Feeds

Bigmouth McBride turned us off SCO, says investor

BayStar boss speaks

  • alert
  • submit to reddit

Reducing security risks from open source software

The CEO of Marin County investment firm BayStar Capital has given the first public reasons for wanting to withdraw his investment from The SCO Group.

"The public statements from Darl McBride, SCO's chief executive, were too frequent and too grand for BayStar's liking," we learn indirectly from the New York Times. BayStar invested $20m in The SCO Group, which is suing IBM and Novell and two major corporate Linux customers.

McBride has framed the headline-grabbing terms, stating that capitalism itself is under threat from the GPL. BayStar would have preferred SCO executives to take a lower profile, and concentrate on winning the case. It certainly doesn't imply that BayStar thinks SCO is a lost cause. An equally valuable quote from a BayStar spokesperson to CNET confirms that BayStar thinks that SCO's IP is its strongest card.

"We believe it is diverting resources from going where they would have the most value - the intellectual property process," says Baystar's Bob McGrath.

But the markets don't seem to agree. SCO shares have lost almost a third of their value since the news emerged last week. This is the first time in its six-year history that BayStar has ever asked for its money back. ®

Related stories

Investor dumps SCO
SCO case doesn't slow Linux take-up
Judge stays Red Hat vs SCO
SCO vs. IBM vs. SCO: Is the end in sight?
Microsoft encouraged anti-Linux investment shock!
BOFH: Protecting our backs from litigious attack

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
Microsoft: We're making ONE TRUE WINDOWS to rule us all
Enterprise, Windows still power firm's shaky money-maker
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.