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EV1 Servers CEO Responds To Customers 537

Retalin writes "EV1 CEO Robert Marsh gave his customer base a written explanation for the purchase of his decision to purchase a SCO License late last night. The most interesting quote was this: "It has been argued by a Linux Journal reporter that I have essentially called the various GPL Linux developers plaugerists. This is false as I would never make such a claim against them. They are some of the brightest minds for whom I hold a great deal of respect.""
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EV1 Servers CEO Responds To Customers

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  • Full Text (Score:4, Informative)

    by CuriousGeorge113 ( 47122 ) on Tuesday March 02, 2004 @09:12AM (#8439374) Homepage
    After Yesterdays /.'ing of their forums, here's the full text of the commnet before the whole thing bork's out

    Additional Headsurfer Comments Regarding SCO Contract

    By now, many of you have heard of oru agreement with SCO. What you have probably heard, though, is misinformation about the arrangement.

    We license Linux through Red Hat. They provide our distribution and support/updates for the Enterprise distribution. Plus, they do an awesome job at delivering. Their support and dedication is second to none. Our agreement with SCO is in no way any kind of indictment on Red Hat.

    We did not license a linux distribution or any software covered by a referenced EULA from SCO. We did, however, license certain IP from SCO.

    We fullly support the GPL and the open source movement.

    It has been argued by a Linux Journal reporter that I have essentially called the various GPL Linux developers plaugerists. This is false as I would never make such a claim against them. They are some of the brightest minds for whom I hold a great deal of respect.

    Other have claimed that we're essentially funding SCOs various lawsuits. This is not true. SCO already has like $60 million on hand and our small fee would not go very far defending an action such as this, much less prosecuting one.

    We make no endorsement of SCO nor do we make any admission as to their claims.

    HOWEVER, what we did do was make a prudent business decision based upon our circumstances and our customers needs and the need to bring certainty to their businesses.

    Whatever your position on the various suits, which SCO has said will increase. These suits have a very real and significant cost, even if proven unsuccessful. These are costs we were prepared to bear as we did in the Free Speech case with CI Host. the vast majority of smaller hosts using our services do not have our resources to defend/prosecute such an action. While our decision may not be popular, it does ensure that our customers (to the extent that they operate servers in our data centers) are protected from action by SCO with respect to those servers.

    No legal action is certain. The outcome of every legal action is subject to risk. (Just look at the OJ Simpson case .. who would have figured that one) There is significcant risk on both sides of this equation.

    In every step building the EV1 business, I've had to make decisions that I believed in my heart were in the best interests of my clients and my shareholders. My team and I have worked to bring the best possible service at the best possible price to our customers. In this case, the same decision making tools were employed and only after significant thought and analysis, an action taken.

    As a result of this action, our customers can be assured that as these cases work their way through the legal system, that thay have no worry that SCO will take action against them for servers in our data centers.

    I do appreciate the positive comments and emails that many of you have sent as I also understand the negative positions that others have taken. We are fortunate to live in a country where it is possible to speak your mind freely.

    Robert Marsh
    Head Surfer

    DC2 Opens on Wednesday with limited server availability. Initial deployments are likely to be dual drive/1 GB configurations. Additional configurations will follow as time and space allow.
    • by glassesmonkey ( 684291 ) on Tuesday March 02, 2004 @09:44AM (#8439609) Homepage Journal
      EV1Servers Pays License Fee to SCO [netcraft.com]

      ...
      By paying a licensing fee to insulate itself against SCO's legal claims, EV1Servers drew immediate fire from many corners of the Linux community, with some Slashdot [slashdot.org] readers suggesting a boycott of the company. EV1Servers is one of the largest dedicated hosting companies, with more than 11,000 Linux servers visible on the Web, according to our most recent survey. [netcraft.com]

      "We realize we may be vilified by some diehards within the industry, but we feel a real obligation to take care of our customers," Marsh said in an interview this afternoon. "We had private discussions about this issue with some of our customers, and they were quite concerned about the uncertainty and the potential for a legal quagmire. What we've done is ensure that it's not an issue for our customers."
      ...
      • by rbird76 ( 688731 ) on Tuesday March 02, 2004 @12:59PM (#8441633)
        is to ensure that this is an issue for your customers, and to put yourself and your company at great financial risk. In a previous post (post #8435019), I posited that going into business or establishing a contractual obligation with SCO puts EV1 at more risk rather than less from SCO. If that is correct, then EV1 has given away much of their defense (their ability to dismiss a lawsuit against them by SCO) and paid their attacker off (although considering SCO's plan of suing their customers, that doesn't seem like a good defense). This sounds like Czechoslovakia in 1938 claiming that giving up part of their land to Germany relieved them of worries about Germany's territorial ambition. That worked out so well for Czechoslovakia, didn't it?

        Then you are "vilified by some diehards within the industry"? No, you should be vilified for your stupidity. Paying SCO to avoid trouble in this case (where it would be both easier and more sensible to avoid it) is like committing suicide for fear of being murdered. You gave up your freedom to secure your safety only to have neither, all while putting you and your customers at risk. I can't fathom why you think this is a good idea - either your legal team failed their EEG tests or there is a big part of this that I am missing.

        If the legal opinion here is correct (and it's possible that it isn't), then what EV1 has done is increased the risk to itself while damaging its reputation among the people it advertises to and appeasing the demon of IT known as SCO. Is there any legal or business opinion in which context this makes sense?
    • by ArtDent ( 83554 ) on Tuesday March 02, 2004 @10:21AM (#8439889)

      Mr. Marsh owes his customers much more information than this. Specifically:

      1. What price was paid for this "IP license"? A claim like "our small fee would not go very far defending an action such as this, much less prosecuting one" is totally unconvincing while the amount of the fee remains secret. Moreover, obviously customers will be indirectly footing the bill for this, so they need to be able to figure out just how much it's costing them.
      2. Exactly what IP was licesnsed? Did Mr. Marsh in fact "license certain IP from SCO," or did he in fact license uncertain IP -- agreeing to their standard whatever-IP-may-or-may-not-be-in-there wording?
      3. What are the terms of the licensing, and to what degree are customers protected? Since, he's claiming to have done this for the protection customers, he'd better tell them what their rights and obligations are. For example, are there any restrictions on their ability to access, modify, or compile Linux source code?

      I hope that all of EV1's customers demand answers to these questions, as forcefully as necessary. They need this information to assess whether they are, in fact, better or worse off as a result of Mr. Marsh's decision.

      • by friendklay ( 589671 ) on Tuesday March 02, 2004 @12:00PM (#8440889) Homepage
        The price which EV1 paid to SCO should be of great interest to all EV1 Customers and potential customers. There are two possibilities:
        1. EV1 paid a paltry sum just to get a 'good name', that they are the only SCO-Risk-Free hosting provider.
        2. SCO paid them an undisclosed NDA bounded sum and and gave them the "License to use Linux".
        Both ways SCO profits by being able to point at the large number of Linux Web Site which have signed up fo SCO Linux License. EV1 profits by having paid very little. Because they paid very little they would profit in the long run. That is some of us might get angry and boycot them, but others would be delighted and switch to EV1 servers just to get that protection. Either way EV1 is beting that more will switch to them. Thats my $0.20
      • by phorm ( 591458 ) on Tuesday March 02, 2004 @12:23PM (#8441149) Journal
        From my understanding, which was also my original thought in the first place, EV1 "bought" SCO "licenses" because of the concern some of their customers had about the Linux servers.

