Bonum Certa Men Certa

Microsoft, Novell, SCO, and NASDAQ Delistings

The closer one looks, the more gets revealed

There are many dots to connect and many past discussions to combine, so this post will contain many pointers and hints, essentially leaving interpretation to the reader. Whatever you make of this, it seems safe to conclude that we find patterns here. From similarities one can predict just as from history one can learn [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12].

Novell's Finances



SubSonica points out that shortly before the deal with Microsoft, Novell faced risk of being delisted from the NASDAQ.

IMHO, Novell accepted the pact with the devil due to serious financial problems. The 348 million dollar deal allowed them some relief. Microsoft is very smart when they target struggling companies… the timing was perfect. Follow the money, ask yourself the right questions:

http://www.itworld.com/Man/2698/060921novellnasdaq/

JUST ONE MONTH before the pact Novell was about to be delisted from Nasdaq and was having problems with the Wells Fargo Bank. I think the re-animator injection of 348 million by Microsoft converted Novell in the perfect zombie to perform its masters at Redmond commands.


The subsequent comments are worth a glance. Shane spotted this last year as well. Particularly interesting was Ron Hovsepian's financial gain (just shortly after the deal with Microsoft had been signed). For a CEO of a large companies, such transactions would be hard to conceal. Fortunately enough, Shane had his eyes on it. We later drew further conclusions.

”Was Novell cooking the books (the 'numbers game')?“SCO entered in the state of bankruptcy after its shares had sunk and Acacia, which we consider to be another Microsoft proxy [1, 2, 3, 4, 5, 6, 7, 8, 9], recently followed a similar path. What about Novell?

In case you wish to know more about NASDAQ warnings and Novell's non-compliance in 2007, see [1, 2, 3, 4, 5, 6, 7]. Some thought as Novell as a takeover target at that stage and soon afterwards Novell finally complied. Was Novell cooking the books (the 'numbers game')? Dana Blankenhorn seems to have scared Novell when it said that the company was merely ‘massaging’ its financial figures (Microsoft, Dell and many others do it as well, but that's another story). Here is what a knowledgeable reader of this Web site tells us:


Keep in mind that the Nasdaq delisting issue can be justified by Novell merely as a "bureaucratic paperwork deadline problem" (in fact you can see Dell reported in the same situation at some of the news picks)the determinant and differentiating thing here is the clue of the Wells Fargo Bank, according to which, Novell was in default. And look at the figures, 600 million dollars, although I cannot quite grasp the role of Wells Fargo Bank here, I am not very good at English financial terminology, maybe since you are a native English speaker, it makes more sense to you.


With redacted disclosures [1, 2, 3] it's hard to tell what exactly is/was going on, but clues are just about given away. Shane and I analysed and simplified some of them [1, 2, 3, 4].

It remains a fact that Novell is too Microsoft-dependent (financially speaking, but increasingly on a technical level as well [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33]). A reader of this Web site takes a very wild and speculative guess:


Going further in "black helicopter mode", It is **my personal impression** that Microsoft might have "virtually" bought Novell (no, serious). If Novells financial situation was bad enough (think about how well corporations can make-up their financial reports, take ENRON as example), maybe they were too easy a target for Microsoft... Novell being "virtually" property of Microsoft inc. might explain many, many things, like the attitude of De Icaza towards the whole issue and the passiveness of Novell's execs towards Ballmer's bragging about Gnu/Linux users owing him money but this last paragraph is just pure speculation on my part...time will tell.


Bear in mind that Miguel de Icaza has been helping Microsoft not only in the EU. Recently, Miguel has helped Microsoft resolve ECMA comments. Essentially, as a Novell employee, he actively helps Microsoft getting OOXML approved as an ISO standard. Should one be surprised at all? It's a rhetorical question. It's stuff like that which may be one of the reasons SUSE developers abandoned the company.

Novell's Employment



Over 250 jobs were cut in the past few months [1, 2, 3, 4]. Layoff rumours [1, 2, 3, 4, 5, 6], such as a rumour about the axing of 1,100 Novell jobs, have usually materialised. There are also the large-scale 2005 layoffs. Despite the optimistic outlook from UBS, which might have vested interests, the best advice may be to simply:

Sell Novell



It's just an honest assessment and an humble opinion. Other people have already said (and we have also speculated) that Novell could be the next SCO [1, 2, 3, 4, 5, 6]. If you follow the external links, you'll find that we are not alone in making such a prediction (maybe even a compelling comparison).

Eyes Back on SCO



Intellectual property litigation and various funding activities appear to have already gone beyond SCO. Speaking of which, SCO insists on carrying on with its trial, despite the setbacks and without selling its assets as some have predicted. At this stage of the trial, this seems rather insane.

Wow. SCO has withdrawn its motion, the "emergency" motion, to sell its assets.


More about this here.

Last month we brought you the astonishing news that someone actually wanted to by SCO, the now-bankrupt perennial thorn-in-the-side of the Linux community. As of today, the joke is again on them, as they've had to hightail it in reverse with their tail between their legs.


It was only a week ago that we found Microsoft approaching SCO using a proxy, for financial matters.

"I guess filing as MSLI instead of Microsoft Licensing is like putting on sunglasses, hoping no one will notice you"


How about this recent writeup, which bears the headline "Did Microsoft ruin SCO?"

Which comes to the scenario in mind. Gates approaches McBride and puts forth a proposition that SCO should try and make money out of Linux. He offers to bankroll the operation in a backhanded manner and then steps back to watch the action unfold. His reasoning for doing this? To have a test run before he puts Microsoft through the same paces. Either way he wins.


Never forget what Eric Raymond wrote when he parsed his way through the Halloween Documents.

