CWmike writes "The four-year-old saga of Psystar, a Florida Mac clone maker that was crushed by Apple, ended Monday when the U.S. Supreme Court refused to hear its appeal of a lower court ruling. The decision to not consider the case (download PDF) upheld a ruling last September by the U.S. Court of Appeals for the Ninth Circuit. That ruling confirmed a permanent injunction against Psystar that prevented the company from copying, using or selling OS X, and blocked it from selling machines with Apple's operating system preinstalled. 'We are sad,' said K.A.D. Camera of the Houston firm Camera & Sibley LLP, in an email reply today to a request for comment. Camera represented Psystar in its bid to get its appeal heard. 'I expect the Supreme Court will eventually take a case on this important issue.' Last year, Camera had said, 'This is far from over,' after the Ninth Circuit's decision. Apparently, it is."
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The dispute between Mac cloner Psystar and Apple has been a long and twisty one; now, reader UnknowingFool writes that "Last week, the U.S. Ninth Circuit Court of Appeals ruled mostly against Psystar in their appeal of their case with Apple. The Court found for Apple in that they did not misuse copyright by having conditions in the OS X license. Psystar won on one point in which some of the court orders should have not been sealed."
An anonymous reader writes "I purchased Rebel EFI in support of Psystar's crusade back in October. Just 3 short months later, I have no support. I found this out when I upgraded my hard drive and installed Snow Leopard using Rebel EFI. The program can no longer 'phone home' to activate or download/install drivers. This is a direct contradiction to Psystar's promise posted on their website: 'Psystar will continue to support all of its existing customers of hardware and software through this transitional period. Warranties on hardware will continue to be honored as long the customer has a valid warranty. Rebel EFI support for existing customers, as always, will remain exclusively available through email and the built-in ticket interface.' Has anyone else run into this issue? It has been 9 days with no response from Psystar by e-mail or phone."
Despite several sources reporting that post-indefinite-injunction Psystar was closing their doors for good, the company's lawyer is claiming Psystar plans on going forward with PC sales — they just won't be pre-loaded with Apple's OS X. Psystar plans on selling systems pre-loaded with "other operating systems," including Windows, as well as selling their "Rebel EFI software" that allows consumers to load OS X on generic PCs.
AdmiralXyz writes "It appears to be the end of the road for infamous Mac clone-maker Psystar, as a federal judge has issued a permanent injunction against the company, banning it from selling its OS X-based hardware products, following November's ruling that Psystar was guilty of copyright infringement under the Digital Millennium Copyright Act. Specifically, Judge William Alsup's ruling prevents Psystar from 'copying, selling, offering to sell, distributing or creating derivative works of Mac OS X without authorization from Apple; circumventing any technological measure that effectively controls access Mac OS X; or doing anything to circumvent the rights held by Apple under the Copyright Act with respect to Mac OS X.' The ruling does not include Psystar's Rebel EFI software, which (in theory) allows users to boot OS X onto some Intel computers, but Alsup said that too would be unlikely to stand up in court if Apple decides to make a formal challenge."
CWmike writes "Apple wants a federal judge to shut down Psystar's Mac clone operation and order the company to pay more than $2.1 million in damages, according to court documents. The move was the first by Apple since US District Court Judge William Alsup ruled that Psystar violated Apple's copyright and the Digital Millennium Copyright Act when it installed Mac OS X on clones it sold. Alsup's Nov. 13 order, which granted Apple's motion for summary judgment and quashed Psystar's similar request, was a crushing blow to the Florida company's legal campaign. In a motion filed Monday, Apple asked Alsup to grant a permanent injunction that would force Psystar to stop selling any computer bundled with Mac OS X; using, selling or even owning software that lets it crack Apple's OS encryption key to trick Mac OS X to run on non-Apple hardware; and 'inducing, aiding or inducing others in infringing Apple's copyright.'" Groklaw has summarized Apple's request as well, and noted that Apple has also filed a motion to dismiss Psystar's litigation in Florida (or transfer it to California, where the above injunction was filed).
