SCO Backing Off Linux Invoice Plan

rocketjam writes "CNet is reporting that the SCO Group is backing off plans to send invoices to corporate users in an effort to generate more takers of their Linux licensing plan. A spokesman said SCO executives were happy with current progress in the licensing program, and didn't feel they needed to send out invoices yet. SCO also extended the 'introductory' licensing price to the end of October, at which point the amount they are asking will double. Despite SCO's threats, 84 per cent of CIOs in a recent survey said it hasn't affected their plans to implement Linux."

Comments

"Backing off" deserved profits?

[Empiric]

I doubt this has anything to do with SCO's "satisfaction" with the level of response, but rather with the advice of their lawyers.

Generally, invoicing for other people's work is not held in high regard by the law.

Re:"Backing off" deserved profits?

[letxa2000]

Yeah, and gotta love the quote from the article:

• "
• SCO's plan has been carefully unveiled, piece by piece, Weiss added. "This is not to me ad hoc or random. It is carefully designed to ratchet up the pressure on users to knuckle under," he said. "

"Ratcheting up the pressure on users to knuckle under?" They're backing off invoicing and that's ratcheting up the pressure? Nice to see the SCO cheerleading section in full swing. :)

16% damage from SCO

[Anonymous Coward]

Despite SCO's threats, 84 per cent of CIOs in a recent survey said it hasn't affected their plans to implement Linux."

This means that 16% of Linux implementations HAVE been affected by SCO's threats. I expect that this represents significant financial damage to Linux businesses as will be represented in the sure-to-ensue lawsuits that will follow SCO on its way down the toilet.

Able to purchase licenses yet?

[Lord_Dweomer]

I'm curious, because the last time I checked, people still were unable to call up and purchase a license from SCO. In fact, I remember someone posting how the rep they spoke to on the phone sounded shocked that they were asking to purchase the license. So can people even purchase this license now? Or will they only be able to do so at the doubled price?

Target Price 45

[bloosqr]

Wow! I remember thinking it was madness it had shot up to $10 on this ludicrous war and $15-$16 was the peak of the insanity. Rational markets indeed :! (From article)

"In other news, SCO's stock surged $4.97, or 32 percent, to close at $20.50 Wednesday, after Deutsche Bank analysts Brian Skiba and Matthew Kelly initiated coverage of the company with a "buy" rating and a $45 price target for the stock"

Just be patient.

[chrome]

As soon as they send out any invoices, companies that get them can choose not to pay.

An invoice is a demand for payment, but you're not required to pay if you can prove that you didn't receive goods or services from the company making the invoice.

So, the first time someone challenges it, SCO will lean on them and say "Don't make us MAKE you pay us", that company will say "Go on then." and SCO has a choice.

1) Go to court
2) Back off

If they choose 1, then the the court proceeding might look like this:

Defendent: We haven't received any goods or services from SCO, and are therefore not going to pay this invoice.
SCO: Yes you have! You're using Linux! It has our code in it! Pay up!
Defendent: Prove it.
SCO: No! We don't have to!
Judge: Case dismissed. Stop wasting the court's time, SCO

IANAL, as you can plainly see, hehe! But, I really fail to see how SCO would be able to enforce payment on any outstanding invoices even if they did send them.

No, the safest choice is by far to ignore this whole mess and keep doing what you were doing before SCO lost it's collective mind.

The stock market

[Neo-Rio-101]

The most telling thing on the linked news site was this:-

SCO Group Inc (The) SCOX 20.50 4.97 (32.00%)

Red Hat Inc RHAT 12.85 -0.15 (-1.15%)

International Business Machines Corporation IBM 92.74 0.02 (0.02%)

Pump and dump time!

Re:16%

[Mostly a lurker]

Does anyone else find it frightfully disturbing that 16% of CIO believed the SCO's claims to hold enough water that they've changed their implementation strategies?

No, not frightfully disturbing but something of a concern. What it probably means, in most cases, is that they have temporarily shelved new Linux projects.

Another concern is the effect on the 27% that currently have no Linux implementation plans. I suspect some of them may now make long term plans that will make Linux difficult to introduce later. Without this SCO circus, they would likely at least try to keep Linux options open.

So:

[mcc]

"Pay up, we'll be sending out invoices"

Then a few months later:

"We won't be sending out invoices"

If they'd actually sent out any of the invoices, they could have been prosecuted for wire fraud. Which is, of course, why they didn't. The phantom "invoices" were just a trick to get people to think that there was something to this, and trick people into coming to SCO preemptively.

However, given that: Is SCO violating any kind of fraud/barratry laws by claiming they were going to send out these invoices, then not doing it? (At least given that the claim was clearly a way of tricking people into "voluntarily" giving up money?) Any at all? Just checking..