being raised, I am reminded of a certain Texas energy trading company that is no longer among the living. SCO can't even confirm how much Unix IP they actually own. Novell says they have the patents as a certainty and some of the copyrights as well, and SCO won't say what they actually own. Meanwhile, SCO says that SCOsource is a key business unit, allowing them to record their extortion fees as regular income, suddenly making them a "profitable" company.

    Consider Enron. They inflated their revenues by trading energy that didn't exist and raping their customers for doing so. Now look at SCO. They're suing their customers, claiming infringement of IP that may not exist (they certainly won't confirm or deny the existence of it!).

    You'd think investors would have learned from the Enron incident, but nope. SCOX is over $10 for the first time in its history, and McBride and his FUD-spewing lawyer-demons are just waiting for the perfect opportunity to cash out. I just pray that justice is done and that this fscked-up company will be wiped off the face of the planet.

    --
    "I am root. Bow before me." To this I say, "You are root, and you bear the sins of the world upon your shoulders."
    1. Re:If you own SCOX stock, you'd better read this. by minkwe · · Score: 4, Interesting

      Check this out ...
      My goodness, did people read the latest 10Q?

      You know those licensing deals that gave SCO its
      first quarter in the black? It issued 210K options
      at strike $1.83 to one of the licensees, priced them
      at half a million and accounted for it by reducing their
      license revenue!

      Those options are 2 mio in the money now and the
      owner will be looking to dump. Did you check out
      the insider trades info?

      People, you are being majorly scammed!

      http://biz.yahoo.com/e/030613/cald10-q.html

      http://biz.yahoo.com/t/S/SCOX.html

      " In connection with the execution of the first license agreement, we granted a warrant to the licensee to purchase up to 210,000 shares of our common stock, for a period of five years, at a price of $1.83 per share. This warrant has been valued, using the Black-Scholes valuation method, at $500,000. Because the warrant was issued for no consideration, $500,000 of the license proceeds have been recorded as warrant outstanding and the license revenue reduced accordingly."

      --
      "Fighting terrorists with millitary might is like killing a mosquitor on your Dad's forehead with a rifle."
  23. Re:I fear that IBM will win. by alienw · · Score: 4, Insightful

    How the hell did this teenage troll get modded up? In case anyone actually believes he has a valid point (even though he can spell neither 'hobbyist' nor 'bogus'), here is a little rebuttal.

    First, OpenBSD is probably one of the LEAST innovative software projects. It has to be -- innovative means untested, which usually means insecure. Hardly appropriate for a system which strives for the ultimate in security.

    Second, SCO's claims have nothing to do with originality of ideas. They have everything to do with alleged code theft. You will have that problem in any open-source project, period. If it's actually innovative, you may also run into patents, which are much more of a problem.

    Third, nobody wants "innovative" software, if innovative simply means "different". This is the fundamental difference between a computer science research project and enterprise-class software (which is what Linux is quickly becoming). Rejecting compatibility, adding "cutting-edge" features, and creating a brand-new untested design are all symptoms of amateurism and are OK for college students, but not for serious use. Rejectng backwards compatibility and/or a proven design is just like saying "let's tear down New York City and rebuild it with wider streets in order to solve traffic problems." It's a rather childish suggestion.

  24. Call me Scully or Muldar...but I think... by ScottGant · · Score: 5, Interesting

    Ok, let's play what if.

    Suppose there was a meeting. There were no notes taken of this meeting. No emails or memos were ever written that it even took place.

    The meeting was between Microsoft and SCO.

    Microsoft promises to keep SCO afloat...doling out money to them over the next 10 to 15 years. In small chunks. First up is to buy a license from SCO...totally out in the open. Saying that they just want to be on the up and up with any code they may write in the future.

    But in exchange for Microsofts funding, SCO must openly attack Linux...the only thing that Microsoft truly fears. They must attack Linux, and all the big companies that support it. They must stir up a huge shit-storm around Linux and spout off FUD like there is no tomorrow. This will put doubt in the eyes of future Linux adopters, investors and users while Microsoft gains an even larger foothold.

    But remember, there are no documents ever written to this effect. No emails that can be found or memos to be brought forward. No one even knows what is going on except the people at the top. No one has actually said "Linux must die". But this is the ultimate goal.