        Now this wasn't because EV1 particularly wanted to bend over to SCO, but because they'd rather do so that alienate the idiots. For those that know the situation, think of it something like doing something you know is rather useless/stupid for a boss or important client (many of us have been there).

        Explaining exactly what was "bought" isn't going to help much, because those who are clueless enough to press for a "license" never understand that it wasn't needed in the first place. I'm just hoping that any excess costs due to this (though EV1 might just take a bite if it's small enough) get passed on to the stupid customers who wanted the license rather than those who saw it for the BS that it is.
      • by kiwimate ( 458274 ) on Tuesday March 02, 2004 @01:23PM (#8441902) Journal
        Okay, now I think people are beginning to go overboard.

        What price was paid for this "IP license"? A claim like "our small fee would not go very far defending an action such as this, much less prosecuting one" is totally unconvincing while the amount of the fee remains secret. Moreover, obviously customers will be indirectly footing the bill for this, so they need to be able to figure out just how much it's costing them.

        Nonsense. Customers also foot the bill for EV1's servers, air-conditioning, security services, and so on. Should EV1 (or anyone else) be forced to disclose those costs? If not, why not? It's the same principle.

        In fact, why not take this to the logical conclusion? Does your company have customers? If so, those customers are paying your salary. Do you see where I'm going here?
    • Grammar? (Score:5, Informative)

      by aisnh ( 751120 ) on Tuesday March 02, 2004 @10:33AM (#8439982)
      I don't know about any of you, but it would take a large amount of convincing to buy any of this company's services, let alone invest in them. This man, supposedly the CEO of a (reasonably) profitable business repeatedly makes errors in grammar and spelling throughout a letter to his customers.
      • "We did not license a linux distribution..."
      • "...various GPL Linux developers plaugerists..." (What are those? People who transmit the plague?)
      • "SCO already has like $60 million on hand..." (Like, oh-my-god! That's like sooo much money!)
      • "Whatever your position on the various suits, which SCO has said will increase." (This is not even a sentence.)
      • "There is significcant risk"
      That is by no means an exhaustive list. The letter is riddled with unprofessional colloquialisms and poorly-constructed sentences. Even the parent company name (EV1) is formally listed as "Everyones Internet." Missing an apostrophe, Bob? -Aaron
      • Re:Grammar? (Score:4, Interesting)

        by Anonymous Coward on Tuesday March 02, 2004 @10:40AM (#8440051)
        It's the CEO going out of his way and posting his personal writing directly to a public forum, instead of releasing some spin-doctored piece of press-release rehash. I think the fact that it may have a few spelling errors gives it the 'personal touch' and lets us know that, yes, this guy is real, he has real feelings and real opinions, and he's not going to let someone speak for him. How many times have you fat-fingered a Slashdot post and missed a period or two in an effort to get your opinion heard?
        • Re:Grammar? (Score:5, Insightful)

          by Ath ( 643782 ) on Tuesday March 02, 2004 @12:51PM (#8441537)
          I always find it humorous when people defend blatant spelling and grammar mistakes, especially when they chalk it up to just being typos.

          The fact is, a person's writing skills is almost a direct correlation to the quality of their education. It is not unreasonable to determine someone is less educated after reading material from them that is riddled with grammar and spelling mistakes.

          Maybe he is intelligent but poorly educated. However, to suggest he adds some level of authenticity to his writings by making spelling and grammar mistakes is a bit silly. I also have real opinions and real feelings. I consider it more effective to share those opinions and feelings with others by doing it through proper spelling and grammar. It is also considerably more effective when you are writing something with the intention to convince others that you made a correct decision to use proper grammar and correct spellings.

          When I read his open letter to the community, I immediately concluded that he just is not smart enough to understand the full consequences of his decision. He definately does not comprehend that, despite his protests, he gave SCO the full argument that there is now a company which accepts the validity of SCO's claims. Otherwise, he just paid them money for nothing.

          Granted, he may have done the equivalent of an actuarial analysis in his head and decided that the SCO licenses were a cheap insurance against the possible legal exposure. But given the impression that he is not very educated, I suspect he is not very capable of doing a good analysis.
      • Re:Grammar? (Score:5, Insightful)

        by Westech ( 710854 ) on Tuesday March 02, 2004 @11:34AM (#8440622) Journal
        I have many sites hosted in EV1 and have been following the business for a long time (it used to be named RackShack.) Every time Robert Marsh posts something online, it is filled with poor grammar and misspellings. At first, this turned me off (If he can't learn to spell, can't he at least afford a secretary to proofread his announcements!) but now I've gotten past it. I think that he is a great businessman who runs a profitable company that successfully delivers a quality product to its customers. While I do not agree with his decision on the SCO issue, I can understand his reasoning. Likewise, while I still think he should have his announcements proofread before making them public, it doesn't seem to be hurting his business any.

        I think that in Mr. Marsh's mind it's all about business. Each decision is based on cost-benefit analysis.

        For example:
        To him, it is worth the "licensing" fees to remove the possible costs of defending a lawsuit.
        To him, the increase in sales gained by presenting a better image by posting gramatically correct announcements would not outweigh the cost of hiring a proofreader.

        Of course, this is all simply my opinion from observing the company from the outside.
    • by MinutiaeMan ( 681498 ) on Tuesday March 02, 2004 @10:42AM (#8440069) Homepage
      Translation: "We didn't want to get sued, so we gave SCO a big wad of cash to make sure that they don't send their lawyers after us."

      In the Mafia, this kind of practice is known as "protection." They'd force local shopkeepers to pay them money to not send their goons to trash their stores. It annoys the heck out of me that SCO can get away with extorting this kind of money from companies before they've even proven their case in the IBM-Novell lawsuit(s). But then, everyone here agrees on that point.
  • Eh (Score:5, Insightful)

    by FuzzzyLogik ( 592766 ) on Tuesday March 02, 2004 @09:13AM (#8439380) Homepage
    It's not a big deal, if it turns out he wasted his money, then so be it. it was more of a way to protect his business, if something happens and the tables turn, he's not going to be sued and have to pay that, in other words, the cost of being sued would be way more than having to buy these licenses. it was just simply more cost affective to buy the licenses and if they turn out to be trash, so what, the customers who had doubts had peace of mind at this point.
    • Re:Eh (Score:3, Informative)

      by root-kun ( 755141 )
      Rackshack/EV1 is notably one of the worst companies out there. They heavily oversell their bandwidth producing very low quality network solutions, they have awful tech support, misleading staff. This is just another nail in their coffin. Boycott rackshack/ev1 and their anti-opensource and their shotty business traffics. I'm sorry guys but you cant sell terabits of aggregate bandwidth when you only have gigabits, no wonder half your routes are SLOW AS FUCK.
    • Re:Eh (Score:5, Insightful)

      by Anonymous Coward on Tuesday March 02, 2004 @09:20AM (#8439432)
      It IS a big deal - the money goes right to SCO to help them fight other Linux users.
      • by inode_buddha ( 576844 ) on Tuesday March 02, 2004 @09:31AM (#8439508) Journal
        If I am to believe this post from groklaw:

        Weeding through the noise at Yahoo, I found this from one of the dependable
        regulars:

        About EV1
        by: korbomite
        Long-Term Sentiment: Strong Sell 03/01/04 09:36 pm
        Msg: 100568 of 100685

