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Psystar Crushed In Court

We've been following the case of Mac cloner Psystar for some time now. Apple was just handed a summary judgement over Psystar, and as usual Groklaw has the scoop. Here is the order (PDF), though PJ supplies it in text form at the link above. "Psystar just got what's coming to them in the California case. ... It's a total massacre. Psystar's first-sale defense went down in flames. Apple's motion for summary judgment on copyright infringement and DMCA violation is granted. Apple prevailed also on its motion to seal. Psystar's motion for summary judgment on trademark infringement and trade dress is denied. So is its illusory motion for copyright misuse. ... So that means damages ahead for Psystar on the copyright issues just decided on summary judgment, at a minimum. The court asked for briefs on that subject. In short, Psystar is toast." Reader UnknowingFool adds, "There are still issues to be decided but they are only Apple's allegations: breach of contract, induced breach of contract, trademark infringement, trademark dilution; trade dress infringement, state unfair competition, and common law unfair competition. Even if Psystar wins all of them, it is unlikely to help them very much."

13 of 640 comments (clear)

  1. This comment surprises me by seanadams.com · · Score: 5, Interesting

    I know. They'll say, but, but, but ... what if they hadn't used the master and just used each copy, then would it work? Sons, why do you think Psystar used the master copy? Because it's a business, and in a business, efficiency is money. That's why businesses set themselves up, to make money. The whole world is not with you on a holy war to destroy EULAs and the GPL. Even this rinkydink business wanted to make money. Theoreticals belong on message boards, not in business and definitely not in courtrooms, and even on message boards, everyone told you for years that this wouldn't work out if someone tried it. It's been tried. It didn't work out. ... coming from Pamela, who revealed that Microsoft played no small role funding the SCO debacle though bogus license purchase.

    If you follow patent troll cases for example, you would know that shell business are often set up by litigants for the sole purpose of facilitating a lawsuit. Once you've acquired your defunct IP, you set up a web site to demonstrate intent to sell a product. Sure it's not strictly necessary to test the patent but it can help when it come times to assess damages, and it garners judge and jury sympathies (especially if you can get it tried in the Texas east district).

    So, who was behind Psystar? Dell perhaps? There's no chance in hell a startup box builder would go to these lengths to test a legal theory. Their vested interest in the supposed business was a pittance compared to the cost to fight this, so where'd they get the money?

    Obviously, Psystar was staged for the exclusive purpose of being sued .

    1. Re:This comment surprises me by DJRumpy · · Score: 5, Insightful

      And yet Apple is reaping profit hand over foot, during a economic depression. Why fix what isn't broken. They obviously have something that Microsoft does not. "Cool" and "Hip" will only go so far. If there is nothing of substance to back it up, then after a few months, the hotness has worn off, and people drop them in droves. This obviously is not happening. Apple continues to increase it's market share, even in these bad economic times.

      I can guarantee you that if MS finds any manufacturer that isn't properly licensing Windows, they would be wiped from the map. The difference here being that MS licenses it's OS for resale. Apple does not. The only barrier to entry is to buy an Apple Mac, which are about the same price as any other comparable piece of hardware from a PC manufacturer (not a whole seller mind you, but a manufacturer).

      If I recall, it's the Microsoft market share and profit that is shrinking. Apple is doing just fine on it's "1960's proprietary hardware business model', whatever that means. It's just a closed system, nuts to bolts. Nothing wrong with that. Thousands upon thousands of manufacturer's produce a closed product.

  2. Re:Too Bad by mabinogi · · Score: 5, Insightful

    You're right.
    The single vendor lock-in is just killing them. They were doing so well when they allowed others to build Mac clones, they should just go back to doing that. Jobs was obviously an idiot for cancelling the scheme - if he hadn't the company may have been a household name by now, instead on teetering on the brink of disaster.

    --
    Advanced users are users too!
  3. Re:Too Bad by pizzach · · Score: 5, Insightful

    Meh. Apple is pretty happy where they are. If their hardware suits you and fits your needs, buy it as necessary. Otherwise, avoid it. Many many people have a hard time doing that. If Apple finds themselves needing to change because of this down the road, they will. It's that simple.

    If you're building a hackintosh, good for you. Tinkering with things like that can be fun. But please don't start acting like Apple is supposed to support you. Don't install it on production machines. The hacking part of the hackintosh is supposed to be half the fun anyway. But that is it.

    --
    Once you start despising the jerks, you become one.
  4. Re:You're thinking too simplistically by causality · · Score: 5, Insightful

    Psystar isn't a front for anyone. That doesn't mean they haven't been used by real players.

