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Microsoft Government The Courts News

Microsoft vs. Burst.com 410

rocketjam writes "Robert X. Cringley has an interesting story on one of Microsoft's many little-known legal cases. Burst.com is suing Microsoft, claiming MS negotiated in bad faith for over a year before stealing Burst's patented technology for increasing the efficiency of video and audio streaming. After Microsoft submitted all emails associated with the their dealings with Burst to the court, Burst's lawyers discovered a 35-week gap of missing mail during a critical portion of the negotiations. When the judge learned the Sun vs. Microsoft antitrust case had revealed that MS keeps backups of all emails on over 100,000 tapes stored offsite, he ordered them to come up with the missing messages."
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Microsoft vs. Burst.com

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  • Obvious... (Score:3, Funny)

    by Aliencow ( 653119 ) on Saturday August 30, 2003 @09:48PM (#6836090) Homepage Journal
    BURST POST!

  • by aheath ( 628369 ) * <adam@heath.comcast@net> on Saturday August 30, 2003 @09:50PM (#6836100)
    Cringley mentions that Burst's technology runs under Linux and Solaris. He alleges that one of Microsoft's motives might have been a paranoid desire to reduce closs-platform competetion. It will be very interesting to see if this allegation is proven in court.
    • by RealBeanDip ( 26604 ) on Saturday August 30, 2003 @10:38PM (#6836279)
      Anyone remember what happened to the OS/2 Version of SourceSafe when Microsoft bought that?

      I do.
    • by The_Laughing_God ( 253693 ) on Saturday August 30, 2003 @11:20PM (#6836410)
      This will almost certainly not be proven in court. It is an assertion Cringeley made (or suggested). Cringeley is not suing Microsoft, and has no legal standing to do so - he's a bystander reporting it, not a participant. As far as the Burst case, goes, it's irrelevant why MS did it, the issue is *if* they did it, and if so, did they do it knowingly?

      Though, technically, the mere fact of infringement may be enough, under many laws and precedents, "deliberate infringement" can be very important - as a practical matter, it certainly factors into the monetary judgment. I was once party to a potentially important (as a national legal precedent) verdict against a major organization, which caused the offender to draw up untterly revamped corporate practices... until the award phase (which came 4-5 months after the verdict). The court granted a mere $1 in damages. The written decision was clear that the big company was wrong beyond all doubt, but the judge felt it wasn't intentional or within the reasonable control of such a large outfit (a view he wouldn't have held for long, if he could have seen the tone of the policy revision documents generated after his verdict) The plaintiff promptly dropped all its plans to correct the practices the court had found "wrong". Apparently they felt the judge's decision gave them a few years of "yeah, we were wrong, but a court has found that it's not really our fault" leeway before some later case forced them to make changes they didn't want to make - and who knows what might change in the meantime?

      Incidentally, this is a fundamental process in all 'History'. "History" is a matter of interpretation and extrapolation. We rarely have a smoking gun that tells us why a leader or governemnt does what it does. Almost always, we only know (a consensus view of) what happened, and can only guess "why".

      Did negotiations fall through because Party A was intimidated or unimpressed by Party B's penis at the urinal during a break? Did Party A walk out of a party with a girl Party B had wildly fancied, but never got to the introduction stage with? Did Party A have an accent, or manner of speaking, that subconsciously reminded Party B of a much loathed stepfather or cousin? That kind of thing generally doesn't end up in memoirs or reports.
    • That way, they could have had the technology for themselves, and also prevented the competition from having it, without the legal mess that they are in now.

      (Well, they could still have been sued for anticompetitive behaviour, but not for outright theft...)

    • ... unless they buy it, that is. I wonder why Microsoft didn't simply buy out Burst when it had shrunk to a two man outfit and things looked bleak indeed. Simply destroying Burst makes no sense for Microsoft, they should have seen to it, that the technology remains proprietary, and to that end they should have either bought Burst (and their patents) or strengthened it (so Burst can maintain a strong position in the Solaris- and (more important) Linux-Market. If there's noone defending Bursts patents, we'd h
  • I don't believe it (Score:4, Insightful)

    by Ro'que ( 153060 ) on Saturday August 30, 2003 @09:51PM (#6836101)
    Wow...Microsoft undertaking anti-competitive behavior and holding evidence from a court of law? I don't believe it.

    Err...wait...that's the only thing they seem to be doing lately, aside from helping the feds bust 18 year olds for writing worms.
    • by Anonymous Coward
      "Wow...Microsoft undertaking anti-competitive behavior and holding evidence from a court of law? I don't believe it."

      You forgot the bodies offshore, wearing the concrete shoes. There's a reason Microsoft's in Seattle.
    • by Anonymous Coward
      Err...wait...that's the only thing they seem to be doing lately, aside from helping the feds bust 18 year olds for writing worms.

      Hey! Didn't he just RE-write the worm? Credit where credit is due... fixing bad code won't make him l33t will it?
    • by randyest ( 589159 ) on Saturday August 30, 2003 @10:34PM (#6836265) Homepage
      No doubt MS is capable of this, but I'm perplexed: assuming at least a few of the missing emails were between MS employees and burst.com employees, wouldn't the burst.com folks still have a copy?