        EV1 has become famous as a porn hosting site:

        http://hosts4porn.com/profiles/ev1.cfm

        and

        http://www.webhostingtalk.com/archive/thread/140 12 4-1.html (hint why they
        changed their name from RackShack--their IP address was blackholed for porn
        spamming)

        and

        From Wired Magazine:

        QUOTE
        Since mid-September, numerous myNetWatchman participants have received repeated
        probes on port 135 from a handful of Internet protocol addresses assigned to
        Everyones Internet (EV1.net), an Internet service provider in Houston, according
        to Baldwin. The numeric addresses translate into "NetBIOS machine
        names" that begin with WEBPOPUP and that have appeared in several recent
        ads, he said...EV1.net officials, who did not respond to interview requests, are
        investigating the issue, according to Baldwin...Now that spammers have pioneered
        the Windows Messenger technology, worm writers may be next to target the
        service, according to Harlan Carvey, a security engineer with a financial
        services firm..."I'm sure we're going to see spyware or malware that makes
        use of this," Carvey said.
        ENDQUOTE

        from
        http://www.wired.com/news/technology/0,128 2,55795, 00.html

        and

        http://jdo.org/hamas.html (That's right: Hamas and the al Aqsa Martyrs' Brigade
        terrorists use EV1 as their ISP and hosting provider)

        and

        http://www.theage.com.au/articles/2003/10/02/106 49 88318651.html (hackers and
        Trojan writers)

        k

        #END

        Truth is definitely stranger than fiction. It would seem that both companies
        figured that they could get some mileage out of the license deal if they spun it
        the right way (and the truth and backroom dealing would only stay quiet). After
        all, reports have it that Marsh and McBride were pal-ling around in California
        during the past week at a trade show.

        The tinfoil hat in me says "Follow the money".
    • by Quizo69 ( 659678 ) on Tuesday March 02, 2004 @09:33AM (#8439524) Homepage
      The cost of being sued is more than the cost of paying "protection money" is what you meant to say, right?

      Face it, this is as much extortion as the RIAA suing children and then "settling" for a fraction of that amount, but with guaranteed payment. The government should be using the RICO Act to nail all the offending parties. That they don't speaks volumes about their allegiances....
      • Sue them for WHAT?

        Go ahead, spit acronyms left and right all you want, but there's nobody that can sue them under RICO no matter how much you want to believe it as a result of the fact that you have NO clue what you're talking about. You don't understand the purpose of RICO or how it's used anymore, so stop claiming it can be used against SCO or the RIAA or anybody else for that matter.

        SCO did nothing illegal. The RIAA did nothing illegal. You can't usually successfully sue somebody for being immoral. You're never going to get an extortion charge for offering a settlement to stupid people. There's no "racketeering" going on.

        Next time you try to claim that "such and such" should sue/arrest/whatever somebody else, at least take 5 seconds to Google the damn law you're going to claim can be used. I can imagine that with assinine comments like this one being modded up, this place must be like a comedy club for lawyers. OFFERING BAD CONTRACTS TO PEOPLE (without misrepesenting them) WHO ARE DUMB ENOUGH TO SIGN THEM IS IMMORAL - NOT ILLEGAL. OFFERING SETTLEMENTS TO PEOPLE FACING LEGITIMATE COPYRIGHT INFRINGEMENT SUITS *MIGHT* BE IMMORAL DEPENDING ON YOUR POSITION IN THE MATTER - IT IS NOT ILLEGAL.

        Please, Slashdot. Do try to beat that into your thick skulls. Go ahead and label me troll now. I know you'd rather stroke your overinflated egos and pretend you know what you're talking about rather than admitting that, in fact, the law is not going to step into either one of these issues unless it's in the context of evaluating how the legal system is being abused by the respective parties. That would be nice, but don't hold your breath.

        • by Fnkmaster ( 89084 ) on Tuesday March 02, 2004 @12:42PM (#8441434)
          The more you beat your chest about it, the more you make yourself look like a troll. Maybe there's a RICO case, maybe there isn't - at least some people think there is a legitimate RICO case against the RIAA. Around here, we value discussion and argument. Frankly, as silly as it sounds and as much as we may self-efface regularly on Slashdot, knock the sliding standards of this community, the trolling, the karma-whoring and so on, many ideas that have been proposed or supported on Slashdot over the years have turned out to have legs. Some have turned into successful products and Open Source projects. And certainly successful memes and social phenomena have sprung out of individuals on Slashdot.


          So I figure, if somebody wants to throw out the idea that there is a RICO violation involved in using misleading contracts and false legal claims and press statements as part of a systematic attempt to threaten and bully money out of admittedly naive companies, then dammit, either explain why he's wrong and give him a thwack upside the head or constructively contribute to the discussion. DON'T spew out sentences in all caps reiterating your argument without any evidence of your own to back up your point, you'll just get yourself ripped a new asshole.

    • by RoLi ( 141856 ) on Tuesday March 02, 2004 @09:39AM (#8439566)
      Let's face it. Nobody in their right mind would pay SCO million(s) for their license, especially EV1servers who are RedHat customers and are protected from SCO through RedHats programme: link [redhat.com]

      The only possibility that makes sense in my opinion is that EV1servers dealings with Microsoft included the SCO-deal as well. Microsoft has a strong interest to channel money to SCO, they have already done so by buying licenses from them they don't need.

      So I think EV1servers has essentially become Microsoft's cash pipeline to SCO.

      There just is no other way that makes sense. Please don't forget that RedHat protects their customers (like EV1servers) from SCO, so even if EV1servers pretends to think that SCO has a chance and even if they pretend to think that they have to pay before the trial is over, they simply don't need a license.

    • Re:Eh (Score:4, Funny)

      by jejones ( 115979 ) on Tuesday March 02, 2004 @09:39AM (#8439570) Journal
      It is a big deal. SCO is basically now running a protection racket, and these folks knuckled under. That is fundamentally wrong.

      "Then they came up with what they called the Other Other Operation, in which they would threaten to sue a Linux user if he did not buy a license. This, for the Piran^H^H^H^H^HMcBride brothers, was the turning point."
    • Re:Eh (Score:5, Insightful)

      by Kevitt ( 640555 ) on Tuesday March 02, 2004 @09:40AM (#8439574)
      It is a big deal. Why? Because EV1 buying into SCO's FUD lends said FUD credibility. Now in court SCO can point to EV1 specifically as an example of one of the largest DC's agreeing to their terms. It may not lend any credibility to those of us with a clue, but who knows how the demented minds of our courts will interpret this? I'm afraid the interpretation will be one of lending credence to SCO's claims. Dunno if I'm making my frustration/worry clear here, but I hope you get my drift. I view this as a fairly dark day in the Linux/SCO battle.
    • Re:Eh (Score:5, Insightful)

      by tanveer1979 ( 530624 ) on Tuesday March 02, 2004 @09:46AM (#8439620) Homepage Journal
      From the article:
      No legal action is certain. The outcome of every legal action is subject to risk. (Just look at the OJ Simpson case .. who would have figured that one) There is significcant risk on both sides of this equation.

      He is right. Absolutely right. Law does not mean that what is right will win. Law means what the judge/jury feels right will win. And about the justice system, the less said the better. Still think SCO will lose? There are innumerable precedents on slashdot itself
      here [slashdot.org], here [slashdot.org] and many other places too. Infact this place [slashdot.org] is a good place to look for such things.
      So he just covers his customers. Unless SCO loses, more such instances will come forward. So this case needs to be wrapped up, for good or bad, soon.