    Just a thought.

    --

    "Music is everybody's possession. It's only publishers who think that people own it." - John Lennon.
  25. Re:I fear that IBM will win. by Monster+Munch · · Score: 4, Informative


    How can you say this?


    Although Linux originally started as a unix clone, it was derived from Minix which in turn was based on the unix methodology. But Linux has changed, grown, if it hadn't why would people now be using it?

    Open source is different for exactly the reason that its open source, anyone can look it and they are free to change it. This means that the software is continually evolving - sometimes using multiple paths, with each contributing to the overall future of the software. Who knows what Linux will look like in another 10 years? but at least it can adapt, new hardware vendors can view the source and optimise their hardware/drivers ready for Linux and if needed the kernel itself can be changed to help accomodate them.

    As other people have said any software can become tainted with other proprietry code, especially when you have source licenses from many
    vendors used on one of your products.

    Take for example the MSQL/Timeline patent issue.

    How many people would be willing to start from scratch now? look how long the hurd has taken to emerge, and even now it uses code from Linux to help it take off.

    Some would say that Gnome and KDE are just Windows wannabes, but for how long? again they will evolve over time as people demand new ideas and concepts.

    So it's important that open source comes out of this mess as clean as possible because if it doesn't then important contributors may be scared off and thus reduce the speed at which the current open source movement is expanding.

    This is purely a knee-jerk reaction by SCO^h^h^h Caldera to take as much as possible from our community when they realised that their business model had failed.

  26. How would you find GPL code in SCO ? by Crashmarik · · Score: 3, Interesting

    IANAL, but it was always my impression you couldn't claim trade secret protection and copyright protection. Copyright protection pertains to works that are explicitly meant to be published and trade secret for works whose publication would destroy their inherent value. Note most companies claim copyright on the object code not the source.

    It was a big legal brouhaha in the 70's and 80's on whether object code was copyrightable as it wasn't a human readable entity (yes it does depend on the human).

    My question is really does anyone know what tools are being used to build SCO unix products ? And, are there decompilers that could reasonably show that SCO stole GPL CODE.

    Lets face it the reason that SCO is being so secretive is they are the thieves hoping to pull a fast one on the world. Its pretty much obvious that SCO isnt protecting anything new or revolutionary. My guess is SCO had programmers that were either pressed to meet deadlines or got involved in a little intracorporate one upsmanship , and appropriated GPL code, thinking how could anyone notice.

    The SCO source is the big mystery here. If it can be shown that significant parts came from GPL or the open source community (i.e. berkely unattributed). Well there goes SCO down the toilet where they belong.

  27. SCO site still uses Linux by LuiWoh · · Score: 5, Informative

    For a company that seems to hate Linux so much it is funny to see via Netcraft that Sco's site SCO.COM is running Linux. Seemed they used to use SCO UNIX but switched to Linux according to the graphs. Yet IBM, that pushes Linux runs on AIX.

  28. You missed the most frustrating and telling part. by aussersterne · · Score: 5, Interesting

    Not only are there lines of SCO's code in Linux, but also derivative products based on SCO intellectual property have been created, Sontag said. Getting all of the protected bits out, assuming SCO's claims are valid, would be a huge chore.

    "Our biggest issues are with the derivative code," he said. "It would be almost impossible to separate it out."


    This is the first time that SCO has essentially admitted in the open what some have been saying all along: SCO does not believe that Linux coders can ever "clean" Linux up; simply replacing "infringing" lines of code with new code is not enough becasue they are trying to claim that Linux itself is now a derivative product of SCO Unix.

    The chances of this going away before SCO is utterly dead are zero. SCO has no intention of easily revealing the "matching" lines of code because they believe that they are irrelevant... as far as SCO is concerned, every line of code in Linux is infringing and it is essentially beyond repair. Since it is open-source, Linux can't license proprietary code from SCO. Ergo, the courts should essentially put an end to Linux in much the same way that they did with DeCSS code. At least, this seems to be how SCO sees it.

