Virtual Linux Open source News - SCO Responds to Novell FUD

Is SCO going bankrupt?

Novell Monday made that claim in a legal filing, asking for a partial summary judgment in its three-year-old battle with SCO over ownership of Unix copyrights.

Novell asked the court in to provide the judgment because SCO is going bankrupt, and claimed that it is not to blame for SCO's financial calamity.

"Contrary to SCO's assertion that a preliminary injunction should be denied because it may accelerate SCO's bankruptcy, SCO's imminent bankruptcy is a compelling reason to grant Novell's motion," Novell stated in the legal filing.

"When SCO goes into bankruptcy, it will not be because of Novell's motion, but because of its own financial missteps."

"For SCO, bankruptcy is inevitable; it characterizes its assets as merely those "remaining" and does not rebut Novell's arguments that its bankruptcy is Imminent," the Novell filing continued. "Once this bankruptcy occurs, Novell will lose all ability to collect its judgment."

SCO spokesperson Blake Stowell refuted the Novell allegations.

"This is unquestionably Novell FUD [fear, uncertainty and doubt] and irresponsible of them to make such comments," Stowell told internetnews.com. "We will report our Q4 results on Jan. 17 and all aspects of our business at that time."

Though SCO is currently well known in the media for its anti-Linux crusade against Novell and IBM, the software maker has also been active on the product front over the past year.

At the 2007 International Consumer Electronics Show (CES) yesterday, SCO announced a public beta of a new mobile service called Shout Postcard, which enables mobile users to share text, image and voice content. The Shout Postcard is a product of SCO's Me Inc. mobile division.

SCO's mobile division was active in 2006, particularly through the launch of its mobile EdgeClick initiative .

SCO also claimed in 2006 that its flagship OpenServer 6 operating system gained new converts.

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