      • EV1, porn capital and Windows Popup spammer extraordinaire, is the end user here. EV1, not the customers, would get sued. And since they use Red Hat, they're indemnified even if TSG win their barratrous suit. They had nothing to gain by paying the Danegeld, so why did they do it? Evidently Mister HeadSurfer plans to get the money back somehow, all we need to do is find out how and we can probably blow TSG's racket right open.

        EV1 don't give you a discount for choosing a FreeBSD server instead of MS-Windows 2003 or Red Hat Enterprise server. Why not?

        EV1 were one of the first big rollouts of MS-Windows 2003, does this suggest anything to you about their real feelings? As in, "We'd love to go all Windows, Bill, but our customers aren't interested. Is there anything else we can do for you? Help out a friend?"

    • OSDL has put in place a legal defense fund [osdl.org] whose purpose is to reimburse legal expenses of companies in this position so that their cost to defend a lawsuit is zero.

      Paying SCO before the legal issues have been resolved is a waste of money since companies can turn to OSDL to reimburse their legal costs. This was a bad business decision.

      Larry

    • by Panoramix ( 31263 ) on Tuesday March 02, 2004 @06:00PM (#8445362) Homepage

      Look, I do understand your point, but I think you are missing the one that is driving mad most of us that are otherwise reasonable people.

      Let me try to explain. Right now, I'm writing a piece of software that I intend to release under the GPL. It is nice software---nothing as relevant as Linux or Apache, but cool nevertheless. The reason why I'm commited to doing this, even if it consumes a substantial amount of my otherwise billable time, is because I like doing this stuff, and I'd like to see other people using my software. Maybe it will help some guy with a thight budget somewhere. Or maybe some kid will learn something of my code. It feels good to help people, and in my experience it is also a good strategy for my own benefit, in the long run. Call it "building karma", if you like (go read Lin Yutang on this topic---really insightful stuff).

      And I think the guys and gals spending lots of time building Linux, or Apache, are doing it for similar reasons. I just don't see what other reason they can have. Even the big companies, like IBM, should be able to see now how this "helping people" strategy may yield substantial benefits to everyone involved. This is a non-zero sum game.

      Now, along come these SCO guys. These are men that are trying to make it so that people cannot use free software unless they get paid. They are effectively trying to steal what other people gave to the world. These men have directly called free software authors plagiarists and incompetents, and by not so subtle implication, thieves and terrorists. These men have reaped great finantial gain from free software, and now are turning around stabbing in the back the very people that helped them get where they are.

      You see, this is not about what is more "cost effective", or what makes more "business sense", and it is very much a big deal. I bet Mr. "Head Surfer" and his customers like their free Linux, their free Apache, and their free PHP. By paying off SCO, they gave a slap in the face of the people that wrote that software (and many more other programs that EV1 depends on, whether they realize it or not).

      I don't know how much it costs to host with this company, but if I were a customer, I'd gladly pay twice anywhere else. Hell, EV1 could pay me to stay, and I wouldn't. This isn't about money at all.

  • by Unregistered ( 584479 ) on Tuesday March 02, 2004 @09:13AM (#8439382)
    He is just being conservative and figures that it's worth paying for liscenses (he peobobly got a better deal the $699 as well) instead of risk a lawsuit. While i (and many /.ers) feel that SCO will not live long enough to go after someone as small as this company, if they for some reason did, it would cost more than whatever they paid for liscenses to defend.
    • by gl4ss ( 559668 ) on Tuesday March 02, 2004 @09:23AM (#8439448) Homepage Journal
      except that now they're just opened the door for getting sued. the 'license' doesn't protect you from being sued, in fact it does just the opposite.

      he probably just paid diddly on the licenses which brings an intresting point to taken into consideration: what is the REAL price of sco IP license, 6.99? or 0.699? since nobody is going to buy it at 699$ per cpu...

      (however they might think of it as an insurance AND extra publicity and leading some customers into thinking it's an insurance)

      and point b: THEY'RE NOT SMALL! THEY'RE NOT A SMALL STARTUP! THEY COULD HAVE DEFENDED THEMSELFS EASILY IF THEY EVER HAD GOTTEN SUED(besides, rhat would have been the one to sue!)!

      point c: of this bs-graph is that they've been willing to do some poster childing before and maybe thought this time too that free pr couldn't hurt.
    • by BorgDrone ( 64343 ) on Tuesday March 02, 2004 @09:24AM (#8439463) Homepage
      He is just being conservative and figures that it's worth paying for liscenses (...) instead of risk a lawsuit.
      And that's exactly the problem, it's the same thing as paying 'protection' money to the mafia.
    • by Anonymous Coward on Tuesday March 02, 2004 @09:25AM (#8439467)

      He is just being conservative and figures that it's worth paying for liscenses (he peobobly got a better deal the $699 as well) instead of risk a lawsuit.

      He was already indemnified by Redhat. The only way this would make sense from a business perspective is if a) he thought Redhat were going to go out of business, or b) there's another side to this deal that we don't know about (e.g. kickbacks from SCO).

      Personally, I think neither are true, and he's just stupid. That's reason enough to switch hosting companies.

    • by Bystander ( 227723 ) on Tuesday March 02, 2004 @09:29AM (#8439490)
      Except that SCO has shown a propensity to make companies with which it has existing business relationships the primary targets of its legal attacks. Rather than mitigating risk, buying a license from SCO increases exposure to further efforts by SCO to monetize their IP in the future, while voluntarily waiving a number of rights that could have been used in self defense. How is this a wise business decision?
    • by Arker ( 91948 ) on Tuesday March 02, 2004 @09:45AM (#8439614) Homepage

      It does indeed sound like he did this with the best of intentions.

      But no, I'm sorry, no word less strong than 'idiot' could possibly begin to describe the path to hell he just set his company on, with the best of intentions of course.

      TSG hadn't the slightest grounds to sue them before. Of course, under the US legal system, you sue first and the court checks if you have any grounds later, so they could have cost him some lawyer time.

      But doesn't a company that size pay a retainer already, for just such reasons?

      TSG had no grounds to sue them before, no grounds to be involved with them in any way shape or form. Now they've signed a contract. 'Contracts are what you use against people you have a relationship with' as Mr. McBride so eloquently stated.

      This contract gives EV1 nothing whatsoever they didn't already have, in the sense of assets, positive things. It does give them plenty of liablilities. It gives TSG a contract that may give them cause for a suit in the future. It may very well be violating their license under the GPL, rendering any new linux installations they undertake copyright infringement, punishable by a statutory fine of $125,000 US per incidence as well. It in no way makes their position any more stable, but rather opens them from attacks from every side that they were completely and utterly proof against before taking this license.

      I said it before, in the last article on this story, and I'll say it again, either EV1s attorneys are utterly incompetent, or their management is, or both. Go to Groklaw, read this license. It's a license for nothing, it gives the buyer nothing, it's only possible purpose is to set the buyer up for a lawsuit later. Anyone that would pay a dime for this thing after reading it is just plain stupid. If TSG was offering to pay you $699 per processor, flat rate no bulk discounts, it would still be a bad deal.

      I am (happily) not personally involved with them at the moment. If I were I would terminate that relationship immediately. I certainly will not even consider entering any business relationship with them in the future. A company that size that can't afford an hour of a lawyers time to look at such a thing before they sign it has no future in this world, that's just the cold hard facts. EV1 customers - find an alternative. Today. Not to punish these folks - this kind of incredible stupidity is its own punishment, and quite sufficient. But simply to protect yourself. If you make the change now, you can do it with minimal hassle. If you wait until someone summons these bozos into a court, it could be a lot more painful.