    The truly powerful don't need to do anything so unsubtle as conspiracy nuts like to believe. They can take existing bit players, and give them the right nudge for the same effect.

    That scenario would make Paystar a "useful idiot" as some call it, which provides added deniability for the people who pull the strings. That still falls under long-term strategy and plausible deniability. My observation was deliberately worded in a simple way because understanding of this topic is sorely missing in the general public. When the audience you intend to reach is unfamiliar with a topic, you don't usually start with the most advanced material.

    Things like strategy, plausible deniability, propaganda techniques, and argumentation fallacies are either not taught in the public schools or are given only the most superficial treatment. Therefore, most people either don't know about them or have no real mastery of the concepts. When they see a politician talking about an issue, they don't immediately see patterns of influence and don't ask questions like "qui bono?" That the public schools don't cover these topics is no excuse for the widespread ignorance. People generally spend far more time educating themselves about things that have much less of an impact on their lives.

    This means that the general population is easy prey for what is effectively a ruling class that does have this knowledge and is in the profession of using it. This population understands the actual realities of politics about as well as the average Roman citizen understood the intent of "bread and circus".

    --
    It is a miracle that curiosity survives formal education. - Einstein
  5. Re:Too Bad by 93+Escort+Wagon · · Score: 5, Insightful

    OS X is a decent operating system, but few people can be satisfied by a single hardware vendor. Might as well write off Apple as a player now, as it's unlikely they'll ever release the death grip and let the world play with OS X.

    This statement seems silly on the face of it, and would benefit from some, you know, supporting evidence.

    Mac's marketshare has been steadily increasing for quite some time now. Not to mention that I know lots o' Windows folks who swear by HP/Dell/Sony (pick one) for their personal computers, and Unix/Linux admins who will only buy Sun or SGI or whatever.

    Even outside of the computer realm, people become enamored of particular brands all the time - be it automobiles, televisions, appliances... whatever. And once they lock themselves into that mindset, it is not easy for them to change their opinions.

    --
    #DeleteChrome
  6. Not first-sale doctrine: Psystar altered OS X by javacowboy · · Score: 5, Informative

    All this goes to show is that, contrary to the statements of some Slashdotters, Psystar did not re-install OS X as-is. They replaced key segments, including the bootloader and kernel extensions, in order to get it to install on commodity hardware. That makes Psystar the distributors of a derivative work, thereby violating copyright laws. This is not about the EULA:

    "Psystar infringed Apple's exclusive right to create derivative works of Mac OS X," the ruling reads. "Specifically, it made three modifications: (1) replacing the Mac OS X bootloader with a different bootloader to enable an unauthorized copy of Mac OS X to run on Psystar's computers; (2) disabling and removing Apple kernel extension files; and (3) adding non-Apple kernel extensions."

    I fail to understand how Psystar is even within light years of being right on this issue.

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    This space left intentionally blank.
  7. Re:I agree, but it's not that simple by Prometheas · · Score: 5, Insightful

    The claim that OS X is "absolutely irrelevant to any reasonable person" [emphasis mine] isn't a terribly reasonable statement.

  8. Re:So what if you own one of these machines? by digitalunity · · Score: 5, Insightful

    I hereby declare Psystar to be a reverse trojan horse. Apple created Psystar so they could sue themselves and once and for all crush any thoughts companies might have of trying to produce generic Apple-compatible platforms for OSX.

    --
    You can't legislate goodness. Let each to his own destiny, by will of his freely made choices.
  9. First sale doesn't allow you resell derivatives by langelgjm · · Score: 5, Interesting

    That's a bunch of crap, and if that's what the decision says then First Sale law is over, at least until it gets escalated, and it will. First Sale is critical to whole long lists of industries. Using copyright law to restrict transfer of an object [blogspot.com] is an abuse... First Sale law permits you to modify things you've purchased.

    If Psystar modified the OS X software and then sold the modified software (along with the computer), then they've both created a derivative work and distributed it. This should be clear cut in the courts. There is a circuit split over whether attaching a postcard to a tile and then reselling it constitutes the preparation and distribution of a derivative work, but the split is over the question of whether simply gluing the card to the tile is enough to qualify as a derivative work. In this case, modifying the software is almost unquestionably enough to constitute the preparation of a derivative work.

    First sale will allow you to resell a copyrighted work that you have purchased; if, however, it's been modified enough to constitute a derivative work, you'll run afoul of copyright law. If, in the Seventh Circuit's tile case, the defendant had made a new piece of artwork, e.g. a collage or something with a bunch of postcard, that would likely pass the threshold for a derivative work.

    If all Psystar had done was resell copies of unmodified copies of OS X along with their Hackintoshes, the issue of derivative works wouldn't come into play at all. It would be more a matter of whether Apple's EULA matters, etc. By modifying the copies, however, they opened up a big can of worms.

    --
    "Anyone who [rips a CD] is probably engaging in copyright infringement." - David O. Carson
  10. Use != Sale by enkidu · · Score: 5, Interesting

    The simple truth is that Psystar DID have to use an image method to perform the installs, and so this should be considered a minimum necessary step towards exercising First Sale rights to do as you like with something you've purchased; but I do agree that they should have been required to use an image based on the same version of OSX that would appear in the box. First Sale law permits you to modify things you've purchased. If I am not permitted to modify Apple software, then arguably I can't even use it. And if I'm not permitted to use images to deploy OSX, then I'm certainly not even going to consider using it in the enterprise. If Psystar isn't allowed to use a custom image, then I must assume I'm not allowed to either.

    Good points and I totally agree with your points on the validity of the First Sale law and it's necessity. However, you're missing a crucial point. Pystar not only modified OSX, (as is allowed for personal use), but it sold this modified derivative product, which is not protected by the First Sale law. You can use a modified product, but you can't sell. That's why Pystar lost, and lost big. I personally think that these and other copyright restrictions are too strict, but it is pretty clear in this case (summary judgement and all that) that Pystar broke it.

    --

    There is no trap so deadly as the trap you set for yourself
    -Raymond Chandler, The Long Goodbye
  11. That's not true at all. by tjstork · · Score: 5, Interesting

    It has been shown time and time again MSFT only makes products good enough to beat the competition through brute force

    I wish advocates of alternative anything would just be honest. Microsoft has made products that are better than their competition and sometimes they are breathtakingly so. Bill Gates may have been a ruthless businessman, but when he was at the helm, Microsoft made some good stuff.

    MS BASIC was way better than other BASICs made by other computer companies. String arrays? Geez, on Atari Basic you had to fake them.

    DOS was better than CP/M. It was quicker to learn, and, had a pretty spiffy version of BASICA with it, for its day.

    FoxPro (bought by MS), was way better than the dBase (bought by Borland). And, Access was a better desktop database than anything else out there.

    Windows of the DOS extender series was better than any other DOS task extender series. For that matter, Windows 95 is hands down superior to Mac OS 8 and Mac OS 9 and Windows NT blew OS/2 completely out of the water. OS/2, single message queue on the desktop, puhlease.

    Excel was better than Quattro, and I'm sorry, Word was better than Word Perfect for Windows, by far. My favorite Word Process was Samna AmiPro, which, probably would have ruled them all had Lotus not bought them and screwed it up.

    Yeah, everyone can cry fowl over Netscape being destroyed by Microsoft, but Microsoft IE 4 had a fully programmable DOM and an AJAX XMLHttpRequest.. what did Netscape have... you could script a form, had document.write for everything else...a half-assed buggy email, and a billion bugs.

    Visual Studio was way better than Borland's C++ IDE was by around 2.0 of Visual Studio.

    It's pretty simple. Microsoft is good, at times, especially when Gates was running the show. And there were many times Microsoft, despite all of these "advantages", competed, and flopped... does anyone remember PhotoDraw? That little gem was actually pretty innovative, but, Adobe crushed it like an insect. Now we have Silverlight going up against Flash, and lo, Silverlight is still not reliable in Firefox and didn't have drop shadows. WTF. They lose, and deservedly so.

    And, Microsoft lets the XP franchise languish, releases Vista way too early, and so loses market share to Linux. Microsoft prices things off, and so, WinNT Server loses to Linux. Microsoft, after a brilliant run from IE4-6 (yeah, one time, 6 was the best... almost 10 years ago?), but now, can't catch a clue with IE8 and so FireFox and now Google Chrome and Safari are now gradually crushing them.

    And now Visual Studio seems ever more confused, while Eclipse and other IDE's start to look better, and I switched.

    Conspiracies, monopolies, all of that, can be an advantage, but really, only for so long. In this society, it is product that matters,

    --
    This is my sig.
  12. Re:Not first-sale doctrine: Psystar altered OS X by eggnoglatte · · Score: 5, Informative

    Jesus Fucking H Christ. You are like the 10th moron in this thread who quotes part (a) of that section, but is completely utterly incapable of reading on to part (b). If you actually read part (b), it expressly prohibits resale of the modified versions.

    Are you all aiming for the Selective Reading of the Year Award or what?