Psystar countersues Apple for anticompetitive business practices

TalkBack 9 of 9:

« Previous

• Thread View
• Flat View

....

K. Since there are various posts using the word monopoly I'll reply here.

Before using a word in an attempt to legal argument, look up the definition. You're less likely to get laughed at. Then look up all the pertinent information related to the subject.

Its really very easy: use Wikipedia. They're right 99.9% of the time.

OS X = personal computer operating system. Substitutes: MS windows, Linux.

Now. Let us say you don't wish to buy Apple hardware. By the terms of the EULA, you can't use OS X. Does this mean you aren't allowed to use a personal computer operating system without paying Apple for their hardware? NO. Therefore it is not a monopolistic action.

You wish to use OS X? Pay Apple the full price for it. Buy their hardware.

You can buy copies of OS X, yes re-sold, as an upgrade to your previous Apple Operating system. Since you cannot buy Apple Hardware that is not pre-loaded with an Apple OS, this guarantees that any subsequent purchase is going to be an upgrade. Therefore the price of a non bundled copy of their OS is an upgrade cost. Look at the license they are release with.

So, if you purchase an upgrade version of their OS and install it on non-Apple hardware, you are cheating Apple.

Now it is not your RIGHT to use OS X. It is just an OS. You will not die if you do not use it. You can use a different one and get similar work and use out of it. Not identical, but similar.

Now Psystar is selling computers preloaded with upgrade priced versions of OS X. Not OEM priced, or "full" priced. Apple makes most of its money selling hardware preloaded with its software. The upgrade versions of their OS are for customer convenience. If Psystar sells hardware based on the fact that they preload said hardware with Apple's OS without an OEM license agreement... I do think this can be classified as theft from Apple.

I also note that to make this installation work, they had to modify their hardware to imitate patented and/or copyrighted firmware and hardware. This action alone is illegal and enough for legal action against psystar.

A tech-savvy judge will simply point out that a user can install Linux or Windows. They are substitutes so the use of OS X without paying the full price to the owner of that software is theft. Next, the judge will point out that they broke multiple copyrights, patents and GPL's to emulate Apple's firmware.

The only issue I see is the response. What precedent in penalizing Psystar will be set? Will they be forced to pay a steep OEM(read "full price") cost to Apple and then will Apple be forced to provide OEM licenses? I'm not sure this will happen. It would be unconstitutional. Therefore Psystar will probably be told to pay damages and cease operation.

After which Psystar will find a way to continue operations without preloading their hardware with copyrighted, patented and GPL'ed software. They will then provide the buyer with a way to do the full installation without implicating themselves. This would then make Apple have to persecute the end users as well as have a less powerful case against them.

It would also mean that many people who like the "it just works"(read most of the time) will end up buying systems preloaded with OSes from other corporations. Or they will buy the Linux preloads Psystar sells.

Anyone who claims Apple is monopolistic is an idiot. Anyone who claims Apple is a capitalistic corporation looking out for the best interests of the stockholder would be correct. Remember the first rule in financial management is: To maximize the value of the corporation.

If you have an issue with this, move to China or North Korea. Alternately you could try to change the way most economies and political bodies work. But good luck there.

Now are Apple's actions anti-competitive? They make an OS and hardware, and sell it together. Nokia does the same with their phones. So do many other phone makers. So does Garmin, the Amazon reader thing. Your DVD player for your TV. And most of the electronics you buy. Granted. They aren't for Personal Computers. I guess PCs are sacred.

But simply put, anyone who wants to profit from a product that is meant to be sold paired with another product by selling the other half of that product without having shouldered the costs of producing that first half and without any agreement whatsoever with the producer of said first half is guilty of theft. I suspect the courts will find this to be the case, but only after many many years of legal battles, which will turn into extra costs for Psystar. This will force them to raise prices somewhat and make their products less appealing.

In the mean time, if Apple continues to gain market share at the current rate, and Microsoft continues to lose it, similar companies will probably attempt a similar business model as Psystar. And after a few years, they will be destroyed by Apple.

As far as I can see, Apple users will profit from this since increased market share will mean more applications developed for the platform. But Apple shareholders will not gain much from this and Psystar owners will lose alot.

All's well that ends well? eh?

Posted by: isulzer   Posted on: 08/28/08 You are currently: a Guest | Members login | Terms of Use

Alert moderator to an offensive message

Subscribe to this discussion via Email or RSS

SponsoredWhite Papers, Webcasts, and Downloads

• Secure Copy Version 5.0.2 ScriptLogic Secure Copy? is a powerful, comprehensive migration solution that ... Download Now
• Desktop Authority Version 7.8.1 ScriptLogic Desktop Authority centralizes control over the desktop, combining into one ... Download Now
• ArgYou.com Partners With Dell for Content Analysis Dell Supported by a comprehensive hardware infrastructure from Dell, ArgYou's ... Download Now