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SCO rises from the dead

I've never been a fan of horror-movie series where no matter what happens to the baddie, such as Jason Voorhees from the Friday the 13th movies, he's up and ready to kill again in the next sequel. So, you can imagine just how pleased I am to see that SCO, just when it looked like it was dead as a doornail, came up with a buyer at the 11th hour and 59th minute.

According to reports on Groklaw, Gulf Capital Partners LLC, a group formed by Stephen Norris of Stephen Norris & Co. Capital Partners, a private-equity firm, has offered to buy SCO, just as the company faced the end of the bankruptcy road. If the deal is real and goes through, SCO's nearly dead Unix business will continue, and, oh the pain of it all, so will its zombie-like lawsuits against IBM, Novell, and other Linux companies.

Will this idiocy never end!?

This isn't the first time that Norris has tried to ride in to save SCO's bacon. Last February, Norris came up with a deal that would give SCO $5 million, and a credit line of up to $95 million, on the understanding that the money would be spent trying to kick IBM and Novell's rump in court. Never mind that SCO has never come close to proving any of its claims about Unix IP (intellectual property) in Linux in court. Norris, or more properly his backers who had ties to Microsoft, wanted to fund SCO's anti-Linux lawsuits.

That attempt by Norris to save SCO's lawsuits fell apart. Now, he's trying to do it again.

We don't know who's behind this latest SCO buyout craziness, but it seems a safe bet that at the bottom of it all we'll find friends of Microsoft. There's simply no sane business reason to keep SCO's anti-Linux litigation in play except to spread a little anti-Linux FUD, and Microsoft is the only company that has any real interest in seeing that happen.

Like it or not, it looks like we're in for yet another chapter in SCO's unending courtroom horror show.

What People Are Saying

interesting....

wow.. very nice info at this post thanks!! i really like it

Licensing, mobile and WSS

The SCO Group still owns UNIX licensing. And UNIX, both OpenServer and UnixWare are still in use in the world today and still considered generally bullet proof.

"Buying" SCO gets the Gulf or UnXis (how DO you say that?) a number of stalwart customers. But there will be no new clients - ever. Not with much higher class, better supported server products out there now.

SCO has some mobile effort (Me-Inc), with Franklin Covey (where Darl came from originally). And there some old dead WebTop style software that should have been open sourced years ago.

Other than that - they have nothing worth selling aside from notoriety.

They're like this old dusty, evil scientist, shunned by society, off in some back alley, thinking they still have the power to take over the world. But in reality, it's now just a sad group of people who won't just perform a reality check and move on with their lives. Pitiful really.

Filing False Charges?

I am not a lawyer. I don't even play one on TV....

But I was under the impression that it's a felony to knowingly file false charges.

Also that it's a felony to incite others to file false charges.

We read with interest your

We read with interest your report of the Delaware proceedings. Actually, all the business assets and IP of SCO are to be acquired by a new company called UnXis. Darl McBride will continue as CEO of the old company SCO-- while other members of management will join the new company.

The new company UnXis will be backed by Gulf Cap Partners, MerchantBridge and a number of other investors, assuming of course the Purchase Agreement is approved by the court.

We believe such approval is in the best interest of the creditors, customers and employees of the old company, SCO.

MerchantBridge is a London-based private equity and direct investments company with strong links in the Middle East. The management includes Basil Al Rahim as CEO, previously a partner of Carlyle International and Eric le Blan as COO, who previously owned and ran a web-based software company.

Gulf Cap Partners is a recently formed private equity, real estate and advisory organization that was organized by Stephen Norris Capital Partners(SNCP), and a number of private equity professionals from the US and the Gulf to take advantage of the substantial changes in the private equity world primary brought about by the ongoing the financial crisis. Its focus is on companies that can expand their business operations in the Gulf region.

The negotiations with SCO were highly complex and continued over a substantial period primarily because of the difficulty of due diligence, the changing legal framework and in particular, understanding SCO’s entitlement to IP as well as the desire of UnXis to detach itself from past and continuing litigation. The new company has no issue with Linux and supports open source in all appropriate contexts.

UnXis plans to operate a world class software company to be headed by Mr. Jim Kelly, formerly CEO of SynXis and also once a senior executive of a Carlyle Group portfolio company. Again, UnXis has no interest in pursuing or continuing any litigation and will focus on developing new generation systems addressing the current and future needs of its substantial and prestigious customer list. We have had no discussions with Microsoft regarding an investment in the new company.