      • It may very well be violating their license under the GPL, rendering any
        new linux installations they undertake copyright infringement, punishable by a
        statutory fine of $125,000 US per incidence as well


        I'm no expert on the GPL, but since the GPL limits distibution and not use,
        I don't see how the above statement makes any sense. Are you claiming that
        since EV1 rents out machines running Linux that they are essentially
        distributing Linux? Are you also claiming that they are somehow violating
        the GPL by paying s
        • by Arker ( 91948 ) on Tuesday March 02, 2004 @10:57AM (#8440213) Homepage
          Oh they can rent out the systems they already have, perfectly legal. But a good case can be made that accepting this license terminated their GPL rights. And if it did... well they would still be legal if they bought a copy of Linux for every new computer they install it on, but we know for a fact that they use disk images nowadays, right? That's copying not necessarily allowed under default copyright law. Not a problem as long as you have a valid GPL, but if you've given the GPL up by taking another incompatible license to cover any portion of the Linux code... then it's copyright infringement.
      • by walterbyrd ( 182728 ) on Tuesday March 02, 2004 @10:36AM (#8440011)
        Are you aware of EV1's msft success story so prominently displayed on msft web-site? Seems like an awfully cozy relationship to me.

        And consider the timing. Scox has a windfall of negative news right now, and earnings come out Wednesday; what convenient timing for this PR hype.

        The guy is CEO of #6 web-hosting company in the USA. Hardly an idiot. Certainly his company has a legal department. Certainly they know about redhat indemnification, certainly they know that scox can't sue their customers, certainly they how laughably weak scox's case is.

        And notice how Marsh doesn't give any real information? Notice how he tap dances around the real issues? This guy knows what he's doing.

        Marsh isn't an idiot, he's another scam artist. His "hip" act doesn't fool me. Mr "headsurfer" and "redhat is awesome" I'm not falling for any of that. I'm not buying that "I'm your buddy" bullsh!t.
    • by RoLi ( 141856 ) on Tuesday March 02, 2004 @10:08AM (#8439786)
      He is just being conservative

      If he is "just conservative", he's a complete moron because now EV1servers can be sued for GPL infringement and can be more easily sued by SCO as well because they now have contracts with many many clauses that could be violated.

      I personally think Microsoft gave EV1servers the money with the order to pay it to SCO because it wouldn't look that good if Microsoft would buy yet another SCO license.

    • by IANAAC ( 692242 ) on Tuesday March 02, 2004 @10:27AM (#8439938)
      This is all you need to say to SCO:

      "I did not purchase anything from you. My purchases are with RedHat. Please sue them, not me".

      End of story. Honestly, I don't understand why this is such a difficult concept for people to grasp - You don't give me anything, I don't pay you anything.

  • What they did (Score:5, Interesting)

    by millahtime ( 710421 ) on Tuesday March 02, 2004 @09:14AM (#8439385) Homepage Journal
    What they did is called CYA.

    Are they one of the top companies that SCO might end up sueing? If so, then it might be cheaper to buy the licenses than to fight a law suit.
    • Re:What they did (Score:4, Interesting)

      by FatRatBastard ( 7583 ) on Tuesday March 02, 2004 @10:29AM (#8439953) Homepage
      Remember this though, they could have kept the whole thing confidential, just like the "other" companies SCO brags about. EV1 apparently have had no problem letting SCO use their name, which makes you wonder how sincere they are in their "gee, we really didn't want to do this but we needed to protect ourselves" plea.
  • by Motherfucking Shit ( 636021 ) on Tuesday March 02, 2004 @09:14AM (#8439388) Journal
    Because sometime later today, SCO is going to sue one of his competitors...
    • by AKnightCowboy ( 608632 ) on Tuesday March 02, 2004 @09:33AM (#8439526)
      Because sometime later today, SCO is going to sue one of his competitors...

      SCO really reminds me of the mafia. Pay me an IP license fee and we won't sue you out of business. Are MBAs like Darl McBride the new organized crime figures? I'm suprised no one has tried using the RICO laws against SCO.

      • by gaijin99 ( 143693 ) on Tuesday March 02, 2004 @10:46AM (#8440103) Journal
        Are MBAs like Darl McBride the new organized crime figures?
        New?? Business has always been more profitable and less ethical than the Mafia. There's a reason why the "successfull businessmen" of the 1880s-1920s were called Robber Barrons. [wikipedia.org] Smaller corporations can't get away with this sort of thing, but as a corporation merges and eleminates competition it tends to get the idea that its invulnerable. Renting several Senators, Representatives, and/or a President can give people that idea pretty easily (remember, politicians aren't for sale, but they can be rented quite easily! Just like prostitutes, but with fewer ethics and more harm to society.) Then they start using tactics that would make a Mafia Don blush. There's no need to actually hire Vito to break people's fingers, instead you hire a few expensive lawyers to break people's bank accounts. They are completely insulated from any contact with people affected by their policies, and surrounded by hoards of yes men who will do *anything* except tell them that they've had a bad idea.

        Eventually this does so much damage to capitalism that the economy collapses ( Black Monday [wikipedia.org] anyone?) and the government finally has to break up a few of the bigger Oligarchies [wikipedia.org] (technically they aren't monopolies, but financial oligarchies). Theodore Rosevelt and (of all people) William Howard Taft are the big "trust busters" from the last time this happened. Its set to happen again, doubtless in just a few more decades. Gad, history makes you depressing...

  • From the article: (Score:5, Insightful)

    by ImaNumber ( 754512 ) on Tuesday March 02, 2004 @09:15AM (#8439393)
    "DC2 Opens on Wednesday with limited server availability. Initial deployments are likely to be dual drive/1 GB configurations. Additional configurations will follow as time and space allow." Yep...its a publicity stunt...
  • by Temporal ( 96070 ) on Tuesday March 02, 2004 @09:16AM (#8439401) Journal
    ... a written explanation for the purchase of his decision to purchase a SCO License...

    Ah hah! So it's true! SCO bribed him into doing it!

    What? Just a typo? Oh... uh... right. I knew that.
  • by Snart Barfunz ( 526615 ) on Tuesday March 02, 2004 @09:17AM (#8439404)
    What an itiod! It's people like him who give snodware delevellers a bad mane.
  • Well... (Score:5, Funny)

    by No_Weak_Heart ( 444982 ) on Tuesday March 02, 2004 @09:17AM (#8439405)

    Can't speak for you, but I would be most upset if someone called me a plaugerist. Not sure what that is but it just sounds dirty.

    • Re:Well... (Score:5, Funny)

      by Anonymous Coward on Tuesday March 02, 2004 @09:26AM (#8439473)
      Oh, come on now! You mean you don't know?

      A "Plaugerist" is one who plays the very rare musical instrument known as the plaug, or plauger. As everyone knows this is a cross between the bagpipes, the harmonica and the old english crumhorn.

      Old statutes, still on the books, prohibit the playing of the plaug at or near the full moon, or anywhere within 1 mile of a breeding colony of horseshoe bats. Audiences generally contend that it sounds best when either played, or listened to, underwater. Some extremists advocate it's use only in all helium (or other inert gas) atmosphere for the best effect.

