[Am-info] BayStar repos SCO's golden egg

Fred Miller fmiller@lightlink.com
Mon, 26 Apr 2004 17:44:36 -0400


=46rom the Editor:
__________________________________
by Jan Stafford, Site Editor

The chickens are coming home to roost at The SCO Group, but it might
be too early to crow about it. It seems that BayStar Capital -- the
goose that laid a $20 million golden egg on SCO -- has smelled
something fowl, er, foul, in SCO's anti-Linux campaign. After betting
the farm on SCO, BayStar now wants to cash out. Last Thursday,
BayStar spokesperson Bob McGrath hinted at why the company wants its
eggs out of SCO's basket.

This situation just drips with irony. BayStar announces plans to
redeem its 20,000 shares of SCO stock, valued at $20 million. The
announcement makes SCO's stock price drop, just as the announcement
of its investment sent stock prices up.=20

The irony is kept alive by the fact that SCO CEO Darl McBride planned
to use BayStar's money as the primary source of revenue to pay legal
fees related to its anti-IBM suit.

Then, there's the juicy fact that, so far, BayStar hasn't explained
how SCO violated the agreement between them, just as SCO hasn't
revealed the allegedly violated code to IBM or companies it's
threatening to sue for using Linux. "They, at SCO, have no idea how
they violated the agreement?" asked a SearchEnterpriseLinux.com
reader, with tongue in cheek. "No problem, they can just pay up the
way they expect everyone else to. Cheers!"

Do you, like the reader above, see other layers of irony in this
situation? Tell me what you think. Do you agree with analysts who say
that BayStar's move is an indication that SCO's case is to weak to
win? Let me know about that, too. And, while you're at it, what is
your prediction of the next twist in this twisted plot? Write to me
at mailto:editor@searchenterpriselinux.com?subject=3DBayStar.=20

Just to sweeten the plot, er, pot, I'll send the first five people to
respond to all three of the questions above a free copy of the new
McGraw Hill book, "Red Hat Linux -- Pocket Administrator" by Richard
Petersen and Ibrahim Haddad.

And I promise not the ask you to return the book after I've given it
to you.

=46OR MORE INFORMATION:

>> BayStar wants to cash out of SCO deal
http://searchenterpriselinux.techtarget.com/
originalContent/0,289142,sid39_gci960176,00.html?track=3DNL-306&ad=3D481376

>> BayStar calls for changes at SCO
http://searchenterpriselinux.techtarget.com/
originalContent/0,289142,sid39_gci961006,00.html?track=3DNL-306&ad=3D481376

=2D-=20
"The only secure Microsoft software is what's still
shrink-wrapped in their warehouse..." (Forno)