HP Vows To Protect Linux Customers From Any SCO Lawsuit Fallout

Stressing that it has not signed any licensing agreement with SCO, HP said it is offering all current and future Linux customers full indemnification from any copyright infringement claim that SCO might wage against them in the future.

The indemnification clause begins after Oct 1, 2003. HP, Palo Alto, Calif., said it hasn't exchanged any money with SCO and is taking this step to make customers feel at ease about moving forward with Linux despite the tense legal climate.

"HP hasn't signed any Linux agreement with SCO. This is about accountability and protecting the customer," said Martin Fink, who runs HP's Linux Systems Division, during a conference call on Wednesday. "Linux is gaining momentum and continues to play an integral role. We have not found customers are worried about long-term viability of Linux and the lawsuit, but we developed this [plan] to mitigate the risk of choosing Linux.

SCO called HP's indemnification clause a proper reading of its strong legal case.

"HP's actions this morning reaffirm the fact that enterprise end users running Linux are exposed to legal risks," read a statement released by SCO, which obtained some copyrights to Unix System V in July. "Rather than deny the existence of substantial structural problems with Linux, as many open-source leaders have done, HP is acknowledging that issues exist and is attempting to be responsive to its customers' request for relief. HP's actions are driving the Linux industry toward a licensing program. In other words, Linux is not free."

While SCO's lawsuit against IBM relates to alleged contractual violations, SCO tried to broaden the scope of accountability last May by sending many large Linux customers a warning letter saying they could be held culpable if IBM loses in court. The trial isn't expected to begin for at least two years, sources say.

SCO, which caused furor in the industry with its letter, has claimed that corporate customers could protect themselves by paying for a SCO Unixware license. SCO alleges that IBM improperly donated Unix System V code for which it holds copyrights to the Linux kernel.

"Now that HP has stepped up for its customers, SCO once again encourages Red Hat, IBM and other major Linux vendors to do the same," according to the SCO statement. "We think their customers will demand it."