    --
    STOP . AMERICA . NOW
  29. SCO Gets New High-Profile Rep by Stephen+Samuel · · Score: 4, Funny
    In a recent newsflash:

    In a surprise announcement, today, SCO head Darl McBride, announced that his company had hired former Iraqi front man Tariq Aziz to handle media inquiries about SCO's legal battle with IBM. SCO's president and chief executive officer seemed very upbeat at the announcement, stating that Mr. had oodles of related experience.

    Specious evidence, extravagant claims, hidden proofs, enormous odds.. Mr. Aziz has seen (or used) it all. He understands how it works, and he's shown himself able to handle even the most hostile media attention. We believe that he'll provide an excellent source of of knowledge and leadership.

    When asked about the questionable morals of Mr. Aziz's former employer, Mr McBride blustered.

    "This is about business -- not morals." said McBride. "Our job is to make as much money for our stockholders as possible within the bounds of the law. Mr. Aziz obeyed the decr... laws of his former country and we expect him to do the same here."

    Questions about Mr. Aziz's immigration and legal status were brushed off as "a telecommuting issue". When asked about the former Iraqi functionary's whereabouts, Mr McBride only mumbled something about being "one with the source code".

    --
    Free Software: Like love, it grows best when given away.
  30. Highly Unlikely (from an IBM-er) by Anonymous Coward · · Score: 5, Interesting

    When not anonymous, I work for IBM.

    The lawyers there are PICKY.

    When dealing with IP, before a project goes out the door, the lawyers go over the thing with a fine-tooth and make sure:
    a) We have legal rights to what we're about to put on the market.
    b) Everything we have legal right to, we've properly and appropriately protected. (Such as patented, if appropriate - it's not always.)

    When buying software from 'outside', the lawyers go through the license terms to make sure it's 'appropriate', and sometimes it's a pain in the neck. Sometimes it seems it takes so long to buy a new, never-before-bought piece of software that by the time you can get it, the need is gone.

    Before you can use Linux inside IBM, you need to take the online "Open Source Legal Course" (title probably abridged) and sign off that you have. The mini-course discusses the legal implications of the GPL, etc.

    None of these cases is exactly like the SCO case. But the legal folks are so darned diligent about IP that I can't see anything like what SCO alledges happening inside IBM. The place just doesn't work that way.

  31. Expect IBM to (counter)sue by virtigex · · Score: 3, Insightful
    When SCO actually takes action against IBM (other than saber rattling) expect IBM to (counter)sue. If SCO attempts to yank IBM's license, which I believe is perpetual, they will be attempting to destory IBM's AIX business - something that is rather important to IBM. Since IBM maintans that SCO's lawsuit is groundless (and certainly unproven),the action will be unjustified.

    Even if SCO are right, revoking the licencse is the wrong thing to do. The correct thing for SCO to do is to sue IBM. If SCO ask for an injuction to stop IBM selling AIX, it will most certainly be denied because they have offered no proof. Revoking the license is wrong, because (unless the contract explicily states that SCO can do this) it will violate SCO's contract with IBM. In IBM's suit, IBM shows the contract and SCO revokation letter to the judge and jury and SCO loses.

    Two wrongs do not make a right, so SCO has to be careful to follow a clear and rational path to redress their alleged grievances. Their public statments already put them on shaky ground and can be used in any suit that IBM would want to bring. IBM are playing it cool and are not saying anything except denying SCO's changing allegations.

  32. MS isn't behind all this, it's Sun by canned+polar+bear · · Score: 4, Insightful

    it's just too easy to point a finger at MS each time linux is attacked in some shape or form. Sun is actually getting hit alot harder by linux's popularity than MS. Second undisclosed company licensing SCO's "technology"?? hmmm Sun Micro?

  33. irrational exuberance on Wall-Street by dh003i · · Score: 4, Interesting

    Look at SCO's P/E ratios. SCO does not have a P/E ratio, because it is NOT making any earnings. The stock is thus, no matter how low it is priced, over-valued. Would you pay 50 dollars for a dollar bill just because millions of fuckwits were also paying 50 dollars for a dollar bill?

    If you want to invest in a company, SCO is not the one to invest in. Never invest in a company with a P/E ratio that's larger than the average in it's industry, and larger than it's P/E:G ratio (price/earnings to growth...it's ok if the stock has a high P/E as long as it's growing rapidly enough to accomodate that P/E).

