[Ecommerce] Novell - will use patent portfolio to protect open source products against third party challenges

[James Love]

http://www.suse.com/us/company/press/press_releases/archive04/patent.html

Novell Supports Innovation, Competition in Open Source with Patent Policy

  WALTHAM, Mass., 10/12/2004

*  Will use its existing patent portfolio to protect open source
products against potential third-party patent challenges
*  Urges other patent holders to take similar steps

  Novell today publicly commited to use its patent portfolio to protect
its open source software offerings. In a policy statement
(http://www.novell.com/company/policies/patent/), Novell said it would
utilize its patent portfolio to defend against potential intellectual
property attacks by others on its open source products. The statement
serves to reassure customers that they can choose open source solutions
with confidence, knowing they have strong backing from Novell on patent
issues.

  "Open source is a disruptive technology. As a collaborative
development model, it delivers economies of scale and a quality of
software that traditional software vendors are hard-pressed to match.
This is great for IT customers, because it means more innovation and
choice," said Jack Messman, chairman and CEO of Novell. "Because of its
disruptive nature, open source threatens entrenched interests, some of
whom are fighting back with vague accusations of intellectual property
risks in open source technologies. Novell today is taking an active
stand in defense of the software we offer =96 both proprietary and open
source =96=AD by stating our willingness to use our own patent portfolio to
help our customers. We urge other vendors with relevant patents to make
the same commitment."

  The rapid growth of open source software in recent years has
introduced welcome competition into the IT market, with Linux*, Apache*,
MySQL*, JBOSS* and other leading technologies offering new alternatives
to companies looking for better value and performance from their IT
systems. Customers benefit greatly from freedom of choice in making
decisions about technology. Novell's policy statement explains why
Novell customers can make those decisions based on technical merits,
security, quality of service, and value, not patent concerns.

  "The intellectual property risks associated with open source software
are really no different than those with proprietary software," said
Joseph A. LaSala, Jr., general counsel of Novell. "Novell is committed
to the protection of intellectual property in the emerging 'mixed
source' environment, where proprietary and open source solutions
co-exist. While patents play an important role in protecting
intellectual property, their use by some vendors to influence customer
choice is without precedent. We believe that customers should be free to
make purchasing decisions based on factors such as price, value,
security and service, not based on threats of intellectual property
litigation."

  "Our approach is to protect customer choice, not threaten it, and
support the innovation inherent in the open source model," Messman
added. "With this policy, we're saying we'll use our patents to actively
protect Novell's open source technologies against any third party
asserting its patents. We will use our patents for the original purpose
patents were established =96 to encourage innovation =96 not to shut down
options for customers. We hope our leadership in this arena will lead
other patent holders to take a similar stance."

  About Novell

  Novell, Inc. (Nasdaq: NOVL) is a leading provider of information
solutions that deliver secure identity management (Novell Nsure), Web
application development (Novell exteNd) and cross-platform networking
services (Novell Nterprise), all supported by strategic consulting and
professional services (Novell Ngage). Active in the open source
community with its Ximian and SUSE LINUX brands, Novell provides a full
  range of Linux products and services for the enterprise, from the
desktop to the server. Novell's vision of one Net -- a world  without
information boundaries -- helps customers realize the value of  their
information securely and economically. For more information, call
Novell's Customer Response Center at (888) 321-4CRC (4272) or visit
http://www.novell.com.


  Press Contact

  Martina Krahmer
  Media Relations
  SUSE LINUX
  E-mail: martina.krahmer@suse.com