      Sure, MS employees probably wouldn't cc: burst.com on the most damaging emails, but just having the burst.com side of the threads during the period in question would no doubt provide the ammo needed to annihilate any claim by MS that the emails sent in the 35-week mystery gap were "uninteresting."
      • by Sebby ( 238625 )
        That's probably the card they're holding; right now they just want to see if MS can come up with the missing messages; if it doesn't, they can use the fact that they won't provide the requested evidence plus whatever they've already got against them.

        Mostly setting up the stage for a powerplay for the jury

      • by burgburgburg ( 574866 ) <splisken06&email,com> on Saturday August 30, 2003 @11:48PM (#6836506)
        The whole point is that the emails in question were internal MS communications discussing

        a) how impressed they were with the technology
        b) how helpful the NDA documents were from Burst
        c) how easy it would be to integrate the technology into MS products as soon as Burst was dead
        d) how stringing them along and not signing a deal would lead to the necessary death.

      • by evilviper ( 135110 ) on Sunday August 31, 2003 @01:30AM (#6836796) Journal
        How much NDA material do you typically e-mail over the internet?
        • by randyest ( 589159 ) on Sunday August 31, 2003 @02:40AM (#6836915) Homepage
          Me personally? A lot. Like 3-4 emails per day are covered by NDA, and the lawyers make us put those silly little sigs that do nothing. Oh, and we use Thawte certificates to encrypt and sign every one of them (well, even the non-NDA ones usually, out of habit).

          In the ASIC design industry, I'd say this is pretty common. All discussions between vendor and customer are under NDA, sometimes even before any discussions at all happen there are multiple NDAs in place. And lots of the business (even exchange of IP in source code attachments) takes place by email.

          Other industries? I'm not sure.
      • by Vaughn Anderson ( 581869 ) on Sunday August 31, 2003 @01:47AM (#6836833)
        ...wouldn't the burst.com folks still have a copy?

        Actually if they did (which I will guess they do) this is a great strategy. Basically if they can get Microsoft to-

        1. Be paranoid about which emails to show, and which not to. (ie filter out the old emails that are bad)

        2. Leave out important emails. (and therefore show intential deceit)

        3. Edit some of the worse/damaging emails (and therefore prove fraud instantly)

        Then they are in a good position no matter what... _especially_ if they have copies of all these emails.

        One of my clients refuses to work with Microsoft at all, he said there's no way he's going to get burned by spending all the time and effort on debugging and bringing a project to fruition only to get burned my MS, he's seen too many companies go down trying to work with MS.

        So, if Burst was smart knowing this, or even suspecting the possibility they may have had enough forthought (sp?) to make a paper trail of sorts... then if they did prepare properly for this eventuality, then IMO they are playing their cards well...

    • by macshune ( 628296 ) on Sunday August 31, 2003 @03:29AM (#6837026) Journal
      "Yes, we should steal the Burst technology and then.. .
      .
      .
      .
      .
      .
      .
      .
      but that would be wrong!"
  • Lordy Be (Score:4, Funny)

    by Anonymous Coward on Saturday August 30, 2003 @09:51PM (#6836103)

    A lawsuit against Microsoft. Geeze, I hope the company I work for issues a decree to install no more Microsoft products until this is worked out in court.

    Oh, sorry, thats just for the SCO crap.
  • Amazing (Score:5, Interesting)

    by WwWonka ( 545303 ) on Saturday August 30, 2003 @09:53PM (#6836107)
    That totally boggles the mind that companies/individuals still think that they can play the "electronic ignorance" game with the court and legal computer experts. It seems as if the time of being able to pull the wool over the courts eyes due to the lack of knowledge of technology is slowing coming to an end.

    What's even more amazing, in this case, is that it is Microsoft playing "oops, backups? whats that?"
    • Re:Amazing (Score:5, Funny)

      by werdna ( 39029 ) on Saturday August 30, 2003 @10:11PM (#6836179) Journal
      What's even more amazing, in this case, is that it is Microsoft playing "oops, backups? whats that?"

      Gosh, I don't know. Given their decidedly naive understanding of security and accessibility, I wouldn't hold them in such high esteem on backup policy.
  • hitech (Score:5, Funny)

    by hey ( 83763 ) on Saturday August 30, 2003 @09:53PM (#6836108) Journal
    The lawyers printed out all the message (140 boxes) then sorted them by hand it seems to find the missing dates. Maybe they should have used a computer.
    • Re:hitech (Score:2, Funny)

      by Anonymous Coward
      Odds are, first they printed them to TIFF, then they printed the TIFFs to paper, then someone else scanned all the paper in and OCRed it, and then they sorted it by hand. Situation Normal in the legal industry.
      • Re:hitech (Score:3, Informative)

        by terrymr ( 316118 )
        In reality MS probably provided the emails in TIFF format ... I work for lawyers and we get a lot of discovery that way.
    • Re:hitech (Score:5, Funny)

