Bonum Certa Men Certa

SCO “Wants to Sue Linux Users Some More” After Another Mysterious Cash Injection

20 bucks on the table



Summary: SCO's business plan is consistent and the main party benefiting from it is still Microsoft

THE PREVIOUS post showed that Microsoft was investing in T3, which currently sues to challenge the dominance of GNU/Linux in mainframes.



The T3 story is similar to SCO's. As Groklaw now puts it, SCO "Wants to Sue Linux Users Some More" if the funding goes through. As Jones points out:

[D]id you catch the part about "other potential defendants" in addition to Novell, IBM, Red Hat and AutoZone? Everybody pretty much goes to unXis, leaving McBride as captain of the Good Ship SCO, and he gets to sue and sue and sue, while the assets have gone to unXis, so if SCO loses all the litigation, then the victors get no spoils and can't be be made whole by the legal process. But what particularly struck me is SCO saying that they will be able "to move the UNIX business forward with unXis in a very exciting way." "With unXis"? In what sense? It starts to hint that this is more a renaming, taking in some new management who seem to have financial expertise, and SCO keeps skipping along as unXis, with the dangerous litigation spun off safely into a litigation troll. Is that not what you see?


Ryan Paul wrote about this too:

SCO wants to keep waging legal war after $2.4M asset sale



SCO has secured a deal to sell off its major assets for $2.4 million to an IT consulting firm called Unxis. The agreement, which is still awaiting court approval, specifies that SCO retains the right to continue pursuing its litigation.


It is valuable to remember the Microsoft connection to SCO's latest funding source [1, 2, 3]. It is some dodgy entity which profited from the invasion of Iraq. From Heise Online:

The information on its new policy, which SCO hopes will achieve a last minute stay of execution from pending bankruptcy proceedings, also includes details of the new investors behind unXis. These include Gulf Cap Partners, backed by known investor Steven Norris, who has been interested in SCO since early 2008. It is joined by London-based investment company Merchant Bridge, which, according to its website, has up to now primarily been involved in Iraqi companies and banks. According to anti-globalisation observers at Corporate Watch, Merchant Bridge is among the top ten companies to profit from reconstruction work in Iraq.

In disclosing this information, SCO Group is clearly seeking to restore trust among businesses still deploying SCO products, such as SCO OpenServer, UnixWare and SCO Mobile Server. Almost all of SCO's technical support staff, software developers and Unix marketing staff will, according to the website, move to unXis.


According to Groklaw, SCO buys itself more time.

SCO has filed a Notification of Late Filing with the SEC. They're tied up in bankruptcy court, it appears, so they can only give a ballpark idea of how things are going in the revenue department. Think South. I know. Their prince will come, if they can just drag this out long enough for the appeals court to act in their favor, which intriguingly all the SCO shills seem to think is as fixed in the sky as the Big Dipper.


Red Hat already steps into this scene in order to shoot down SCO's attempt to escape a ticking clock (here is Red Hat's complaint as text).

Red Hat is letting the court know that it cares about its litigation, it intends to vigorously pursue it as soon as the bankruptcy stay is lifted, and its claim should not be thrown off a cliff without giving Red Hat notice and an opportunity to be heard.

[...]

Here's SCO's Objection to Red Hat's Claim [PDF], as text. Reading it, I get the picture, I think. SCO wants the bankruptcy judge to handle the Red Hat litigation, and since it filed similar objections to IBM, Novell and SUSE's claims, it wants to get out from under them too. That way they can go out and sue new people, I suppose, without all those damages slowing them down.

I know. Well, if you were SCO, wouldn't you want this bankruptcy judge to handle all your affairs? Could this really be the plan? They are the amazings, so why not? Their position is that the appeal of Novell will annoint SCO as the victors after all, and all the other cases will then fail against them, so the claims are worthless. SCOthink.


Groklaw wrote about the unXis APA Motion and later provided the full text.

“But at the end of the day, to Microsoft it was a good turn of events and one which was worth billions.”To what extent is Microsoft involved this time around? It paid SCO at least twice before. The first time it paid millions for a SCO source licence which was not required and the second time it injected investments into SCO by approaching BayStar. It got caught red handed.

Microsoft may pretend that there is a "new Microsoft", but this "new Microsoft" happens to be more criminal-minded than the "old" one. The TomTom lawsuit was a very good reminder. It completely destroyed the remnants of an illusion that Microsoft is not an aggressor, so people are waking up and feeling disgusted by Microsoft's new (and short-lived) business model.

SCO's share price rose when they first sued Linux. Little did the shareholders know what this strategy had in store. But at the end of the day, to Microsoft it was a good turn of events and one which was worth billions. To Microsoft, GNU/Linux is the #1 competitor. SCO-type FUD is the same strategy over and over again.

