Mac Cloner Psystar Files for Bankruptcy

openproMac cloner Psystar has filed for bankruptcy, effectively stalling Apple’s legal case against the Florida-based startup.

Filed with the federal courts in Florida, the voluntary petition for bankruptcy protection temporarily puts Apple’s lawsuit on hold while the bankruptcy court begins proceedings.

Apple in July 2008 filed suit against Psystar alleging copyright, trademark and shrink-wrap license infringement. Psystar opened its Mac clone business in April, selling a PC hacked to run OS X Leopard.

Apple strictly forbids its operating system to be installed on anything but Apple products. The corporation alleges Psystar is violating the Mac OS X end-user agreement, which states, “You agree not to install, use or run the Apple Software on any non-Apple-labeled computer, or to enable others to do so.” The corporation also alleges Psystar is committing copyright infringement by installing OS X on non-Apple hardware.

Psystar did not immediately respond to requests for comment. However, the bankruptcy petition suggests Psystar’s investors may have withdrawn from financially backing the company. The bankruptcy filing also implies that Psystar likely cannot afford a legal team to win its battle against Apple.

Winning the lawsuit would be a large victory for Apple, as it would set a legal precedent enabling the corporation to easily squash other existing Mac cloners.

The Florida court on June 5 will hold a hearing revealing Psystar’s equity creditors, meaning if there any large entities backing the Mac cloner (e.g., Microsoft), we’ll know who they are very soon.

Suggestion of Bankruptcy [PDF via MacObserver]

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Image courtesy of Psystar


Jury awards i4i $200 million in damages in Microsoft patent suit

It’s not quite on the level of some of Microsoft’s past patent showdowns, but a Texas federal jury found yesterday that the company should pay a still hefty $200 million in damages to Canadian software firm i4i Ltd for some supposed wrong doing. That company had alleged that Microsoft knowingly infringed on one of its patents in both Word and Vista, which apparently concerned “manipulating a document’s content and architecture separately.” For its part, Microsoft unsurprisingly begs to differ, and says that “the evidence clearly demonstrated that we do not infringe and that the i4i patent is invalid,” adding that it will, of course, “ask the court to overturn the verdict.”

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Jury awards i4i $200 million in damages in Microsoft patent suit originally appeared on Engadget on Thu, 21 May 2009 14:02:00 EST. Please see our terms for use of feeds.

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Cablevision on track to deliver Network DVR this Summer

CablevisionWe all want the same thing right? The ability to watch any show we want, whenever we want, and wherever we want. Sounds easy, but even in this day and age to achieve this easily isn’t possible. Currently there are a few ways this might happen down the road, and one that looks to be coming our way sooner rather than later is Cablevision’s Network DVR. While a traditional DVR has a hard drive in it to store your shows, the Network DVR wouldn’t. Instead it would stream the content from a centralized data store, like VOD. You’d still have to pre-schedule your recordings and presumably you’d still have a set limit, but ordering DVR service wouldn’t require a new box and best of all, you should have access to all the same content in any room of the house. This has been in the making for a long time now — three years actually — but Hollywood has been tying it up in court. Luckily the courts have been on Cablevision’s side, but it does appear that the consumer may still get the shaft. That’s because it seems there’s a chance that the Network DVR won’t let you fast forward through commercials, which would obviously make it a show stopper for most.

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Cablevision on track to deliver Network DVR this Summer originally appeared on Engadget on Wed, 20 May 2009 14:21:00 EST. Please see our terms for use of feeds.

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AMD ‘breaks free’, creates site dedicated to Intel’s antitrust ruling

We knew AMD would be celebrating its victory over Intel and its record $1.45 billion fine doled out by EU over violation of antitrust rules, but we figured that just meant a very fancy cake and maybe a trip to the local zoo. Nay, we were mistaken, as the chip maker has gone all out in creating an entire website dedicated to its victory. “AMD Break Free” is pretty amazing in its thoroughness, and you’ll find all kinds of court documents, press releases, explanations of antitrust laws, and even a news feed to follow further developments. Of course, Intel’s appeal is a sure sign this case will be drag on for a very long time, possibly even become overturned, and none of this apparent gloating is gonna help one bit in getting the company back into the top ten rankings for chip manufacturers.