There you have it. At least a third of SCO's entire market capitalization, and their entire current cash reserves, is payoffs funnelled from Microsoft. Their 10Qs reveal that every other line of cash inflow is statistical noise by comparison. The brave new SCO source business model is now clear: sue your customers, shill for Microsoft, kite your stock, and pray you stay out of jail.


It would be far fetched to draw similar conclusions about Novell, but the possibility of insiders cannot be easily ignored.

Recent Techrights' Posts

Microsoft Lacks a Solid Strategic Plan Other Than Buying Its Own Stock (and Paying Staff in Shares)
Beware and be cautious of bubbles
Microsoft's Chatbot Strategy Resulted in Massive Losses, So Now It's Trying to Reinvent Itself as 'Hardware Company' (Once Again, Years After XBox, KIN, Windows Phone and Surface Failed Miserably)
revenues associated with Windows has fallen sharply
 
Microsoft's Pearls of Wisdom: Layoffs Are Growth
Microsoft boss: layoffs are "long-term growth."
[Meme] Hide the Bodies
hiding EPO's role in funding Lukashenko
Josef Kratochvíl and All the European Patent Organisation's Chiefs (at the Administrative Council Too) Notified That Over 1,000 Members of Staff Demand Action on Patent Quality and Compliance (Industry Too is Alarmed That Many Invalid Patents Get Granted)
Huge corruption
Debian trademark canceled
Debian trademark canceled
Links 23/02/2024: Feed Aggregator and 2 Years of Invasion, Alexei Navalny’s Mother Blackmailed
Links for the day
Gemini Links 23/02/2024: Getting 'Sick' of Modern Tech and Deletion of One's Reddit Account
Links for the day
Links 23/02/2024: 227 Microsoft Layoffs Noted in Santa Clara and Disaster in Rivian
Links for the day
IRC Proceedings: Thursday, February 22, 2024
IRC logs for Thursday, February 22, 2024
Over at Tux Machines...
GNU/Linux news for the past day
[Meme] It's NOT Your PC
losing control of hardware
Gemini Links 22/02/2024: Removing Radio Ads and Being Seen on the Internet
Links for the day
Mark Shuttleworth and the Question of Liability (Debian Volunteers He Pressured Before the Suicides)
Humanity for me
Mark Shuttleworth's (MS) Canonical Running Microsoft (MS) Ads, Mischaracterising Mass Surveillance as 'Confidential' (the Usual Lie)
The money talks, so the facts are absent
Ads as 'Articles'
Money buys perception manipulation (or reputation laundering) campaigns
Abraham Raji & Debian, DebConf kayak death: search abandoned, evading liability
Reprinted with permission from Daniel Pocock
Links 22/02/2024: Chatbots Failing 'Big Time' and More Condemnations Appear of Bill Gates
Links for the day
There May be Close to 100,000,000 Laptops and Desktops Running GNU/Linux Around the World in 2024
hard to track the number
Search Engine Market Share Worldwide Shows How Badly Microsoft's Chatbot Strategy (Hopes) and Vapourware Have Failed
Bing, which was marketed as the forefront "product" for chatbots (Microsoft paid the media a lot of money for hype campaigns), gained nothing at Google's expense
[Meme] Demoralising and Putting Down Your Staff
unproductive and dangerous approach
This Week's Letter to António Campinos About Mean-Spirited Line Managers at the European Patent Office (EPO)
Seems like a way to get rid of staff. Some will resign in anger.
Software in the Public Interest (SPI) & Debian obfuscated structure fooled suicide victim's family: the ultimate example of bad faith
Reprinted with permission from Daniel Pocock
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, February 21, 2024
IRC logs for Wednesday, February 21, 2024
Gemini Links 22/02/2024: What We Pass On and HTTP Header Viewer
Links for the day
Manuel Estrada Sainz (ranty), Andres Garcia (ErConde) & Debian Deaths overworking
Reprinted with permission from Daniel Pocock
GNU/Linux Rising to 8% of Desktops/Laptops in Jordan?
what statCounter shows
[Meme] If Iraq Launches an Investigation Into How Microsoft Bought OpenAI Without Paying for It
fake "money" from Microsoft
Windows Has Fallen to 13% Market Share in Iraq (It was 100% Just 15 Years Ago), GNU/Linux Rose Sharply in Recent Years
In recent years Iraq was developing its own GNU/Linux distro
Springtime is Next, Here's What We Plan for March and April
This month and next month we expect to publish something unique about EPO abuses every day
Studying the Freedom of firefox-123.0.tar.bz2
The "F" in Firefox
Abraham Raji, Jens Schmalzing & debian-private cover-ups after deaths, accidents, suicides
Reprinted with permission from Daniel Pocock
Microsoft Bribes, Keeping Regulators at Bay
crime and corruption
[Meme] The Quotas Came From Above
EPO targets
EPO Talent Planning & Architecture is Another Attack on EPO Staff and the Central Staff Committee (CSC) Explains Why
ignore the flowery words
[Meme] Just Following Orders From "The Fu**ing President" António Campinos
Salary? OBEY!
Links 21/02/2024: China Working on West-less Tech Future, More Bounties on Patent Troll Leigh M. Rothschild (Which IBM et al Failed to Dismantle at the Root)
Links for the day
Links 21/02/2024: Encryption Backdoors Deemed Not Legal, Decentralised Web Under Attack
Links for the day
Games:Steam Audio as Free Software, Hazard Pay, ChipWits, and More
7 stories for today
Julian Assange, Wikileaks & Debian-private
Reprinted with permission from Daniel Pocock
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, February 20, 2024
IRC logs for Tuesday, February 20, 2024
Links 21/02/2024: Microsoft Sued for Monopolistic Policies, More Layoffs Planned for Next Month
Links for the day