While UnXis systems will be proprietary systems, UnXis believes there is a place in the market for both open systems and proprietary systems and we have had very substantial interest from major customers, including several government entities and multi-national corporations.

Stephen Norris

Past, Present, Future

So, how does a "new company" that has no past or current products and "plans" to be "a world class software company" already have a "substantial and prestigious customer list"? UnXis has existed for perhaps two days and hasn't sold anything, so there are no customers.

UnXis is a total unknown on the map. The only thing I found in the first hundred links from Google that remotely match "UnXis" is this very Blog. (UNXIS Consulting does not appear to be the same entity, and the unxis domains look like parked web sites probably created by someone depending on making money from people who mistype "unix"). I figure that having used the company name about a half dozen times in this post will put Steven's Blog at the top of Google's search results tomorrow.

So, while completely unknown UnXis claims there is "very substantial interest from major customers, including several government entities and multi-national corporations." Interest in what? There are no products. So, what are they selling? Press releases full of compost?

IP? What IP?

Hi Steve, if that is you,

"IP of SCO are to be acquired"
Out of curiosity, exactly what IP is that you expect to be purchasing? And just in case this wasn't dug up in your due diligence, SCO no longer exists. The organization you are dealing with is Caldera, a.k.a. The SCO Group.

"to take advantage of the substantial changes in the private equity world primary brought about by the ongoing the financial crisis"
How exactly does The SCO Group fit into changes brought about by the ongoing financial crisis? Long before the financial crisis started it was shown in court that The SCO Group has no evidence to backup its outrageous claims, copyrights or nots.

"UnXis has no interest in pursuing or continuing any litigation and will focus on developing new generation systems addressing the current and future needs of its substantial and prestigious customer list."
Outstanding, I was under the impression that this was the path Caldera was going to take before current management was put in place and started driving the company and SCO's reputation into the ground.

"UnXis systems will be proprietary systems"
Again, out of curiosity, have you performed your due diligence on the copyrights, licensing and functional state of the base source code you intend to use for your product? Even though The SCO Group's customer base has been rapidly dwindling I suppose there may still be a market worth chasing. But it would seem more appropriate to base a new product off one of the BSDs or linux. I seriously doubt you will be able to compete with the resources backing BSD and linux while starting from a crufty old operating system with questionable copyright ownership and limited engineering support for maintenance and development.

Put it in writing...

File it in court...

Let's see the deal in court... and see what US Trustee, Novel and IBM think...

Oh... and of course... let's see what Judge Kevin Gross thinks.

Hello Steve and some advice

Linux techno-troopers and Linux pinheads will always associate you and your company with SCO.

Nevertheless, you should no fear their strategies and agendas as Linux is dead on the desktop.

I recommend your PR people to study well the history of Linux and its advocacy tactics to avoid some of the mistakes made by SCO, Microsoft and some tech journalists.

Linux on the desktop is doomed.

There's no need to develop strategies to compete with Linux on the desktop as its fragmented community has made enough irreversible mistakes.

Because Linux is doomed on the desktop, there no need to develop strategies to compete with it on the server.

Consider the millions of dollars and strategies invested by IBM and other companies in the early 2000s in Linux. They made no difference on the adoption of Linux on the desktop.

Regards.

Anonymous Insider

Dead?

Linux is a rising star on the desktop, and gaining more and more market traction and uptake every day. Your claims are not just FUD, but poppycock.

It doesn't matter though, since failing to compete with Linux on the desktop will just hand Linux a default win, and that's something that benefits everyone.

PR won't confuse the FOSS community either, since it relies on scientific disection of arguments and protestations. Lies and misrepresentations will be uncovered, and brought to light. Your only workable choice is to behave ethically and honestly. Is that such a terrible thing, Mr Insider? That businesses actually deal fairly and honestly, instead of resorting to lies, strongarming tactics, manipulation of panels, abusive practices and so forth? I for one consider it a step forward.

It has been 9 years, since those investments seeded development work that continues at a staggering pace. Those investments are now bearing fruit across the board.

Is that you Darl?

Dead?

Someone else called it a clusterf*ck:

"First of all let me generally comment that this entire situation is a clusterf*ck. I am not happy with the technical constraints imposed by Linux and its assorted UIs on Chrome's UI and feature set."

Source: http://tinyurl.com/lwvlp8

Somebody else was more specific and explained why Linux s*cks on the desktop.

Source: http://tinyurl.com/p5mnxy

Sorry, if Linux on the desktop didn't happen when big companies were spending millions of dollars, it isn't going to happen now.

Face it, Linux lost the desktop war when Apple embraced FreeBSD for Mac OS X.