      by Waffle Iron ( 339739 ) on Saturday August 30, 2003 @10:19PM (#6836205)
      If I were billing $250 per hour to sort papers, I wouldn't use a computer either. In fact, I would put on a pair of oven mitts. (We wouldn't want to get a paper cut, after all.)
      • Re:hitech (Score:5, Insightful)

        by pantherace ( 165052 ) on Saturday August 30, 2003 @10:25PM (#6836226)
        Maybe, unless, you, like their lawyers, were on contingency...
        • Re:hitech (Score:4, Funny)

          by rainwalker ( 174354 ) on Saturday August 30, 2003 @10:34PM (#6836264)
          I think his point still holds...if Burst.com wins the case, won't Microsoft become liable for the hundreds of hours Burst.com's legal team spent sorting printouts of emails with oven mitts?
          • Re:hitech (Score:4, Insightful)

            by rgmoore ( 133276 ) * <glandauer@charter.net> on Saturday August 30, 2003 @11:39PM (#6836467) Homepage

            Generally not. Most of the time a contingency case is run on a strict percentage basis. If the plaintiff wins, the lawyer gets to keep something like 1/4 to 1/3 of the total proceeds. That's an awfully large amount in some cases, but on the other hand they get nothing if they lose, and next to nothing if they fail to get a big judgment or settlement. Lawyers working on contingency have every motivation to keep their costs down as much as they can without risking losing the case. Effectively, every extra dollar they spend comes out of their own pocket, win or lose, and every extra lawyer they bring on board is one more way that the money will have to be split. You could argue that this makes contingency a good thing, because it means that the lawyers' and clients' interests are perfectly aligned.

    • Clippy. (Score:5, Funny)

      by zCyl ( 14362 ) on Saturday August 30, 2003 @10:26PM (#6836230)
      Maybe they should have used a computer.

      Clippy: "It looks like you're trying to sue us, would you like me to delete all of your files?"
  • by Anonymous Coward on Saturday August 30, 2003 @09:54PM (#6836111)
    ...is that they happen again and again. It's cheaper for MS to just pay small companies "small" settlements of $20-50 million.

    That's chump change to MS but lots of money to most smaller companies -- so MS just buys it's way out of these lawsuits until the cows come home.

    Unfortunately, something like this isn't enough to really nail MS and make them change permanently. I almost yawn when I hear about it right now -- it's somewhat depressing that a strategy like this can work, but it makes great numbers sense.

    Due to my own involvement in these kinds of things I'm posting anonymously, which sucks...
    • by Doomdark ( 136619 ) on Saturday August 30, 2003 @10:16PM (#6836190) Homepage Journal
      Well, I don't think it's very beneficial for Microsoft in the long run to do this; to get nailed and pay. If they keep on doing that, they'll just make it so much easier for next small company to win their retirement money. I mean, just like common criminals, companies do get reputation, and after couple of settlements (or worse, convictions), what happens is:
      1. It becomes more tempting for smaller companies to sue (based on track record of MS losing or settling similar cases)
      2. Judges will find it easier to trust the evidence based on the fact Microsoft has done similar contract infringements (etc) previously
      I don't believe they really get out totally squeaky clean; although in theory settlement with "no acknowledgement of wrongdoing" is what it says, in practice it gives impression of just saving your face from actually losing the case. It may not be admissible as any kind of evidence (ie. in court one can not directly use dismissed cases to support a case), but don't think for a moment they have no impact indirectly.

      On the other hand, most all corporations nowadays seem to concentrate on short term prospects, so perhaps I'm wrong in assuming companies would think along above lines. Perhaps Microsoft thinks short term benefits of unfair play and potential later settlement make sense.

      • Comment removed (Score:4, Insightful)

        by account_deleted ( 4530225 ) on Saturday August 30, 2003 @10:24PM (#6836222)
        Comment removed based on user account deletion
      • by EelBait ( 529173 ) on Saturday August 30, 2003 @10:32PM (#6836250)

        The sad thing is Microsoft already has a bad reputation and nobody cares. If IT mgmt was half as jittery over Microsoft as they are about the SCO/Linux thing after each lawsuit, there would be an industry-wide, massive nuke and pave movement to rid itself of everything MS.

        So, yes, Microsoft has a reputation and a conviction record, but they are a "known", so mgmt. doesn't worry about it.

    • by Guppy06 ( 410832 ) on Saturday August 30, 2003 @10:20PM (#6836208)
      " ...is that they happen again and again. It's cheaper for MS to just pay small companies "small" settlements of $20-50 million."

      Except that Microsoft's legal history follows them (note the way they referenced a prior Microsoft legal battle to show that Microsoft really hadn't lost their e-mail), which will only make it easier and easier to successfully get concessions from Microsoft.

      And this doesn't even consider the bad reputation they're making for themselves among the federal judges presiding over these cases. With tactics like this, while the settlements may be small, what happens when fines from being found in contempt of court start to rack up?
    • by Col. Klink (retired) ( 11632 ) on Saturday August 30, 2003 @10:50PM (#6836317)
      > It's cheaper for MS to just pay small companies "small" settlements of $20-50 million.