We've been following the case of Mac cloner Psystar for some time now. Apple was just handed a summary judgement over Psystar, and as usual Groklaw has the scoop. Here is the order (PDF), though PJ supplies it in text form at the link above. "Psystar just got what's coming to them in the California case. ... It's a total massacre. Psystar's first-sale defense went down in flames. Apple's motion for summary judgment on copyright infringement and DMCA violation is granted. Apple prevailed also on its motion to seal. Psystar's motion for summary judgment on trademark infringement and trade dress is denied. So is its illusory motion for copyright misuse. ... So that means damages ahead for Psystar on the copyright issues just decided on summary judgment, at a minimum. The court asked for briefs on that subject. In short, Psystar is toast." Reader UnknowingFool adds, "There are still issues to be decided but they are only Apple's allegations: breach of contract, induced breach of contract, trademark infringement, trademark dilution; trade dress infringement, state unfair competition, and common law unfair competition. Even if Psystar wins all of them, it is unlikely to help them very much."
recoiledsnake writes "Groklaw has an extensive look at the latest developments in the Psystar vs. Apple story. There's a nice picture illustrating the accusation by Apple that Psystar makes three unauthorized copies of OS X. The most interesting, however, is the last copy. From Apple's brief: 'Finally, every time Psystar turns on any of the Psystar computers running Mac OS X, which it does before shipping each computer, Psystar necessarily makes a separate modified copy of Mac OS X in Random Access Memory, or RAM. This is the third unlawful copy.' Psystar's response: 'Copying a computer program into RAM as a result of installing and running that program is precisely the copying that Section 117 provides does not constitute copyright infringement for an owner of a computer program. As the Ninth Circuit explained, permitting copies like this was Section 117's purpose.' Is Apple seriously arguing that installing a third party program and booting OS X results in copyright infringement due to making a derivative work and an unauthorized copy?"
CWmike writes "While the world focused on Microsoft's launch of Windows 7, Florida-based Psystar quietly launched Rebel EFI, a software product that should worry Apple a lot more than Microsoft's latest operating system. Rebel EFI allows users to run Apple's flagship operating system, Mac OS X Snow Leopard, on non-Apple hardware. Computerworld test drove the making of a Hackintosh out of a generic PC with the company's new software package and found a product that has a lot of homework still to do. Reviewer Frank Ohlhorst's final analysis: 'Psystar's Rebel EFI (a free trial is available) is an interesting tool, but it is very limited when it comes to the selection of hardware that you can use. The company really needs to create a compatible hardware list and post that on its Web site — and it also needs to create some usable documentation. As it stands right now, you can use Rebel EFI to build a Mac clone, but unless you stick to relatively generic hardware, you will be disappointed.'"
bughunter writes "Cnet is reporting that Mac clone maker Quo Computer plans to open its first retail location, selling Mac clones, on June 1st. To start, Quo will offer three desktop systems: the Life Q, Pro Q, and Max Q. While details of the components are not yet available, founder Rashantha De Silva said they are looking at Apple's system configurations for guidance. Pricing has also not been finalized on the desktop machines, but the company is looking to start pricing at less than $900. While Quo is starting off with the desktop machines, De Silva said it is looking at offering an Apple TV-like media server and a smaller computer similar to the Mac Mini. He acknowledges that Quo will likely face opposition from Apple, much like Psystar. 'They probably will (sue us),' De Silva said. 'There are others doing this, but we have a different attitude. There are thousands of people in the "Hackintosh" market, but many of them are creating bad products. I don't think anyone wins in that environment.'"
StikyPad was one of several readers letting us know that Psystar has filed for Chapter 11 bankruptcy protection. We've discussed the Mac clone maker's battles with Apple extensively. The company apparently has over $250,000US in debt, and states that it cannot turn a profit in the current economy. "The Chapter 11 filing will temporarily suspend Apple's copyright infringement suit against Psystar, which is currently before the US District Court of Northern California. But once the bankruptcy protection is sorted out, the copyright case will resume." And PC Mag is reporting that, on the other side of the Atlantic, two new clone companies are just getting started. Like PsyStar, FreedomPC and RussianMac promise to deliver PCs with OS X preloaded.