  34. Re:Huh by schon · · Score: 5, Insightful

    I think you've been too confused by the idiotic "They GPL'd their code when they sold linux", which is probably not true.

    Only because they probably don't have any code inserted into Linux. But if they did, it would be under the GPL.

    SCO clams that someone from inside IBM inserted their code into Linux

    No, they are most definitely NOT claiming this.

    They are claiming two things - first that "someone" put their code into Linux.

    Second, they are claiming that IBM used "knowledge" of their OS to make Linux better.

    The two issues are completely separate.

    There are no allegations of code theft against IBM. Their sole complaint is "Linux hackers suck, so the only way that Linux could compete against us is if IBM helped them."

    Now, if there really is SCO-owned code in Linux, SCO distributed that code knowingly. They know it's there, they know that the kernel is covered under the GPL, and they are still distributing it.

    SCO is implicitly licensing their code under the GPL because they continue to distribute Linux. They must have agreed with the GPL, because nothing else grants them the right to continue distributing it.

    even if they had never touched the GPL they still would have had code leakage

    True, and thier actions state exactly how much any alleged code is worth to them.

    The doctrine of laches says that if an injured party wants to claim damages, they must minimize the damages. Since SCO won't allow anyone to remove the alleged code (they refuse to say what the alleged code is, or where it is), then they are unable to claim injury.

    By refusing to tell anyone what the alleged code is, they are effectively saying that any code that might be in the kernel is worthless to them.

  35. Huh??? Plenty of safer places by Ars-Fartsica · · Score: 4, Informative
    IBM has nearly gone out of business on a number of occassions Gerstner was brought in to save a company that was about to be broken up and sold in pieces to the first bidders. While it is a solid company now, it is still subject to wild fluctuations in price like all tech firms.

    In fact IBM is inherently no safer than any other stock. If you want safety, buy treasuries. The government can just print up more money if they need to pay you.

  36. Exactly his point by FreeUser · · Score: 3, Interesting

    My understanding is that Sun already has a perpetual license. So no need to pay new money.

    Exactly his point. Microsoft could have gotten any code it needed from FreeBSD, free and clear. They didn't need to license a single line of code from the dinasaur product that is SCO ... that they did so was a transparent move to help finance the SCO FUD campaign (and with the aforementioned options scam in place, to make it all back by ripping off SCO's investors).

    Sun Microsystems could be the silent second party to this, financing it by buying a license they don't need just as Microsoft did. They may well be hoping to score a home run and sweep up all of the GNU/Linux refugess in the unlikely event a clueless judge or brainwashed jury react in SCO's favor, but unwilling to publicly alienate the Linux community should the gambit fail (and they they have to finally get on the Linux bandwagen all the way).

    It is an interesting thought ... Sun is one company that really could stand to benefit from this ... and their business practices to date show that they really did not "get" the free software/open source paradigm, and that many of their top leadership still don't.

    This is about capitalist oligarchs seeking to destroy a cooperative economy of abundance in order to maintain their own dominance of a capitalist economy of scarcity. It is the ultimate in negative-sum policy ... reducing, even decimating the wealth of the world (in this case the millions of man hours of volunteer programmers that is the GPLed GNU/Linux system ... and whose to say they won't move on to FreeBSD next ... nothing in the previous AT&T v. FreeBSD addresses many of the ever-changing allegations of SCO) to achieve a better position for oneself. Whoever the players are should be destroyed, by whatever means ... they and their mentality represent a threat to every person, every economic system, and every business they come into contact with. That Sun Microsystems might be one of these players is an intriguing thought ... their past conduct certainly makes them out to have been a Microsoft wannabe in the past.

    --
    The Future of Human Evolution: Autonomy
  37. Kernel hacker hits back. by dmaxwell · · Score: 4, Interesting

    http://www.theinquirer.net/?article=10018

    SCO has been sent a Cease and Desist by one of the kernel hackers. The hacker is demanding FTP logs and other records so he can determine the degree of infringement against his copyright. He is promising that he will sue unless SCO ceases their claims against other parts of the kernel.

    Every contributor to the kernel can do this. I hope those scumbags get hammered for every penny they have.