Slashdot Mirror


Leaked Memo Says Microsoft Raised $86 million for SCO

badzilla and numerous others wrote in with this: "Eric S. Raymond's Open Source site has a new Halloween memo. The Halloween X memo, which ESR says he received by email from an anonymous whistleblower inside SCO, appears to confirm Microsoft's alleged funding of SCO's anti-Linux initiative. And the actual dollar amounts are much larger than previously rumored!" The consultant is discussing his fee for bringing in this business, in the first few lines of the email.

9 of 1,279 comments (clear)

  1. "Rich" by mordicus · · Score: 5, Informative

    ...is probably Richard Emerson.

  2. Re:This is a forgery. by The+Pim · · Score: 5, Informative

    According to the SCO 10-K to which ESR linked, Anderer signed an agreement between SCO and S2 Strategic Consulting (his company) on August 4, 2003. Assuming the parent poster believes what he wrote, Anderer probably left SCO in June to continue performing the same functions as an independent contractor.

    --

    The evaluation of an action as 'practical' . . . depends on what it is that one wishes to practice.
  3. Re:Welcome to the real world folks. by Dammital · · Score: 5, Informative
    IBM's founder spent time in prison for his string arm dealings in the cash register business

    Thirty NCR executives were found guilty in that decision, which was subsequently overturned. See this Fortune article for an overview. As far as I can tell, T.J. Watson never served a day.

    Oh, and while T.J. arguably founded the modern IBM, the company had existed for years before T.J. got there as the "Computer Tabulating Recording Company". CTR was itself a derivative of Herman Hollerith's Tabulating Machine Company, founded in 1896.

  4. Re:Wow by Fishstick · · Score: 5, Informative

    >big well funded companies like that tend to cover all their bases.

    This is generally true, Microsoft does appear to contribute more to Replublicans, but that has shifted over time:


    Of the nearly $1.2 million in PAC and soft money contributions Microsoft contributed between 1995 and 1998, 72 percent went to Republicans. But during the first 18 months of the 2000 election cycle, Microsoft, aware of the closeness of congressional races this fall, has upped its giving to Democrats. Of the $2.3 million Microsoft has given in PAC and soft money this election cycle, 55 percent has gone to Republicans

    Microsoft spokesman Rick Miller told Roll Call that the company largely follows a "very basic business strategy to giving and that's a 60/40 approach - 60 percent to the party in the majority and 40 percent to the minority." Miller added, however, that while two years ago, Republicans were Microsoft's defenders, now the company is also seeing a number of Democrats take up its cause.

    --

    There is much cruelty in the universe, John.
    Yeah, we seem to have the tour map.

  5. Re:ESR better watch out by Anonymous Coward · · Score: 5, Informative
    It was reported. The $50M from Baystar Capital was reported in a 10Q, as was the money from Microsoft for Unix licensing. What wasn't reported was that Baystar Capital was an MS referral; but that's not required to report. So I'm not sure what you're getting at here.

    Not that I'm saying the memo is real; I have no idea. I'm just considering your point.

  6. Re:Wow by Linux_ho · · Score: 5, Informative
    Anyway, objectively, and using available evidence rather than assumption, none of the "Halloween memos" have ever been confirmed as being real.
    Oops, factual error. See the FAQ. Memos I and II were publically acknowledged by Microsoft, and ESR sez III and VII were also acknowledged... I haven't seen evidence of acknowledgement of those last two myself, but I don't have much reason to doubt ESR either. Memos IV, V, VI, and IX are commentary on publically released documents, not leaked documents.
    --
    include $sig;
    1;
  7. MS used Financing arm to take over Corel too by Anonymous Coward · · Score: 5, Informative
    ESR notes that it appears Microsoft's Corporate Development and Strategy is behind this idea of shadowy financing of Linux' enemies. Perhaps the Feds should start earning their salaries and investigating this arm of MS as only last year that same unit quite obviously engineered the takeover of Corel by a venture capital firm financed by Paul Allen and operated by ex-Microsoft/ex-McKinsey consultancy executives.

    This is how it worked:

    1) October '2000
    MS invests $135M (~20% non-voting stake) in Corel, within months
    Corel hires McKinsey to "validate" their new pro-MS strategy
    which puts Corel on a .NET-centric starvation course

    2) Fall '2002
    MS decides it is time to take Corel down (and into friendly
    ownership); finds venture capital firm Vector which is
    financed by Paul Allen and operated by longtime ex-MS and
    ex-McKinsey executives.

    3) Jan/Feb '2003
    MS sells non-voting stake secrectly and far below market value
    to Vector; after "ownership change" the stake becomes voting
    and allows Vector to dictate terms to Corel management who for
    some reason (inside deal) do everything to appease Vector in
    the hostile takeover.
    In February Robert Uhlaner moves from McKinsey (Corel's
    "consultants") to MS to work on "increasing strategic alignment
    between the Microsoft's finance and business groups". By August
    '2003 Corel was firmly in MS-friendly private hands.


    Just like in the SCO case, MS was using their Financing arm to do anti-competitive business transactions. Manipulating enemies through innocent-looking cash movements and investments while supplying cash, information and most importantly *connections* to henchmen willing to do the dirty deeds (Vector, Baystar...). IIRC there was indeed a MS connection to BayStar as well. Paul Allen as an investor?

    Microsoft won't stop this sort of anti-competitive clandestine operations until authorities have thoroughly investigated what is going on within their shadowy Corporate Development and Strategy (incl. Rich Emerson and Robert Uhlaner) unit and how favors and sensitive business information gets passed around within the infamous Microsoft Old Boys' Alumni network.

  8. Re:Wow by senahj · · Score: 5, Informative

    Starting in 1922, General Motors bought up many of the nation's
    electric urban and interurban light rail systems, including
    the excellent streetcars that served Los Angeles, converted them
    to internal combustion engines, and deliberately managed them into failure.
    Before this time, good electric streetcars made an automobile
    unneccessary in many urban areas.
    See http://www.tompaine.com/feature2.cfm/ID/4518

    --
    Wait a minute. Didn't I say that on the other side of the record? I'd better check ...
  9. Confirmed! by gilh · · Score: 5, Informative

    From the web page: "Post-Postscript: According to Steven J. Vaughan-Nichols of CNET, SCO confirmed today (04 March) that this memo is legitimate."