Daengbo writes "'A federal judge last week ruled that Psystar Corp. can continue its countersuit against Apple Inc., giving the Mac clone maker a rare win in its seven-month-old battle with Apple. He also hinted that if Psystar proves its allegations, others may then be free to sell computers with Mac OS X already installed.' Apple is currently suing Psystar over its sale of Mac clones."
Preedit writes "Mac cloner Psystar is claiming in new court papers that Apple's copyright suit against it should be dismissed, because Apple has never filed for copyright protection on Mac OS X 10.5 with the US Copyright Office. Infoweek is reporting that the claim, if it holds up, could open the door for third-parties to enter the Mac market without fear of legal action from Apple. In its latest set of allegations, Psystar is also accusing Apple of bricking Macs that don't run on genuine Apple hardware." We've been following the Psystar-Apple imbroglio since the beginning.
rgraham writes "From the article on Growler: 'Apple apparently believes that somebody else is behind Psystar, which might help to explain why a major law firm would take on what seems like a fly-by-night's case; also why Psystar has been so bold in continuing to sell its products. I knew this thing felt funny. As Alice in Wonderland might put it, "It gets interestinger and interestinger."'"
Ian Lamont writes "Buried in the court filings of the recently concluded Psystar antitrust suit against Apple is a document that discussed Apple's corporate policy regarding employee email. Apparently, Apple has no company-wide policy for archiving, saving, or deleting email. This could potentially run afoul of e-discovery requirements, which have tripped up other companies that have been unable to produce emails and other electronic files in court. A lawyer quoted in the article (but not involved in the case) called Apple's retention policy 'negligent.' However, the issue did not help Psystar's lawsuit against Apple — a judge dismissed the case earlier this week."
An anonymous reader writes "Psystar and Apple have agreed to alternative dispute resolution to keep the public eye away from their disagreements, and to reduce legal costs. This will eliminate any rulings that would set a precedent over Psystar's claim that Apple is violating anti-trust laws by tying Mac OS X to only their hardware and thus creating a monopoly. This could result in a profit for Psystar's business, but eliminate their line of open-computing Mac-compatible PCs. On the other hand, what's to stop a similar company from doing the same thing?"
An anonymous reader sends us to CNet for news that Apple clone maker Pystar plans to countersue Apple. We discussed Apple's suit last month. "Mac clone maker Psystar plans to file its answer to Apple's copyright infringement lawsuit Tuesday as well as a countersuit of its own, alleging that Apple engages in anticompetitive business practices. Miami-based Psystar... will sue Apple under two federal laws designed to discourage monopolies and cartels, the Sherman Antitrust Act and the Clayton Antitrust Act, saying Apple's tying of the Mac OS to Apple-labeled hardware is 'an anticompetitive restraint of trade,' according to [an] attorney... Psystar is requesting that the court find Apple's EULA void, and is asking for unspecified damages."
Preedit writes "Continuing its defiance of Apple, Psystar is reassuring customers that it is "definitely still shipping" its line of Mac clones. And, in a further nose-thumbing at Steve Jobs, Psystar this week said it's now making Leopard restore disks available to its customers, even as Apple insists that Mac clones sold to date be recalled. In its story on the latest developments, Infoweek is reporting that tiny Psystar apparently has no intention of backing down in its legal dispute with the much larger Apple."
CWmike writes "Another company is preparing to sell Intel-based computers that can run Apple's Mac OS X. But unlike Psystar, a Florida clone maker that's been sued by Apple, Open Tech won't pre-install the operating system on its machines. Open Tech's Home (equipped with an Intel dual-core Pentium processor, 3GB of memory, an nVidia GeForce 8600 CT video card and a 500GB hard drive) and XT (which includes an Intel Core 2 quad-core CPU, 4GB of RAM, an nVidia GeForce 8800 video card and a 640GB drive) machines will sell for $620 and $1,200, respectively. Open Tech is prepared to do battle with Apple if it comes after Open Tech. 'We definitely would defend this,' said [Open Tech spokesman] Tom. 'The only possible case that Apple can make, the only one that has any chance, would be based on the end-user licensing agreement.'"