      Remind me again how many fines MS had to pay for the whole anti-trust case (and please don't count software since the marginal cost $0 *and* it strengthens their monopoly).
  • by 17028 ( 122384 ) on Saturday August 30, 2003 @09:55PM (#6836112)
    Now taking bets on Microsoft's off site back up location mysteriously having lost/erased those tapes.
    • by FrankoBoy ( 677614 ) <frankoboy@@@gmail...com> on Saturday August 30, 2003 @09:57PM (#6836118) Homepage Journal
      I'd call that one the Billgate.
      *rimshot*
    • I agree, it is very "Nixonesque." In the immortal words of Arlo Guthrie (about Nixon): " Imaging a world where there weren't VCR's and tape players in every home. he was truly a man ahead of his time! He recored everything that was going on in the white house. And that was all fine and good, until one day... THEY STARTED PLAYING BACK THE TAPES! But it wasn't any thing on those tapes that got the man in trouble, so much as it was what had been erased from the tapes."

      now, picture Bill Gates, standing on
      • by IM6100 ( 692796 )
        It's also pretty close to the little trick with email backups that the Clinton White House pulled. We don't have to reach back 30 years, though it's fashionable now to forget Clinton's little email thing.

        Maybe 30 years from now they'll be recalling it.

      • Nixon tapes gap = 18.5 minutes
        MS Emails gap = 35 weeks

        That's a factor of almore 20,000.
        Looks like Moore's Law might apply here, too.

    • by kfg ( 145172 ) on Saturday August 30, 2003 @10:45PM (#6836299)
      Nonsense. Microsoft has hired former White House staffer and expert in records integrity Rose Mary Woods to look after their backups.

      Nothing can go wrong. . . go wrong. . . go wrong. . . go. . .

      KFG
  • As much (Score:2, Insightful)

    by jeffkjo1 ( 663413 )
    As much as Microsoft is likely wrong in this situation.... it shows more of the woes of software patents. It's too late for us in the US, but for those of you in Europe.... write your... uhhh, Europie Congressperson....

    If software patents were legal at the turn of the century, Ford would be the only car company in the world.
    • Re:As much (Score:4, Informative)

      by Ex-MislTech ( 557759 ) on Saturday August 30, 2003 @10:12PM (#6836180)
      Some of Nikola Telsa's patents were prior to 1900,
      the patent office has been around ALOT longer than
      you think .

      http://techweb.ceat.okstate.edu/ias/firstpatent. ht m

      Also as to your statement concerning ford and cars,
      a 15% change in form or function of a patented device
      is grounds for a new patent .

      Intellectual Property gets more into the abstract
      thought ownership, and is the current source of alot
      of discontent .

      Peace,
      Ex-MislTech

      >As much as Microsoft is likely wrong in this situation.... it shows >more of the woes of software patents. It's too late for us in the >US, but for those of you in Europe.... write your... uhhh, Europie >Congressperson....

      >If software patents were legal at the turn of the century, Ford >would be the only car company in the world.
    • Patents since 1450s (Score:5, Informative)

      by Wyatt Earp ( 1029 ) on Saturday August 30, 2003 @10:16PM (#6836191)
      http://www.m-cam.com/~watsonj/usptohistory.html

      The modern concept of the patent was established in England where, in 1449, King Henry VI awarded a patent to John of Utynam for stained glass manufacturing.

      "Beginning in 1552, a series of "letters patents" was issued by the Crown. The monarchy began a trend of issuing patents for its own benefit and for the benefit of officers and friends of the Court.4 Patents were issued on entire industries, not just inventions. For example, the Stationers enjoyed complete control over the publishing industry in England. The balance of power soon shifted towards those whom the monarchy decided to favor. Reform began with reign of Queen Elizabeth I. Francis Bacon commented that the Queen would grant patents for any invention that she deemed useful to the country. In an effort to curb further abuses of power, Parliament, in 1624, passed the English Statute of Monopolies, which outlawed all royally sanctioned monopolies. Realizing the importance of protecting inventors and the economic benefits associated with encouraging innovation, an exception was allowed for patents of "new manufactures." These patents were awarded to the inventor as long as their new devices did not hurt trade or result in price increases. Additionally, a statutory limit of fourteen years was imposed on English patents."
      • by marko123 ( 131635 ) on Saturday August 30, 2003 @11:20PM (#6836407) Homepage
        "Filippo Brunelleschi, the architect of Florence's remarkable
        cathedral, won the world's first patent for a technical
        invention in 1421. Brunelleschi was a classic man of the
        Renaissance: tough-minded, multi-talented and thoroughly
        self-confident. He claimed he had invented a new means of
        conveying goods up the Arno River (he was intentionally vague
        on details), which he refused to develop unless the state kept
        others from copying his design. Florence complied, and
        Brunelleschi walked away with the right to exclude all new
        means of transport on the Arno for three years.

