Ziff Davis Internet
News & Resources for the IT Reseller
NewsReviewsTech AnalysisCommentarySecurityLinux/Unix
My Account |  

Microsoft Settles with Novell, CCIA Trade Group
By Steven J. Vaughan-Nichols

In a surprise move, Microsoft Corp. announced on Monday that it is paying $536 million to end an antitrust battle with Novell Inc. and that it has resolved some long-standing disagreements with trade group Computer & Communications Industry Association.

Because of these agreements, Novell and the CCIA have agreed to pull out of the legal case against Microsoft in the European Union.


Specifically, the Microsoft/Novell agreement settles Novell claims over Microsoft’s antitrust actions regarding its NetWare operating system. However, “We could not resolve claims related to WordPerfect in any manner we thought appropriate, and we are prepared to turn to the courts to resolve it,” said Brad Smith, Microsoft senior vice president and general counsel, in a statement.

“We are pleased that we have been able to resolve a portion of our pending legal issues with Microsoft,” said Joseph LaSala Jr., Novell’s senior vice president and general counsel, in a statement.

But, LaSala continued, “We regret that we cannot make a similar announcement regarding our antitrust claims associated with the WordPerfect business. We have had extensive discussions with Microsoft to resolve our differences, but despite our best efforts, we were unable to agree on acceptable terms. We intend to pursue our claims aggressively toward a goal of recovering fair and considerable value for the harm caused to Novell’s business.”

In an interview, Smith said that the Novell deal would not be collaborating in the licensing and intellectual property ways that Microsoft has with Sun Microsystems Inc. when those two bitter rivals recently buried in the hatchet.

PointerFor more on the Microsoft/Sun settlement, click here.

As for the CCIA, in addition to its EU move, the group has also agreed that it will no longer challenge the District Court’s Final Judgment in the United States v. Microsoft antitrust case. According to a CCIA statement, this “effectively ends the seven-year-long [DOJ vs. Microsoft] antitrust case in the United States.”

eWEEK.com Special Report: Microsoft Trials Specific financial terms of the CCIA agreement are confidential, but in a statement, the CCIA said Microsoft “will compensate CCIA for certain legal-related expenditures it has incurred, in some cases over the past decade, and provide substantial institutional support for new and important policy undertakings on which CCIA will take a leadership role.” In addition, Microsoft will join the CCIA.

`Life is a constant reordering of priorities, and for important and pragmatic reasons, we are choosing to move on with regard to this matter,” Ed Black, CCIA’s president, said in the statement.

“Today’s agreement demonstrates that we will meet halfway to see if we can resolve our differences,” Smith said. “The fact that we can find common ground [with these two foes] demonstrates that we are prepared to sit down with everyone to find common ground.”

When asked if these agreements will help Microsoft with its EU legal battles, Smith said, “It certainly doesn’t hurt and that Microsoft remains open for a settlement with the EU.”

Smith also said the Redmond, Wash., company has $950 million in reserve for any remaining antitrust claims, up about $200 million from its most recent filing with the Securities and Exchange Commission.

PointerCheck out eWEEK.com’s Windows Center for Microsoft and Windows news, views and analysis.



Free Hands-On Training Lab
Find out how key features of SBS 2003 can help you open up a new line of revenue. Register now >>

SBS 2003 Sales Reference Card
This handy reference card contains features at a glance, sales objection handling, pricing guidelines & more. Get it now >>

Microsoft Empower for ISVs rewards your big idea with big benefits and support.
Access key development tools at a low cost to help you develop that idea into an innovative application. Learn more >>

Changing Business for the Better: A Practical Guide to BPM

This paper provides an overview of the benefits of BPM technologies and identifies the characteristics of BPM solutions that lead to successful BPM process-centric integration projects.

Download this free white paper to learn more!

>> brought to you by IBM

Attention Microsoft Solution Providers!

Want to gain a competitive edge? Try Microsoft Watch – FREE!

Each week you receive:
  • Microsoft News and Insider Information
  • Expert Analysis
  • Code Names of Upcoming MS Products
  • Year-Ahead Calendar, updated monthly

    Click Here to sign up now for your FREE 14 Day Trial to Microsoft Watch.
  • Add up to $1,200 of value with the new BONUS PACKS.
  • HP PartnerONE: The key to increasing your margins.
  • HP Compaq nc6129 Business Notebook. $1149 Smart Buy
  • HP xw8200 workstation. Smart Buy price $1549.
  • ProLiant DL360G4p server: HP Smart Buy price $1647
  • Microsoft files new anti-piracy lawsuits. Learn more.
  • New offers with Windows Genuine Advantage.

    •Catalog Publishing
    •Dealer Management
    •Order Configuration
    •Price Management
    •Sales Management

    View All >

    Search the jobs you want & get the info you need – post your resume here today!

    Powered by Dice
    White Boxes
    MS vs. IBM
    Linux in the Channel
    Stay in the Zone
    Put The Channel Insider on your desktop.
    Subscribe to The Channel Insider: Channel News, Reviews, Resources and more.

    Make your selections below:

    Contract Watch

    The Channel Insider Update

    Preferred e-mail format:

    Enter your e-mail:

    view all newsletters >>
    Channel Insider Quick Links
    Ziff Davis Footer Logo