Comments

Recent Techrights' Posts

Debian is Dying for Some of the Same Reasons IBM's Fedora is Rapidly Dying
Prioritising CoC censorship, not communities
2026 Microsoft Layoff Rumours
Surely if we had properly-functioning media, then someone would investigate this rather than rely on official statements from Microsoft and WARN notices
Microsofters' SLAPP Censorship - Part 13 Out of 200: Abuse of Process to Make False Accusations of UKGDPR Violations
familiar barrister and same lawyers
What Puts the Brakes on GNU/Linux Adoption on Laptops and Desktops is Monopoly Control (or Monoculture) Over the Distros
Distros that adopt systemd are controlled by IBM and GAFAM
 
Links 16/03/2026: Moscow Experiencing Cellphone Internet Outages, "Salman Rushdi eIs Tired of Talking About Free Speech"
Links for the day
The Register MS is Again Femmewashing GAFAM (Which Makes Widows) in Exchange for Money
This is a moral issue because they betray or harm women and prop up authoritarian regimes
Gemini Links 16/03/2026: AB 1043, Lagrange Android Beta 47, and Poetry
Links for the day
"Slop-forking" or "Vibe-forking" as the New 'Noble' Plagiarism
New Cloudflare Slop Project?
EPO "Cocaine Communication Manager" - Part VII - Cult Mentality, Mobbing, Nepotism
Does the EPO actually believe in the law?
EPO Strike This Week
contact your national representatives about it
Gemini Links 15/03/2026: "Create Opportunities for Good Things to Happen", DOSbook, and Bitcoin Criticism
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, March 15, 2026
IRC logs for Sunday, March 15, 2026
Pirate Praveen Arimbrathodiyil & Debian denouncing volunteers, hiding romances
Reprinted with permission from Daniel Pocock
Links 15/03/2026: WB Games Montréal Undergoes Layoffs, "Swiss Reject Cuts to Public Broadcasting"
Links for the day
Gemini Links 15/03/2026: Messages in Bottles and Audio Streaming in Lagrange for Android
Links for the day
Thrown Under the Microsoft Bus
Microsoft wants disposable contractors
Quitting IBM and "Rumors of an Upcoming RA [Mass Layoffs] in April 2026"
Blue layoffs or "RAs" were confirmed upfront by the CFO
GNU/Linux Distro Builders Barely Paid Enough to Pay Basic Bills, Chief of "Linux" Foundation (Not Even Using Linux!) Increases His Own Salary by Over 50% in 5 Years
Salaries or compensation correlate with the ability to exploit people, not to create things
The "Zero-Sum" Fallacy
Fallacies like "zero-sum" - especially in the context of foreign affairs including war - are utterly ruinous
A Happy Birthday to Richard Stallman
Richard Stallman will turn 73
Jürgen Habermas is Dead, But the Politicised, Inherently Corrupt, Corporatised Court for Patents That He Inspired Is Not
In the news throughout the weekend
Mountains of Abuses of Process by Brett Wilson LLP on Behalf of Americans and Sometimes at the Expense of British Taxpayers
a virtual "limited liability"
linuxteck.com FUD by LLM Slop, ubuntupit.com Passes the Slop Baton
Unless they get back to doing long-form authentic articles, as opposed to slop, no good will come out of it
Links 15/03/2026: New Shortages, Lynx Populations Depletion
Links for the day
Sruthi Chandran & Debian Diversity, Favoritism, Hidden Conflicts of Interest
Reprinted with permission from Daniel Pocock
software in the public domain
Reprinted with permission from Alex Oliva
Links 15/03/2026: Slop "Bubble Driving Interest in Chip Alternatives" and Wildlife Erosion Reported
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, March 14, 2026
IRC logs for Saturday, March 14, 2026
Layoffs in Twitter, Facebook, and Microsoft's LinkedIn
There are silent layoffs at Microsoft this month
We Don't Depend on Google and Don't Care for Google
We have our own site search and we don't depend on Google to bring visits/visitors to us
Change of Address at the Hired Guns, Address Removed
Companies tend to alter their 'shell structure' in anticipation of major action
Facebook Layoffs Due to Enormous Debt, Nothing to Do With "Hey Hi" Slop
The lies about "hey hi" in relation to layoffs will only contribute to further public resentment towards: 1) the media and 2) all the slop.
The Good IBM Managers Have Flown Away, All That's Left is the Book-Cooking Loyalists
IBM is just cheating the SEC and shareholders. This seems to be the only thing IBM's management is nowadays good at.
Microsofters' SLAPP Censorship - Part 12 Out of 200: Months Ahead of Serial Strangler From Microsoft Who Helped Double the Lawsuits (Funded by Third Parties) as 'Revenge' for Exposing Crimes
In 2024 I sat down and wrote about what had been done to me and to my wife
Crime Comes in Many Forms
apparently the SRA is OK with stranglers of women in America bullying the media in the UK
commandlinux.com, linuxteck.com, linuxiac.com, and linuxsecurity.com are Slopfarms With "Linux" in Their Domain Name
once readers realise they read slop they immediately lose interest
Links 14/03/2026: Adoption of Slop Has Killed BuzzFeed, Russia Sees "Economic Gain From Iran War"
Links for the day
Patriotism is Conditional, If It's Unconditional, Then It's Like a Cult
My love for Software Freedom is only as strong as my love for Freedom of the Press
Links 14/03/2026: Mass Layoffs at Facebook ('Meta') and Sweeping Layoffs at Twitter (xAI), Social Control Media and Slop Are Only Debt
Links for the day
Wrong Time, Wrong Place (Digg)
Kevin Rose and Alexis Ohanian can relaunch Digg.com, but we doubt it'll work "this time for real!"
Universities Became Bad Places for Work
What happened to academia?
Reporting New and Suppressed Information is What Journalism is All About
In the domain of Free software, there are very few sites out there that offer exclusive coverage on community affairs and there are many gagging/censorship attempts
The Limits of Speech and the Rationale of Limitations
it seems to be part of an international trend
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, March 13, 2026
IRC logs for Friday, March 13, 2026
Gemini Links 14/03/2026: Goodness, AD534 Multiplier Module, and Extroverts Online
Links for the day