[Thanks to everyone who sent this in]

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AMD ‘breaks free’, creates site dedicated to Intel’s antitrust ruling originally appeared on Engadget on Mon, 18 May 2009 21:36:00 EST. Please see our terms for use of feeds.

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EU expected to rule against Intel in AMD antitrust case: Microsoft points, afraid to laugh

There are many tried and true methods for beating your competition in the free-market. Product innovation seems to work as does a proprietary ecosystem of peripherals, media, and services that keep customers locked-in for life. Or you can take Intel’s approach: pay computer makers and retailers “to postpone or cancel” products containing CPUs from AMD, Intel’s chief rival. That’s the allegation it faces in the EU which, according to Reuters, has completed its antitrust investigation and is preparing to announce its decision on Wednesday. According to Reuters’ sources, the European Commission will fine Intel for the violations discovered over the last eight years and order changes to Intel’s business practices. It remains to be seen if the related fine exceeds the $655 million levied against Microsoft in 2004. But given the EU’s distaste for anti-competitive practices, we’re not expecting Intel to get off easy — self-proclaimed “rock star” status or not.

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EU expected to rule against Intel in AMD antitrust case: Microsoft points, afraid to laugh originally appeared on Engadget on Mon, 11 May 2009 03:57:00 EST. Please see our terms for use of feeds.

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Apple / Google relationship being investigated for antitrust violations

The relationship between Apple and Google has always been pretty cozy — Mac OS X and the iPhone tie into a variety of Google services, Google’s developed rule-breaking iPhone apps, we’ve heard endless whispers of Apple meddling in the development of the G1, and on and on. In fact, the relationship between the two companies is so tight they actually share board members: Google CEO Eric Schmidt and former Genentech CEO Arthur Levinson take meetings in both Cupertino and Mountain View. That’s apparently raised some hackles at the Federal Trade Commission, which has reportedly informed both companies they’re being investigated for violating a rarely-enforced section of the Clayton Antitrust Act prohibiting “interlocking directorates” when it reduces competition. That sounds like someone at the FTC just noticed that Apple makes the iPhone and Google’s responsible for Android, but nothing’s set in stone yet — and we’ve got a feeling Android’s open-source codebase could throw a monkey wrench into an already-complex legal analysis. We’ll obviously be tracking this one closely, keep an eye out.

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Apple / Google relationship being investigated for antitrust violations originally appeared on Engadget on Mon, 04 May 2009 23:10:00 EST. Please see our terms for use of feeds.

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Broadcom and Qualcomm agree to stop suing one another, but not to stop hating

Truthfully, we’re having a hard time coming to grips with this. For as long as we wished that these two would stop bickering, it’s actually tough to swallow the fact that we’ll never again be able to write about “yet another lawsuit” between Qualcomm and Broadcom (in theory, anyway). After nearly three full years of fighting with pencils, papers and soulless words, the courtroom throwdowns are finally ceasing. In a shocking development, the two rivals have entered into a settlement and multi-year patent agreement that will “result in the dismissal with prejudice of all litigation between the companies, including all patent infringement claims in the International Trade Commission and US District Court in Santa Ana, as well as the withdrawal by Broadcom of its complaints to the European Commission and the Korea Fair Trade Commission.” The exact terms of the deal are posted after the break, though you should know that Qualcomm will have to shell out $891 million in cash (ouch!) over the next four years. The lawyers may be out of work, but you can rest assured that there’s no shortage of abhorrence between these frenemies.

Continue reading Broadcom and Qualcomm agree to stop suing one another, but not to stop hating

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Broadcom and Qualcomm agree to stop suing one another, but not to stop hating originally appeared on Engadget on Sun, 26 Apr 2009 22:59:00 EST. Please see our terms for use of feeds.

