Novell — Microsoft deal terms published

    Microsoft and Novell executives yesterday announced the terms of their controversial business agreement to collaborate and promote SUSE Linux. It was said that Microsoft is now the largest source of SUSE Linux sales business, and that the deal has helped promote Linux in enterprises. The public did not believe it, but still ...

    Representatives of both sides said that Microsoft opened the door of Linux to such large companies as Wal-Mart and Nationwide Bank, thereby bringing great benefits to the open source community.

    Justin Steinman, Novell’s director of marketing for Linux and Open Platform Solutions, took part in a panel discussion this week at The Open Source Business Conference. Microsoft Linux Labs director Sam Ramji and editor-in-chief of LWN.net, as well as open-source advocate Jonathan Corbet, were also there.

    Contrary to the opinion of the open source community, which considers Microsoft to be the main enemy of free software, the software giant has turned out to be the main source of the Linux sales business for Novell - the deal between these companies was very useful for SUSE Linux. Justin Steinman said, “Microsoft was Novell's primary partner in the first quarter of 2007. We saw a 60% increase in SUSE sales over this period. ”

    After Steinman's speech, Ramji spoke. He said that the future of network computing is a heterogeneous environment (a network connecting servers and workstations with different systems, for example, the same MS Windows and SUSE Linux), and Windows should work with systems such as Linux, if, of course, Microsoft does not want to lose the market.

    But Ramji and Steinman faced criticism from Corbet as well as criticism from the audience, especially because Microsoft was going to take deductions for violated more than 200 patents.

    “I don’t think this number means a lot,” Steinman said of the 235 patents pending by Microsoft, “but it seems to us that such comments are unproductive.”

    Corbet, not understanding Novell’s actions, accused the company of allowing Microsoft misconduct:
    “Novell pays Microsoft money for every copy of SUSE Linux sold. If these are not patent fees, then what do you pay for? It seems to me that they call me a thief. It’s all the more unpleasant to hear such contentious accusations from your people, from within our community. ”

    Under a cross-patent licensing deal that defines co-development, Novell agreed to pay Microsoft a percentage of revenue from the sale of opensource products. Microsoft, in turn, refused patent claims against users of SUSE Linux. The deal itself was concluded in November 2006.

    So far, the features of the agreement have not been made public. But Novell said during a speech that it would do so at the end of May as an annex to the 10-K form for 2006.

    Also popular now: