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SCO's Next Target: DaimlerChrysler

Mar 03, 2004, 17:00 (41 Talkback[s])
(Other stories by Brian Proffitt)

By Brian Proffitt
Managing Editor

During today's first quarter financial conference call, SCO CEO Darl McBride revealed the second target of their IP license enforcement plan: DaimlerChrysler.

This nature of this dispute is contractual, as opposed to the copyright-based suite against AutoZone filed late yesterday.

McBride cited the requirements in their agreement with DaimlerChryler is that they live up to their voluntarily compliance demands with SCO, demands which SCO feels that they did not meet.

DaimlerChrysler was one of SCO's customers that has had access to the SCO UNIX source code. The suit does not specifically accuse DaimlerChrysler of porting SCO UNIX source code into Linux, but, McBride explained, since DaimlerChrysler has not certified that they have or have not complied, SCO felt obligated to file the suit in order to check the compliance of this license demand.

McBride revealed that SCO was in the process of filing their suit against DaimlerChrysler in the Oakland County, Michigan courts as the call was being made.

McBride fielded questions from analysts and reporters regarding the company's SCOsource initiatives, including a direct question regarding a former AutoZone employee's public assertion on Groklaw that no SCO libraries were ported to Linux. McBride replied that he could not respond specifically because on a request from Judge Wells to not comment on specifics in the IBM case.

McBride stated that their counterparts on the IBM side have "conveniently gained third-party Web sites to their cause" to get IBM's message out, while SCO is limited only to their own abilities to get their side out.

McBride emphasized that if customers are waiting for these lawsuits to be finished before deciding whether to purchase a SCO IP license, then SCOsource will be ready to take them to court. "Whichever way they want to go," McBride said.

When asked what they feel the end result of all of these actions would be if indeed SCO loses their lawsuits, McBride answered that right now they feel the case for their IP within Linux is pretty strong.

Many if the analysts' and reporters' questions focused on the SCOsource initiatives and for the first time, the tenor of the analysts' questions seemed to be on the skeptical side. One analyst asked whether today's legal actions would set a precendent to SCO's existing customers that they might be sued.

McBride replied that they would have no issues with any customer that lived up to their contractual agreements.

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