        That Florence acceded to Brunelleschi's demands is hardly
        surprising. The Italian Renaissance city-states, locked in a
        struggle for wealth and power, habitually gave monopolies to
        those who would build a needed bridge or mill, or who introduced
        some useful craft or industry. They would issue "letter patents"
        public declarations that openly (patently) announced the
        privilege. What distinguished Brunelleschi's bargain was
        invention - he was awarded the exclusive use of his own creation.

        (more on Brunelleschi can be found in "Brunelleschi's Patent", Journal of
        the Patent Office Society 28 (1946), page 109.

        (credit to Greg Aharonian, who used to run a patent industry newsletter mailing list)

        DISCLAIMER: I work at a Patent Attorneys firm, but IANAPA.
  • money v ethics (Score:2, Insightful)

    by ianmalcm ( 591345 )
    So the question is, will future companies still decide to deal and partner with MS, or will this case impact their business alignment reputation more than any other? MS will still dangle a ton of money in front of any company, at which point will those littler guys convienently forget the behemoth's negotiation techniques?
  • unsurprising... (Score:2, Redundant)

    by pliny3 ( 550829 )
    somehow, some AG has to start treating microsofts behavior as a criminal matter. holding managers and executives personally responsible is the only way their culture will change.
  • rrm**bullshit**mm (Score:5, Interesting)

    by DogIsMyCoprocessor ( 642655 ) <{dogismycoprocessor} {at} {yahoo.com}> on Saturday August 30, 2003 @10:00PM (#6836129) Homepage
    The reason for this mass erasure, it was explained, is that Burst technology was unimpressive and not of interest to Microsoft, and the e-mails were simply not worth keeping. The probability that they all deleted their emails for the exact same period is of approximately the same order as the probability that there actually is Linux code stolen from SCO.
  • by Timesprout ( 579035 ) on Saturday August 30, 2003 @10:01PM (#6836130)
    Seattle Firefighters will tomorrow be engaged in a struggle to supress a fire after a large explosion at a data center used by Microsoft to store their offsite backups. I cant understand it the Fire Chief will state, the building seems to have flooded with acid and the 2 tons of explosives which were being stored there for some reason exploded, very unusual.

    A spokesman for Microsoft will say "its unfortunate" without a hint of irony.

  • Surprised?? (Score:4, Interesting)

    by HiThere ( 15173 ) * <charleshixsn.earthlink@net> on Saturday August 30, 2003 @10:02PM (#6836136)
    This is just business as usual for MS. They have a long history of such activity. When it gets to court sometimes they lose, but frequently enough they are able to bankrupt the complaining company before "the wheels of justice" get around to turning. Frequently enough that they still consider it good practice even after losing a few cases. (The punishments were trivial, so why stop?)

    • Re:Surprised?? (Score:3, Interesting)

      by rainwalker ( 174354 )
      From the article,

      "[Burst] found lawyers willing to take the case on contingency in exchange for a healthy chunk of any damage award. The lawyers are assuming all the financial risk, but they also have a chance to earn a payday worth hundreds of millions of dollars..."

      You are exactly right, usually the company with the most money wins, as legal fees are hugely expensive. This seems to be kind of a special case; with only two employees, I bet they don't really need any net income to keep the company afloa
  • History (Score:2, Insightful)

    by no1here ( 467578 )
    It's funny that Microsoft does not learn from history. But how do you change 20+ years of anticompetitive methods and shady business practices? This wouldn't happen if Microsoft had been split up. Hopefully all that is just and humaine will prevail.
  • Penalties? (Score:5, Interesting)

    by Fnkmaster ( 89084 ) on Saturday August 30, 2003 @10:03PM (#6836142)
    Am I the only one who thinks there should be real penalties for this kind of behavior? I mean, I understand you are supposed to try to win a case and everything, but failing to produce evidence on demand from a court should be punished, especially when the culprit has a history of presenting false and misleading information in court, and encouraging its legal agents to lie under oath. Why the fuck is it that we don't hold Big Faceless Corporations to the same standards of culpability as we hold individuals? If a small business pulled this shit in court, you'd get it up the wazoo, but when Microsoft does it, it's like the judicial system has no memory from one incident to the next.
    • " Am I the only one who thinks there should be real penalties for this kind of behavior?"

      It all depends on who you own.
    • by rusty0101 ( 565565 ) on Saturday August 30, 2003 @10:28PM (#6836242) Homepage Journal
      [sarcasm] You mean something like putting the legal representitives for Microsoft or the head of the company in jail for contempt of court until the judge's orders are carried out? Why would any judge order something like that? It's not like the people failing to follow those orders are accused of witholding their source of information for a story, or their encryption keys.

      I mean all that Microsoft is accused of doing is committing software piracy. Stealing another companies pattented technology and embedding it within one of their own products.

      Surely this doesn't rise to the level of a felony or anything do you think?

      [/sarcasm]
      -Rusty
    • Re:Penalties? (Score:5, Insightful)

      by krammit ( 540755 ) on Saturday August 30, 2003 @10:29PM (#6836243) Homepage
      Agreed in full. The biggest problem with the US is that corporations are given the same rights and treated as regular citizens without having the burdens or responsibility of that designation placed on them. When a company executice pockets millions of dollars by artificially inflating stock prices and then selling it off before leaving the company, we call it a golden parachute. But if an individual did something like that, it would be appropriately called robbery. If, during the course of a trial, a normal person hides evidence or lies under oath, they are held in contempt and thrown in jail. If a company does so, it's strategic. Bullshit.