      It led, via a very convoluted path, to the expression "plaug and play", now I believe, claimed as part of the IP license which you can buy from SCO.
    • K&P (Score:3, Informative)

      by Burb ( 620144 )
      There's always The Elements of Programming Style [amazon.com] by Brian W. Kernighan, P. J. Plauger ...
  • by millahtime ( 710421 ) on Tuesday March 02, 2004 @09:17AM (#8439407) Homepage Journal
    Wouldn't a cheaper solution than buying the licenses have been so switch from linux to freebsd? With the cost of those licenses being so high. Then no fear of law suit. This seems like it could be the more cost effective solution.

    mods: Don't mod me troll for asking a question
    • by Xpilot ( 117961 ) on Tuesday March 02, 2004 @09:26AM (#8439470) Homepage
      Wouldn't a cheaper solution than buying the licenses have been so switch from linux to freebsd?

      And what makes you certain that SCO won't come after *BSD too? Don't say "because they have no case" because they have no case with Linux users either, but that hasn't stopped them. Must everyone have to switch OS's (On production systems? That would be expensive) everytime some lawsuit-happy moron starts making idiotic claim? It's more prudent to ignore them till they go away.

    • by nagora ( 177841 ) on Tuesday March 02, 2004 @09:34AM (#8439530)
      Wouldn't a cheaper solution than buying the licenses have been so switch from linux to freebsd?

      They've already said they'll be coming after BSD once they've got Linux so it would be a lot of hassle for a short term gain. If they can win on Linux (which I doubt) they can win against *BSD.

      TWW

  • Well.. (Score:5, Interesting)

    by lukewarmfusion ( 726141 ) on Tuesday March 02, 2004 @09:17AM (#8439408) Homepage Journal
    He certainly has a point.
    Civil disobedience is not a good business model. On the other hand, that's an awfully hefty fee to shell out. $1 Million? [internetnews.com] That could probably help to line some lawyers' pockets.

    Consider this, though: They care enough about their customers and their own business that they're willing to take this "voluntary" hit of over a million bucks just to protect themselves and their customers. Even if SCO isn't right (preaching to the choir, I know) then they've still made a major step in the direction of "we'd take a bullet for you."
  • by kahei ( 466208 ) on Tuesday March 02, 2004 @09:19AM (#8439421) Homepage

    'Plaugerists'? Now, if he'd accused them of plagiarism he might have had a point, but to accuse them of supporting Dinkumware [plauger.com] is a bizarre move indeed!

    Curse those plaugerists, with their Standard Template Libraries and their cheery Australian charm...

  • by Vexler ( 127353 ) on Tuesday March 02, 2004 @09:19AM (#8439423) Journal
    Isn't the gist of what he said pretty much the same thing that Darl says about Linux and its suppporters? i.e. We have to do what is right for our business and circumstances.

    Now, it is interesting that he did voice support for open-source projects like Linux. But then he also affirms that his license is one of IP from SCO. Just sounds like he is trying to be a crowd pleaser and ended up with the wrong crowd.

  • CYA (Score:3, Interesting)

    by hookedup ( 630460 ) on Tuesday March 02, 2004 @09:21AM (#8439433)

    Cover Your Ass.

    It strikes me that it's all he is really trying to accomplish. For himself, and his customers.
    • Re:CYA (Score:5, Insightful)

      by theLOUDroom ( 556455 ) on Tuesday March 02, 2004 @11:52AM (#8440815)
      Cover Your Ass. It strikes me that it's all he is really trying to accomplish. For himself, and his customers.

      Except he's actually made the situation worse.

      Even if one had no concern for the positive PR and the pile of cash this gives SCO, (And its resulting effect on the rest of linux users) one needs to consider the legal ramifications of what the have just done.

      1. The have established a contract with SCO. One which gives SCO a basis to sue them later. (The IBM case is about contract, not copyright.)
      2. They have (basically) accepted a license for Linux other than the GPL. This opens them up to lawsuits from Linux kernel developers.
      3. The agreement with SCO (supposedly) has all sorts of nasty clauses which could leave them worse off than before.
      4. They have established a precedent of caving under threats of frivolous lawsuits.

      I find the last item to be extremely important because these are the people who would be (possibly) hosting your website. This means that it's quite likely I could threaten these guys with a baseless lawsuit about your webpage, and the would rip the sucker right down. What good is reliable hardware, when the people behind it cave under the slightest threat?
  • by gentlemoose ( 313278 ) on Tuesday March 02, 2004 @09:22AM (#8439441) Homepage
    For God's sake. While I realize the bulk of you asshats can't spell your way out of a paper bag, one might expect that the CEO of nearly any corporation would care enough about his company's public image to run a public statement by *somebody* with an eye for grammar and spelling before publishing it on the net.

    The 10-second perusal:
    oru
    indictment on Red Hat
    fullly
    plaugerists (I can't work out how to pronounce this one...)
    SCOs ...
    I give up. Once I hit "SCO already has like $60 million on hand ", I couldn't take it any longer.

    By all means, everyone, give your money to EV1 Servers, the company with a flair for... damn. I can't think of anything relevant to rhyme with "flair".
    • by blinkylights ( 589120 ) on Tuesday March 02, 2004 @10:12AM (#8439814)

      Maybe EV1 should invest in a good Administrative Assistant:

      "Actually, Mr. Marsh, it's spelled 'p-l-a-g-i-a-r-i-s-m.'"
      "Perhaps, Mr. Marsh, we should wait and see whether SCO survives their suit with IBM."
      "No, Mr. Marsh, I don't think this email is from a real exiled Nigerian Prince."

  • by ksp ( 203038 ) on Tuesday March 02, 2004 @09:24AM (#8439451) Homepage
    "We did, however, license certain IP from SCO."

    And what IP may that be? Elaborate, please. What does SCO own that you had to pay for when you are using Red Hat Linux, from a company that will cover the risk for you?

    I wonder what long-term consequences this has for EV1 when they publically say that they believe SCO is right and their server OS (Linux) was more or less pirated from SCO. I suspect that no matter what the result of the trial is, this guy is f*cked because he signed SCOs papers.
    • by AKnightCowboy ( 608632 ) on Tuesday March 02, 2004 @09:37AM (#8439559)
      And what IP may that be? Elaborate, please. What does SCO own that you had to pay for when you are using Red Hat Linux, from a company that will cover the risk for you?

      It's a protection fee, nothing more. You used to pay it to a guy who came into your shop every week or later that night a group of thugs would come by and smash in your windows, bust up your shop, and beat you and your wife as you're trying to close up for the night. Welcome to the information age where the "busting up your shop" is done through expensive frivilous lawsuits and protection fees are paid through "licensing".

  • by Serious Simon ( 701084 ) on Tuesday March 02, 2004 @09:24AM (#8439455)
    We did, however, license certain IP from SCO

    "Certain"? Did SCO actually tell them what IP they are licensing?

    I thought not.

  • Makes no sense. (Score:5, Insightful)

    by eddy ( 18759 ) on Tuesday March 02, 2004 @09:26AM (#8439475) Homepage Journal

    I read this earlier today. Marsh is just doing spin. End-users were never liable anyhow, if there'd been a problem they'd refer SCOX to EV1 (since they're buying the service from them), which would refer to RedHat (the OS supplier) which is already in litigation with SCOX anyhow.

