As SCO Burns Down, Channel Partners Feel The Heat

Stacey Cowley looks at the staggeringly ironic situation SCO now finds itself in, in the wake of a U.S. District Court judge's decision that Novell still owns the Unix copyrights SCO has been collecting fees on:

"It also, ironically, left SCO needing protection from the financial consequences of its own lawsuits. Since the Utah court ruled that Novell owned the Unix copyrights, it also determined that Novell was entitled to a share of royalties SCO has earned from licensing those copyrights. Novell and SCO were slated to begin trial yesterday to determine the amount SCO would need to fork over, but SCO's last-minute bankruptcy filing prompted a postponement of the Novell trial."

Unfortunately, SCO VARs, (one of the company's "most valuable assets") can do little but watch in dismay:

"VARs who partner with SCO are left wondering about the fate of the company and its product line. PC-Pros Inc. in Port Washington, N.Y., has been working with OpenServer Unix for decades, dating back to its '80s origins as Xenix. The rock-solid operating system is popular with legacy clients, according to President Mark Schneider.

'We're definitely concerned," Schneider said. "It's a significant portion of our business, and we'd like it to continue.'"

Posted by Joe Caponi at 11:48 AM, September 19, 2007

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