      Truth is, until this country recognizes that we can not treate corporate entities as if they were private citizens, you will continue to see this kind of hypocrisy.
    • There are sanctions which a judge can impose for failing to produce documents... also as the article says he can tell the jury that MS failed to produce documents which may have helped the other party's case.
    • by vnv ( 650942 ) on Saturday August 30, 2003 @10:49PM (#6836312)
      Microsoft is acting the same way every business in the USA acts. Small businesses are certainly not held to any greater standard. Having been to court a number of times for small business bankruptcy proceedings, it is very common for a small business to lose hundreds of thousands of dollars in bad loans, employee theft, and via other very suspicious actions or incidents. And then of course, because of a break-in, plumbing leak, or other calamity, it is quite normal for the business to have ZERO records of what happened to the money.

      Even listening to the most amazing stories about what happened to huge amounts of moeny, the Federal bankruptcy agent doesn't even look up. He's heard it all before so many times, it's the same old shit. Everybody lies.

      I don't suppose you read about any Enron executives going to jail recently, did you? Of course not. What Enron did is no different than what every big corporation does. Some are just better than others and if you steal too much at the wrong time, the house of cards can fall down. Executives don't go to jail for stealing. Can you imagine a trial of executives by their peers -- other executives? "Well, Kenny, you should have used my guys to set up your fake accounts. You wouldn't have been found out for another couple years and you could have paid Ashcroft his cut and moved the rest of the money to a good bank in Grand Cayman by then."

      Maybe these standards of culpability that you are referring to only exist in your head? There is certainly not much evidence in the real world of anything that resembles "business morality". Almost every business in the USA is crooked. With a giant overbearing government that has a bloodthirst for taking your money and then returning less than 4 cents on each tax dollar, would a rational being expect anything else? If it's okay for the government to lie, cheat, and steal, why should a small business, big business, investor, or anyone else do different?

      If you unplug from the morality that is taught to worker units so they are obedient and efficient, you'll be in for a major wake-up call. Your job is to work and pay your taxes, that is all. And good workers are moral workers. Keeps costs down and profits up. All around you, the country is being looted. The workers are going to wake up one day and realize they are fucked because they've been robbed blind while they've had their faces glued to their television sets, absorbing the latest disinformation from the media and the government.

  • by loony ( 37622 ) on Saturday August 30, 2003 @10:07PM (#6836160)
    Subject says it all... I was under the impression that Microsoft was forced to keep all emails they sent or received... That was part of an old settlement M$ had with the US government...
    *scratchs head* maybe I'm getting senile...
  • 35 WEEKS? (Score:5, Insightful)

    by ellem ( 147712 ) * <ellem52@gmai l . c om> on Saturday August 30, 2003 @10:08PM (#6836165) Homepage Journal
    OK 35 minutes, who'd even know?

    35 hours, What? Frigging Veritas... Damnit Bill get them on the phone!

    35 Days, OH THAT IS IT! I want the back up guy fired... jeez fellas we're really sorry

    35 WEEKS? Yes your honor we were trying to pull one over on you....
  • by levram2 ( 701042 ) on Saturday August 30, 2003 @10:09PM (#6836171)
    I forget, is it odd days or even days that software patents are worse than Microsoft on Slashdot?
  • I like it! (Score:5, Interesting)

    by rixstep ( 611236 ) on Saturday August 30, 2003 @10:10PM (#6836176) Homepage
    If you check the related links at that article, you will find another interesting theory by Cringley, who cites any number of cases where MS has ripped off companies, pretending to be interested in buying their technology, but only flirting long enough to steal it. I normally don't like Cringley, but this time he seems spot on.
    • Re:I like it! (Score:3, Interesting)

      It does seem to be a pattern that MS has had. I seem to remember a case where a peripherals company was suing MS for $1 billion [google.com] because they had negotiated with MS for about a year for a new mouse design. MS turned down their offers and somehow released a product that looked almost identical to theirs. I don't know what happened to the suit. Maybe MS settled to keep it quiet.
  • by b17bmbr ( 608864 )
    is the way micrisoft behaves, and yet people and especially businesses continue to basically sell themselves to the bishop of redmond. okay, i can see people, walking into best buy, comp usa, even go to dell.com and by a "pc". many just don't think about an OS. however, i cannot fathom how businesses will continue to so slovenly follow and buy into whatever microsoft puts out. if any other supplier or partner acted even remotely similarly, then nobody would do business with them. i don't get it. i und
  • by Sophrosyne ( 630428 ) on Saturday August 30, 2003 @10:19PM (#6836203) Homepage
    When the judge learned the Sun vs. Microsoft antitrust case had revealed that MS keeps backups of all emails on over 100,000 tapes stored offsite, he ordered them to come up with the missing messages."