    He claims this was 'cheap' insurance. However, he refuse to tell us how much it actually was. If it was so cheap, why wouldn't he like to be able to tell his customers "Look, we only paid $X, it's cheap!". On the other hand, if it was cheap then SCOX wouldn't want the numbers to be out there ("We gave away 20K server license for PR-rights" wouldn't sound too great), which brings us to the fact that EV1 was in a position of power over SCOX, and chose to agree to not disclose the sum. In other words, they're helping SCOX out.

    I think that Marsh is pretty much alone in thinking this was a good idea. There was no pressure from linux-customers _at all_. He's He did this for the PR. New server-center around the corner, using SCO to make headlines sounded great!

    He just can't admit it in public. Reading his 'this was a sound business-decision'-bullshit is sickening.

    SCO says: "Copyrights and patents are protection against strangers," [...] "Contracts are what you use against parties you have relationships with. From a legal standpoint, contracts end up being far stronger than anything you could do with copyrights." -- http://e-businessadvisor.com/doc/12514

    Enjoy your new friends, EV1LServers.

  • Still inexcusable (Score:3, Insightful)

    by mjrauhal ( 144713 ) on Tuesday March 02, 2004 @09:30AM (#8439503) Homepage

    Sure it can make some business sense, from a certain perspective, to cover one's ass in this way, especially given that you get a lot of free publicity to boot.

    However, there is one simple reason that I hope that the negativeness of the publicity negates in this case the sheer amount of it: ev1 has voluntarily given SCO's claims credibility (in the eyes of some) and financed their crusade against Linux. This is, as such, inexcusable.

    Someone in their forums suggested that ev1 redeem itself by voluntarily donating the same amount to some of the SCO legal defence funds. This would be a good start, but I can't see it being very likely.

  • by baryon351 ( 626717 ) on Tuesday March 02, 2004 @09:33AM (#8439527)
    Now I know EV1 is a pushover, I have sent them letters in the name of my company advising them that an unknown but substantial piece of software that they are running infringes on my IP

    I cannot reveal the nature of this software, but my company and I have identified thousands of pieces of it running on EV1's servers.

    As EV1 have not indicated to me that they are not running such software (and as with SCO, the burden of proof is obviously on EV1 duh) then I have no option but to request the payment of $1599 per deployment of my IP on their systems. This comes to a total of $65,900,000 (some of their machines are running multiple instances of my IP).

    All fees will be waived if they provide proof they are not running my IP, which I do not believe they will be able to do. I expect payment within 90 days. If payment is received, I will not take legal action against EV1.

    (yeah I'm joking but damn, how far can protection rackets go once the weak cave in)
  • small fee? (Score:5, Interesting)

    by Mr_Silver ( 213637 ) on Tuesday March 02, 2004 @09:36AM (#8439544)
    Other have claimed that we're essentially funding SCOs various lawsuits. This is not true. SCO already has like $60 million on hand and our small fee would not go very far

    Oh I don't know. $1m seems like it'll go pretty far however big the size of your company.

  • by hauer ( 569977 ) on Tuesday March 02, 2004 @09:41AM (#8439584)
    As far as I understand from reading the SCO license, you cannot have it both ways:

    We license Linux through Red Hat. They provide our distribution and support/updates for the Enterprise distribution. Plus, they do an awesome job at delivering. Their support and dedication is second to none. Our agreement with SCO is in no way any kind of indictment on Red Hat. [...]

    versus

    We did, however, license certain IP from SCO.


    Unless it is substantially different from this [thescogroup.com], the clauses of the license make this pretty impossible.

    What am I missing?

  • by spells ( 203251 ) on Tuesday March 02, 2004 @09:41AM (#8439586)
    Insurance. Some companies are protecting their clients from SCO IP suits, why not pay insurance to a third party to CYA rather than to SCO?
    If one of the big insurance firms analyzed SCO's suit and calculated the odds of SCO winning, they might be able to offer insurance to these companies at a similar price to the extortion being paid to SCO. Everyone wins, companies can say they did their due diligence and SCO does NOT get a dime until they prove themselves in court.
  • by dpbsmith ( 263124 ) on Tuesday March 02, 2004 @09:43AM (#8439598) Homepage
    That sounds to me like high praise, and that's the fair dinkum.

    It's nice to know that the GPL Linux programmers are reading the C++ Programmers' Journal, programming on purpose, and following the elements of programming style.

    I hope they'll all keep Plauging away at it.
  • by joejor ( 578266 ) on Tuesday March 02, 2004 @09:50AM (#8439650)
    I am not an EV1 customer, but if I were, their action would prompt me to immediately seek a new provider.
    If they took my fees, turned around and handed it to SCO, oooooh, I'd be livid.

    Business reasons blah, blah, blah ...
    I cannot stand the idea of giving SCO money, even through a proxy.
  • by Quixote ( 154172 ) on Tuesday March 02, 2004 @09:53AM (#8439664) Homepage Journal
    EV1 isn't buying any insurance for the "little guy"; the little guys were never liable anyways! All EV1 just did is payoff SCO to go and sue one of EV1's main competitors.

    EV1 wins by (a) getting its name in the press; (b) by sicing SCO onto its competitor.

    SCO wins by (a) getting a "customer" for its IP, and (b) getting some money.

    See, both win.

    EV1 just found a new weapon in the cutthroat wars that are the hosting business these days.

    The question is: will enough people leave EV1 to cause them some pain? Will customers be able to break their contract based on this? Will some other hosting company jump in to provide the same deal to existing EV1 customers if they switch?

    Stay tuned!

  • Useful links (Score:3, Insightful)

    by RDW ( 41497 ) on Tuesday March 02, 2004 @09:54AM (#8439671)
    A helpful summary of the logic behind the EV1 decision can be found here [cartoonstock.com], and a historical perspective is here [wikipedia.org].
  • Boycott! (Score:5, Insightful)

    by Progman3K ( 515744 ) on Tuesday March 02, 2004 @10:01AM (#8439724)
    Want to make a difference?
    Convince any user of SCO's *nix products that you will boycott their service/product unless they DROP SCO.

  • by dillon_rinker ( 17944 ) on Tuesday March 02, 2004 @10:03AM (#8439744) Homepage
    His response to charges that he is funding SCO's lawsuits:
    SCO already has like $60 million on hand and our small fee would not go very far defending an action such as this

    No single raindrop believes that it is to blame for the flood. [despair.com] Presumably this CEO also believes that donating $25 to Al Qaeda doesn't promote terrorism, or that dumping a gallon of used motor oil in a river doesn't promote pollution. Or that buying somethng from a spammer doesn't promote spam.
  • EV1Server Refugee (Score:5, Interesting)

    by xheliox ( 199548 ) on Tuesday March 02, 2004 @10:05AM (#8439766) Homepage
    We made the switch last night to ServerMatrix.com. Hopefully they won't screw over the Linux community too.

    We had a total of 3 servers with EV1 which will all be offline by the end of the month. Certainly my 3 servers will not hurt them, but hopefully many more are taking similar actions.

    EV1 has made untold amounts of money off of Linux and then to sell it down the river without a fight is just plain wrong. There's no other way to say it.
  • Headsurfer. (Score:3, Interesting)

    by 13Echo ( 209846 ) on Tuesday March 02, 2004 @10:18AM (#8439862) Homepage Journal
    The "Headsurfer" needs to turn his surfboard around and drift out to sea.

    He claims to be supporting his customers, but in reality he's done nothing more than strengthen SCO so that they can carry on with these ridiculous claims and lawsuits a little longer. My hosting provider is an EV1 customer, and I'm already shopping for another provider.

