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By Peter Galli  |  Posted 2003-06-16 Print this article Print

"Our view is that our AIX license is irrevocable and perpetual and cannot be terminated. We intend to defend this vigorously," she said. IBM intends to continue shipping and investing in AIX and supporting its customers as they implemented AIX solutions. SCOs CEO Darl McBride told eWEEK in an interview on Monday that "AIX customers will not have an authorized right to use the software and we are going to tell them to seek legal opinion as to what it means to be running your business on unauthorized version of software."
When SCO first announced the lawsuit it informed IBM that it intended to revoke its AIX license if the two companies could not reach agreement within 100 days, the amount of time specified in the Unix licensing agreement between them. That deadline passed Friday, June 13, with no resolution.
McBride told eWEEK that SCO is now simply enforcing its legal rights. "We have every right in the world to revoke their right to use the software. We have been through the 100-day cure period and we did not get resolution, so we have every right to revoke their license," he said. SCO had met with IBM after it informed them it intended to revoke their AIX license, and had taken nine people to see them, from business staff to technology staff to its attorneys and had given them "every opportunity to sit down and work through this. But we continually got the cold shoulder from IBM. They have not solved the problem so we are taking the next step: enforcing the very strong contract rights we have," he said. SCO also decided to go for a permanent injunction to prevent IBM from shipping AIX rather than first starting with an audit of its customer base, McBride said. "Were not going to play softball at this point, we are simply going to go in and enforce our rights by seeking a permanent injunction," he said. AIX is based on Unix System V, to which SCO holds the copyrights, McBride said. If the injunction is granted and upheld, AIX users will have to stop running AIX unless IBM and SCO reach an agreement of some sort.

Peter Galli has been a financial/technology reporter for 12 years at leading publications in South Africa, the UK and the US. He has been Investment Editor of South Africa's Business Day Newspaper, the sister publication of the Financial Times of London.

He was also Group Financial Communications Manager for First National Bank, the second largest banking group in South Africa before moving on to become Executive News Editor of Business Report, the largest daily financial newspaper in South Africa, owned by the global Independent Newspapers group.

He was responsible for a national reporting team of 20 based in four bureaus. He also edited and contributed to its weekly technology page, and launched a financial and technology radio service supplying daily news bulletins to the national broadcaster, the South African Broadcasting Corporation, which were then distributed to some 50 radio stations across the country.

He was then transferred to San Francisco as Business Report's U.S. Correspondent to cover Silicon Valley, trade and finance between the US, Europe and emerging markets like South Africa. After serving that role for more than two years, he joined eWeek as a Senior Editor, covering software platforms in August 2000.

He has comprehensively covered Microsoft and its Windows and .Net platforms, as well as the many legal challenges it has faced. He has also focused on Sun Microsystems and its Solaris operating environment, Java and Unix offerings. He covers developments in the open source community, particularly around the Linux kernel and the effects it will have on the enterprise.

He has written extensively about new products for the Linux and Unix platforms, the development of open standards and critically looked at the potential Linux has to offer an alternative operating system and platform to Windows, .Net and Unix-based solutions like Solaris.

His interviews with senior industry executives include Microsoft CEO Steve Ballmer, Linus Torvalds, the original developer of the Linux operating system, Sun CEO Scot McNealy, and Bill Zeitler, a senior vice president at IBM.

For numerous examples of his writing you can search under his name at the eWEEK Website at


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