Linked by Thom Holwerda on Mon 9th Oct 2006 17:30 UTC, submitted by JCooper
SCO, Caldera, Unixware A declaration by SCO's backer, BayStar has revealed that the software Giant Microsoft had more links to the anti-Linux bad-boy. The declaration made by from BayStar general partner Larry Goldfarb has turned up as part of IBM's evidence to the court. Goldfarb says that Baystar had been chucking USD 50 million at SCO despite concerns that it had a high cash burn rate. He also claims that former Microsoft senior VP for corporate development and strategy Richard Emerson discussed "a variety of investment structures wherein Microsoft would 'backstop', or guarantee in some way, BayStar's investment". Thanks to The Inq for the summary.
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RE: Nothing new
by Flatline on Mon 9th Oct 2006 17:44 UTC in reply to "Nothing new"
Flatline
Member since:
2006-03-06

True, but what was made public was that Microsoft facilitated Baystar's backing of SCO, not that they actually promised to bankroll it themselves (as far as I can remember, anyway...if I'm wrong about that, I'm sure I will be corrected promptly). The real twist is that they apparently told Baystar not to worry about the 50 million! dollars and then basically weaseled out of it. Sounds like something an old college roommate of mine would have done (the jerk).

Reply Parent Score: 3

RE[2]: Nothing new
by gustl on Mon 9th Oct 2006 18:06 in reply to "RE: Nothing new"
gustl Member since:
2006-01-19

That should make everyone who is about to make a deal with Microsoft think twice and bring up a contract which is as waterproof as possible.

Because I would be at loss to name even one business partner of Microsoft who did not either get swallowed or hoodwinked.

Reply Parent Score: 2

RE[3]: Nothing new
by sbergman27 on Mon 9th Oct 2006 18:15 in reply to "RE[2]: Nothing new"
sbergman27 Member since:
2005-07-24

Well, if I were a professional venture capital firm getting ready to invest 50 million, based upon one company's recommendation, into another company that looked a bit shaky to to me, and the first company was talking about guaranteeing the investment in some way... I think it would have occurred to me to get something in writing.

Something smells a bit fishy, here... and I despise MS.

Reply Parent Score: 1