BusinessWeek’s Burrows: Psystar shouldn’t have messed with Apple

Hammacher Homepage 300x250“Whatever the outcome of Psystar’s ongoing battle, even now the saga carries some important lessons for other would-be challengers to tech’s status quo,” Peter Burrows reports for BusinessWeek. “Don’t pick a legal fight you can’t win (put another way, don’t mess with Apple). The onetime underdog is now one of the staunchest defenders of its intellectual property, and it has a $24 billion cash hoard to help press its case in court.”

MacDailyNews Note: Make that over $34 billion, Pete. $10 billion difference still means something outside of Washington D.C.

Burrows continues, “Mac users want the whole enchilada. The world has changed immensely since Power Computing and the other cloners were trying to build their business. Back then, the Mac customer base was mostly companies and technically sophisticated consumers. Now, the company sells millions of Macs a year, to all manner of consumers. When they head out to buy a computer, they’re not defining the Mac as an operating system. The Mac is a stylish machine that runs a well-designed operating system—and a machine that is backed up by support from a company with one of the world’s strongest brands.”

“Psystar’s attorney, Kiwi Camara of Camara & Sibley in Houston, is hopeful the copyright case in California will be reversed on appeal (the partial settlement stipulates that Psystar won’t have to pay those damages until all appeals have been exhausted). And Camara says Apple’s decision to drop a spate of remaining claims against Psystar—on trademark infringement, unfair competition, and others—shows Apple wants to end this saga as well. ‘This [partial settlement] is too good to be true,’ he says. ‘I don’t know why they did it,'” Burrows reports. “A bigger unknown for Psystar, though, is why its founders decided to take on Apple in the first place.”

Read more in the full article here.

[Thanks to MacDailyNews Reader “James W.” for the heads up.]

36 Comments

  1. No,Burrows is right and MDN is wrong: Apple owns 34 billion $ of cash and ,now listen folks, equivalents.
    This means that this equivalents could be turned into cash very easily, but they are not cash.

    The cash part of these 34 billion is,tataaaaaa, 24 billion $!

  2. “In case you haven’t noticed, MDN is a right-wing tool who, like all of his teabagger friends, suddenly decided to care about fiscal responsibility on January 20, 2009.”

    A right wing Mac site? Methinks not.

  3. @jake,

    In case reality isn’t your forte (and it seems it isn’t), saying something as typically Liberal (read “mindless”) as “suddenly caring” about fiscal responsibility, after watching the Lib Dems nearly TRIPLE the deficit, shows just how vapid and intellectually bankrupt the bedwetting leftists have become.

    (Gee, aren’t you happy you tried playing the hate card? I can rub your nose in your own crap all day if you’d like, make my day!)

  4. @zek
    I am with you. A two party Democracy? One that prides it self in regime change of sovereign countries. Democracy only works when the people you like win. If not, you can always have a coup d’état.
    What this country needs is a Labor Party, one that does not have corporate interest at the center of their campaign funding. Then we would see real reform.

    That said, it’s good to see Psystar crushed as there disingenuous business model gets exposed. Who would invest with them now, drug traffickers?

  5. @jake,

    MDN is actually Rush Limbaugh’s technical arm… which explains the continual ineptitude in typos and generally pompousity of MDN takes. I only visit here because I like 30,000 ads per page (and my IT department does not block MDN – they only block sites that people would visit often that are not business related, and MDN is definitely not business related and certainly not a threat to anyone – annoying, yes. threat, hardly.)

  6. US zombies slowly awaken to the reality of being led by an empty suit

    The number of Americans identifying themselves as Democrats fell by nearly two percentage points in November. Added to declines earlier in the year, the number of Democrats in the nation has fallen by five percentage points during 2009. In November, 36.0% of American adults said they were Democrats.”

    The number of Republicans inched up by just over a point in November to 33.1%. The number of adults not affiliated with either party grew half a point last month to 30.8%.

    Keep in mind that figures reported in this article are for all adults, not likely voters. Republicans are a bit more likely to participate in elections than Democrats.

    http://rasmussenreports.com/public_content/politics/mood_of_america/partisan_trends

    71% angry at US federal government, up five points since September‘

    Even more stunning, the 46% who are Very Angry is up 10 percentage points from September.

    http://bit.ly/8xvRsN

    Republicans lead by seven points on U.S. generic ballot

    The latest Rasmussen Reports national telephone survey shows that 44% would vote for their district’s Republican congressional candidate while 37% would opt for his or her Democratic opponent

    http://bit.ly/4sfo9l

    Voters more confident in Republicans than in Democrats on all of U.S. key electoral issues

    New Rasmussen Reports national telephone surveying finds Republicans maintaining a double-digit lead on the #1 issue, the issue of the economy – 48% to 36%.

    http://bit.ly/PsXjj

    MDN MW: “hope.” ROTFLMFAO!

  7. @ Ringgo – It’s pretty much luck of the draw here. Some MDN articles spawn comments or debates which are very insightful (either for or against Apple) and actually relevant to the main article. Others, like this one, devolve into idiotic zealotry and off-topic political rants, often by people who seem to have little interest in Apple.

    MDN states that they will delete off-topic comments, but just like Apple’s App Store approval process, they are extremely inconsistent in how they actually enforce those rules.

  8. “A bigger unknown for Psystar, though, is why its founders decided to take on Apple in the first place.”

    Apparently, it was part of their business plan. From Groklaw:

    […] that they wanted to get sued, so others would be afraid to do what Psystar was doing until after the trial, and meanwhile the publicity would give Psystar brand recognition and a head start. Indeed the Summary page at the end states it baldly: “Thanks to ongoing litigation and current market conditions Psystar has a unique opportunity.” Unique is too small a word for this, I think. Litigation as business plan. So now we know why it seemed to want to get sued. They thought it was a market opportunity and a way to get VC money.

  9. @mike: yes, MDN takes a conservatively-biased view of most political topics. Poster “@jake” is absolutely correct.

    To the topic of discussion: most of us would be rooting for the small-guy underdogs if they had a legal leg to stand on. However, Psystar doesn’t, and they deserve no quarter for attempting to profit from Apple IP.

  10. You’re all tools. Right wing, left wing… what’s the difference? The only thing these terms represent is which pocket the politicians have their hand in. You’ve all been divided and conquered; arguing about which side is correct or at fault, while they cash in on your stupid human fallacy. So typical…

  11. Disheartening that the five comments posted after my last comments above, have nothing to do with either the article or the points I raised which are actually relevant to the article.

    It does, however, seem to confirm the correlation between strong political affiliations and lack of critical thinking skills. Difficult to perceive the world accurately when you’re deliberately ignoring one side of every debate.

    And when did our political parties become more loyal to themselves than to the country they’re supposed to be serving? Are we seeing this shift due to the more selfish post-Boomer generations taking control?

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