    Coincidentally a large shipment of magnets were just shipped to the address of a S. Ballmer...
  • If microsoft at some point was requested by the DOJ to keep track of all their emails, why would anyone in microsoft communicate sensitive information via email ?

    If they havnt done in the past, such communication today probably happens via something like their corporate instant messenger.

    • Re:Why Emails? (Score:4, Interesting)

      by rusty0101 ( 565565 ) on Saturday August 30, 2003 @10:39PM (#6836281) Homepage Journal
      Would you be suggesting that the back end for MSN IM does not keep a journal of all messages within the corporate environment?

      Especially when they are attempting to sell just that service to companies in the financial industry who are required by law to keep track of just such information so that they can show that they either have, or have not been communicating insider trading information within the company, or to clients outside of the company?

      Somehow with their legal history they would understand that they are just as culpable for this information as their customers may be.

      Additionally all that it would take to blow their cover is for one disgruntled former employee to come forward and show that the reason he was fired was because too much of what the company found in his IM history had nothing to do with work (except that he was hitting on a woman who works at the company, and that the evidence of such was from the server, and not his or her PC.

      Then again I could be wrong.

      -Rusty
  • "Hard Drive" (Score:4, Informative)

    by falsification ( 644190 ) on Saturday August 30, 2003 @10:27PM (#6836237) Journal
    A good book that alleges that Microsoft does many of the same practices that are alleged by Cringley is "Hard Drive." (at Amazon) [amazon.com].
  • Not worth keeping? (Score:5, Interesting)

    by FearUncertaintyDoubt ( 578295 ) on Saturday August 30, 2003 @10:28PM (#6836240)
    So microsoft says that they deleted e-mails because the technology was unimpressive and the e-mails not worth keeping? I think that it would be hard for that to hold water when there probably is thousands of e-mails from the same 35-week time period that are far more mundane and much less worth keeping:

    It's Anne Grabowski's birthday! Ice cream cake in Bldg 4-R break room!

    Last chance to sign up for this year's Secret Santa/Hidden Hannukah Harry! RSVP with Roger McGillicuddy before December 12th.

    Just wanted everyone to know that Bill and Valerie Trammel had a beautiful 8lb, 7oz baby girl at 8:30 last night at Cyprus Creek Memorial Hospital. So let's all welcome little Hortence into the world! Yay!

    And so on...

    "Yes, your honor, we felt that those e-mails were important enough not to erase from Microsoft's permanent record, but the ones relating to the negotiations for which we were under a legally-binding non-disclosure agreement were just, so, pointless, you know?"

  • Notation correction (Score:3, Informative)

    by edp ( 171151 ) on Saturday August 30, 2003 @10:44PM (#6836297) Homepage
    "Burst.com is suing Microsoft..."

    That would be Burst.com vs. Microsoft, not, as used in Slashdot's article title, Microsoft vs. Burst.com.

  • by ozric99 ( 162412 ) on Saturday August 30, 2003 @10:50PM (#6836318) Journal
    Without meaning to write some paranoid flamebait here, what's to stop Microsoft, or any other company told to produce electronic evidence, simply handing over false information.

    In this case, they've pruned 37 weeks of related emails from their employees' computers and their mail servers, so what's to stop them doctoring the emails recovered from backups?
    I guess there would be a possible problem if an employee had printouts or had forwarded certain emails to another address for whatever reason. Then again, what motivation would that employee have for exposing the cover up?

    I don't know how things work in the USA corp envioronment, but would something along the lines of monthly backups duplicated, sealed, and dated, only to be opened in the event of litigation, help in these cases at all? This would both protect the legitimate accuser and the wrongly accused... or perhaps it's not that big a deal, and tampering isn't a logistically attractive proposition.

    Now where's my tin-foil hat.

  • by jamesmrankinjr ( 536093 ) on Saturday August 30, 2003 @10:51PM (#6836322) Homepage

    Let's see, $1B or so to AOL for damages to Netscape. About .5B for another recent patent suit. There was a CA consumer class action they tried to settle by "donating" software to schools.

    They seem to be on a real losing streak, legally. What am I missing? What's the total for legal damages in court cases to date?

    But with $50B in the bank, losing law suits seems just a minor cost of doing business.

    Best,
    -jimbo

  • Burst and SCO (Score:4, Insightful)

    by istewart ( 463887 ) on Saturday August 30, 2003 @10:55PM (#6836341)
    Just wondering... the article says that Burst now only employs two people. I don't know how functional the company still is (their website is up at least), but I would think that like SCO, their primary goal is pursuing this lawsuit. The obvious difference is that Burst seems to have a legitimate claim. After they (hopefully) win the MS case, I would hope that the two people working at Burst would continue to develop their business and their technology, rather than just sitting back on a fat cash settlement or award.
    • Re:Burst and SCO (Score:3, Interesting)

      by gwernol ( 167574 )
      Just wondering... the article says that Burst now only employs two people. I don't know how functional the company still is (their website is up at least), but I would think that like SCO, their primary goal is pursuing this lawsuit. The obvious difference is that Burst seems to have a legitimate claim. After they (hopefully) win the MS case, I would hope that the two people working at Burst would continue to develop their business and their technology, rather than just sitting back on a fat cash settlemen
  • by penguin7of9 ( 697383 ) on Saturday August 30, 2003 @11:11PM (#6836382)
    even when they are asserted against an unpleasant character like Microsoft. Here is burst.com's own description of their technology (from here [burst.com]):