    SCO has yet to present proof of their allegations. Numerous other countries' legal systems are essentially telling SCO to screw off because they are unable to present proof. Isn't that good enough, EV1? We all know that there is no "SCO IP" in Linux, and there never will be. EV1 made a mistake in supporting these criminals. Now, in my eyes, EV1 is a criminal company as well.

    Screw off, EV1. Hope your new data center gets wasted from lack of business.
  • by Colonel Cholling ( 715787 ) on Tuesday March 02, 2004 @10:18AM (#8439863)
    SCO already has like $60 million on hand and our small fee would not go very far defending an action such as this, much less prosecuting one.

    "dude, they've got, like, way more money than that, so like, we figured it was like cool and stuff."

    SCO or no SCO, I wouldn't want to do business with a company whose CEO has the spelling and diction of a twelve-year-old sk8r.
  • by BigGerman ( 541312 ) on Tuesday March 02, 2004 @10:19AM (#8439871)
    I have 3 boxes there and I want out.
    If anyone knows for a fact about some other hosting company with comparable prices / service, please post below.
    I am sure other /.ers would appreciate it too. No flames, just short info.
  • by dtfinch ( 661405 ) * on Tuesday March 02, 2004 @10:19AM (#8439878) Journal
    The restrictive wording of SCO's license makes it almost impossible to not violate it. Plus SCO can terminate the license at any time without cause and in the license they agree to stop using Linux in that case, regardless of the outcome of SCO's lawsuits. Just about the only way for an end user to subject themselves to litigation from SCO is to buy their license.
  • by Mirk ( 184717 ) <slashdotNO@SPAMmiketaylor.org.uk> on Tuesday March 02, 2004 @10:29AM (#8439948) Homepage
    The site is slashdotted already. Here is the text of the open letter:
    Dear EV1 Users,

    We were smoking crack. Sorry.

    Yours, etc.

    Brief, to the point. I like it!

  • by codepunk ( 167897 ) on Tuesday March 02, 2004 @10:31AM (#8439971)
    I heard that yesterday he was pimping around with Mr
    McBribe at some conference. That seems like a guy with the Linux community good will in mind. If I had just been extorted out of a million dollars the last thing I would do is follow around the CEO with my lips attached to his ass.
  • by Mirk ( 184717 ) <slashdotNO@SPAMmiketaylor.org.uk> on Tuesday March 02, 2004 @10:34AM (#8439985) Homepage
    From the article:
    It has been argued by a Linux Journal reporter that I have essentially called the various GPL Linux developers plaugerists. This is false.

    Hmm, I'm not sure about that. I certainly learned a lot from P. J. Plauger's books, not least The Elements of Programming Style (co-written, of course, with Brian W. ``Water-Buffalo'' Kernighan). Does that make me a Plaugerist?

  • by Mirk ( 184717 ) <slashdotNO@SPAMmiketaylor.org.uk> on Tuesday March 02, 2004 @10:37AM (#8440021) Homepage
    Marsh says:
    In every step building the EV1 business, I've had to make decisions that I believed in my
    heart were in the best interests of my clients and my shareholders.

    Shame he didn't use his brain instead.

  • by Queuetue ( 156269 ) <queuetue AT gmail DOT com> on Tuesday March 02, 2004 @10:53AM (#8440179) Homepage
    Oh my!

    I'm amazed that a person with $1mm in cash to spend can't spell, reason, or defend themselves properly.

    I yesterday suspected that this was MS/SCO reverse astroturfing, and now, I see I was probably right . These EV-whatever guys are actually an MS Case Study, indicating how much easier it is to deploy and manage windows boxes over Linux ones.

    Case Study [microsoft.com]

    (Incidentally, these doofuses were using RH's kickstart instead of just copying a tarfile to the fresh box - that's how MS beat them.)

    This whole thing feels like a riculous show that got out of control. I am glad that I didn't choose them for a service provider - I'm in the market right now, and they saved me a phone call.
  • by ballpoint ( 192660 ) on Tuesday March 02, 2004 @11:25AM (#8440516)
    Dear Sirs,

    You may be aware that the SCO Group is offering a Linux IP 'License', and that this is seen by a large portion of the internet community as an attempt to threaten and extort Linux users. More information about this case can be found here: http://www.groklaw.com

    It is my opinion that entering a business relation with the SCO Group is a dangerous proposition. Therefore, as your customer, I would like to be assured that you have no plans to license anything from the SCO Group. If I do not receive this assurance in due time, I will be obliged to start contingency planning.

    Regards
  • My Response (Score:5, Interesting)

    by Bob9113 ( 14996 ) on Tuesday March 02, 2004 @11:37AM (#8440662) Homepage
    Just sent the following to EV1:

    Hi,

    I rent one of your servers (the machine from which I'm sending this). I have been extremely pleased with your uptime, bandwidth, and pricing. I would like to remain a customer.

    I have read your open letter regarding the SCO license in the forums, and understand your position. I also think some of the counterpoints that have been made are quite valid. I think there is an easy way to recover the support of those who see Linux as an important part of the national and global economy.

    Please consider contributing to the OSDL's legal defense fund.
    http://www.osdl.org/about_osdl/legal/lldf/l ldf_des cription.html

    I will be on vacation until early next week. Upon my return, I will check the front page of your website. If there is a large public notice that you have given the OSDL's Linux Legal Defense Fund a contribution equal to or greater than the amount you paid SCO, I will be very happy to continue using your service.

    You have chosen to give money to highwaymen who have made baseless allegations about their ownership of some small portion of Linux. If you genuinely feel that SCO has earned your money, it seems abundantly clear that you owe far more to the people who actually wrote Linux. What better way to invest that money than in defending Linux from the same highwaymen that have just held you up at lawyerpoint?

    You currently pay Red Hat for their support services. According to the license under which Linux is distributed (including the license under which SCO distributes Linux), you do not have to pay for the intellectual property. If you choose to pay for the intellectual property rights to Linux, you should be paying the people who own those rights. In this case, that money can be best spent by defending those authors' right to their intellectual property.

    Thank you for your time,

    Robert Bushman
  • by Newspimp ( 723202 ) on Tuesday March 02, 2004 @12:39PM (#8441388)
    Well, from one Texas-based "Robert" to another, I make this proposal to Headsurfer.

    Make your license with SCO public. You say it wasn't Linux you licensed from SCO, then prove it. Publish your license with SCO. Not only will it quell those that say you padded the coffers of SCO with protection money for Linux, by showing them that you paid for *actual* intellectual property (you did, right?) but it will calm your clients and potential clients if they know that you used money taken from customers and spent it on valid software for their use.

    That is unless the license reads "We 0wn j00" (in essence, of course)

    Currently, it appears you've done the following.
    • Paid SCO to not be bullied over using Linux anymore
    • Got a helluva licensing deal from Microsoft in the interim, which is kinda shady WRT the SCO bit...
    • Snubbed MANY of the Linux and Open Source contributors, those that you say you respect and that provided MUCH of the software that has made your business economically viable
    • Snubbed many of the same technical types who *were* considering your services
    • And have entered into a contract, which currently, appears to be impossible not to violate (GPL + Linux + Kernel redistribution on server + SCO License = revoked GPL and violation of SCO license which opens you up to suits. They've said recently they intend to sue their customers. Helluva time to become one...)
    So, do you think the protection was worth it. If so, show us what you got for your Million dollars. That is unless there was a great snake oil sale in Lindon....

He has not acquired a fortune; the fortune has acquired him. -- Bion

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