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Sony sued for cheating man out of rumble patents

Two years after we thought it was all over, it sounds like the saga of Sony, Immersion, and the rumblin’ DualShock has yet another chapter: a New Jersey electrical engineer named Craig Thorner is now suing Sony and its attorneys, claiming that he was more or less duped out of one of his patents in a shady deal designed to help Sony and PDP/Electrosource beat Immersion’s cases against them. Oh yeah, it’s a tangled mess — Thorner first signed over his patent to Immersion, hoping to score a little slice of royalty pie when the lawsuit settled, but then took it back when he decided Immersion wasn’t pursuing it hard enough and signed it over to PDP/Electrosource, who promised him $150,000. So where does Sony come in? Thorner says PDP and Sony were teamed up to beat Immersion, and that Sony was secretly the one licensing the patent but trying to remain out of the picture to keep the price down — and he’s got proof, in the form of a $150,000 wire transfer between the two companies. Not only that, but Sony’s attorneys apparently promised Thorner that they could “wear two hats” during negotiations and represent both him and Sony, which is ten kinds of shady. You can guess what happened next: Sony lost, PDP settled, and Immersion sued Thorner for breaking his agreement — and Sony’s attorneys didn’t help him defend the lawsuit. Did we say ten kinds of shady? Eleven kinds. Of course, it’s doubtful that Thorner is totally innocent here, so it’ll be interesting to see how Sony responds, but at this point we’re treating the DualShock 3 as a miracle of nature and leaving it at that.

[Via Joystiq]

Read – GamePolitics article (with PDF of the complaint)
Read – Law.com article

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Sony sued for cheating man out of rumble patents originally appeared on Engadget on Fri, 24 Apr 2009 13:44:00 EST. Please see our terms for use of feeds.

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CSIRO’s patent lawsuits conclude with the final 13 companies settling

Looks like CSIRO‘s legal days are over — for the moment, at least. Having already reached an agreement with HP, the Australian government-funded research firm announced this week that it’s settled with the remaining 13 companies it sued for patent infringement, claiming it owned the rights to 802.11a/g. For those who haven’t been keeping track at home, that includes Dell, Intel, Microsoft, Nintendo, Fujitsu, Toshiba, Netgear, Buffalo, D-Link, Belkin, SMC, Accton, and 3Com. The details of any of the settlements are undisclosed, but as iTnews reports, it’s expected CSIRO ended up with some substantial monies now that the dust has settled. Chief Executive Dr. Megan Clark noted that it’ll continue to “defend its intellectual property,” so if you’re a high profile tech company who creates WiFi-equipped gadgets and hasn’t been served a lawsuit yet, we don’t blame you for being a little nervous right now.

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CSIRO’s patent lawsuits conclude with the final 13 companies settling originally appeared on Engadget on Wed, 22 Apr 2009 00:53:00 EST. Please see our terms for use of feeds.

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The Pirate Bay founders sentenced to prison, website soldiers on

In what’s being described as a landmark verdict, four men responsible for assisting throngs of dubious internet users to download all sorts of copyrighted material are being ushered off to prison cells for twelve whole months. The Stockholm district court in Sweden found the defendants guilty not of hosting materially illegally, but of “providing a website with sophisticated search functions, simple download and storage capabilities, and a tracker linked to the website [that helped users commit copyright violations].” As expected, the foursome seems unaffected by the ruling, with Peter Sunde (shown) tweeting that “it used to be only movies, now even verdicts are out before the official release.” After jail, the crew will be forced by pay 30 million kronor ($3.56 million) to a number of entertainment companies, which is far less than those firms were hoping for. Curiously, we’re told that the verdict didn’t include an order to shut down The Pirate Bay website, and you can pretty much bank on an appeal being filed in record time.

[Thanks to everyone who sent this in]

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The Pirate Bay founders sentenced to prison, website soldiers on originally appeared on Engadget on Fri, 17 Apr 2009 07:12:00 EST. Please see our terms for use of feeds.

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