    The Faster-Than-Real-Time(TM) process delivers video in large advance bursts, saving it in a configurable local buffer, isolating the viewing experience from network noise and freeing up bandwidth to serve more users. burst.com has a comprehensive intellectual property portfolio including 9 U.S. patents and 34 international patents covering bursting, video delivery scheduling, rapid casting, multi-casting, video-on-demand, a range of set-top box applications, as well as many others.


  • by thegoldenear ( 323630 ) on Saturday August 30, 2003 @11:12PM (#6836391) Homepage
    "So the judge ordered Microsoft to produce the missing messages. The employee PCs, the servers, and the off-site backup tapes have to be searched and soon. The Microsoft lawyers complained that would be like finding a needle in a haystack. The judge reminded them that it was they who had put that needle in the hay."
  • by Mr_Cheeky ( 549775 ) on Saturday August 30, 2003 @11:42PM (#6836482) Homepage
    It all makes perfect sense if you consider some Ferengi Rules of Acquisition. Consider the following: #3: Never spend more for an acquisition than you have to. #16: A deal is a deal ...until a better one comes along. #52: Never ask when you can take. #60. Keep your lies consistent. #181: Not even dishonesty can tarnish the shine of profit. #189: Let others keep their reputation. You keep their money. #242: More is good...all is better.
  • Doesn't suprise me. (Score:5, Interesting)

    by Brett Johnson ( 649584 ) on Sunday August 31, 2003 @12:36AM (#6836650)
    At a company I worked for 8 years ago, Microsoft "evaluated" our product for more than a year, then filed a patent application for the fundamental technology behind it. We didn't even have to sue them. We just demonstrated to the patent office that:

    1) Microsoft was trying to patent technology that we had been shipping for 3 years.

    2) Microsoft had "evaluated" our product for a year before filing for a patent.

    3) We had implemented the technologies straight out of textbooks, giving concrete evidence of prior art. (That's one reason we were not foolish enough to try to patent it ourselves.)

    The patent application was rejected. The most interesting note about the incident was that it all happened within 2 months - amazingly fast.
  • by mattr ( 78516 ) <<mattr> <at> <telebody.com>> on Sunday August 31, 2003 @12:52AM (#6836704) Homepage Journal
    While Microsoft could arguably win the prize for leading judges by the nose, the practice of stealing secrets from smaller companies and dumping them is not unique to Microsoft. It is practiced by all giant predatory companies. How do you think they got so big? They lie, cheat, and steal.

    The wild thing here is that Bill Gates thinks people will never wise up.

    These corporate horrors are propped up by all the money they make, and people imagine that only a giant company like that can do big business. You need a big oil company to do oil exploration, and so on. But you don't *really* need a big company to make good software, a medium size one would do it. You only need a really big software company to dominate.

    Cynically, I personally believe that Microsoft uses the size of its firm, and its cash flow to dominate the software world economically, while the U.S. government uses Microsoft's ability to dominate this area for the purposes of spying. Just for argument's sake, how much of the intelligence used by the War on Terrorism, the War on Drugs, or any other policy is actually derived from intentionally engineered holes and spyware associated with Microsoft products? Seems a word processor, a spreadsheet, and an email program ought to be a good place to put a keylogger..

    To me this is the only possible reason Microsoft could still exist. I mean, their lawyers are only human. There is nothing occult going on here. It is just a superpower that has developed a nasty addiction to software solutions from the same company that makes consumer operating systems.

    Call me paranoid, but then again I expected the wars in the middle east for the past ten years, and expected them to be backed by just as flimsy reasons as they are now. Of course I didn't expect the horrors of 911, so I thought the U.S. president would be in more trouble. However Tony Blair seems to be on the receiving end a bit these days.

    Anyway, unless someone has a better answer, I go for Occam's Razor. It is impossible that Microsoft can get out of such repeated hideous offenses.. the only public anger of the U.S. government at Microsoft was when a recent version of windows was shipped with all of its ports wide open. Perhaps they took their pledge for INsecurity too far? Anyway, the next simplest answer beyond Bill getting supernatural help in the courts is that he's already got a few much bigger deals with the government and feels protected. Of course it doesn't hurt to have a pile of money too.

  • by dimator ( 71399 ) on Sunday August 31, 2003 @01:53AM (#6836841) Homepage Journal
    So the judge ordered Microsoft to produce the missing messages. The employee PCs, the servers, and the off-site backup tapes have to be searched and soon. The Microsoft lawyers complained that would be like finding a needle in a haystack. The judge reminded them that it was they who had put that needle in the hay.

    Classic!

Understanding is always the understanding of a smaller problem in relation to a bigger problem. -- P.D. Ouspensky

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