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SCO blames Linux competition for bankruptcy

by on19 September 2007

Image vs. Image

Expensive failed court action nothing to do with it


SCO Group CEO Darl McBride has blamed competition from Linux as the major reason why the company was forced to file for Chapter 11 bankruptcy protection.

In the bankruptcy petition filing, McBride noted that SCO's sales of Unix-based products "have been declining over the past several years because of Linux.

SCO claims it owns all copyrights over Unix and that Linux infringes on those copyrights.

However if McBride looks at the dates of his company's slide, it also coincided with SCO's expensive and mostly pointless court case against Novell and IBM over who owned Linux code.

SCO has also filed a petition for reorganisation in addition to the Chapter 11 filing. SCO said the filings will help ensure that it "will not have any interruption in maintaining and honoring all of its commitments to its customers" and will allow it to pay its vendors.

Last modified on 19 September 2007
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