Feeds

Microsoft bankrolls Novell to tune of $348m

Hey big spender!

Beginner's guide to SSL certificates

Microsoft is spending less than $500m on its ground-breaking deal with Novell to promote SuSE Linux and shut Red Hat out of Windows accounts.

Microsoft is to pay Novell $240m for 350,000 subscription coupons of SUSE Linux Enterprise Server (SLES, to be released in annual batches of 70,000, according to a Novell regulatory filing. Coupons can be redeemed from Novell for single- or multi-year subscriptions, upgrades and technical support. To refresh your memory, $240m is roughly a quarter's revenue for Novell.

Microsoft will spend another $94m on sales and marketing of Windows and Linux during the five-year lifetime of the companies' deal. Also, a patent co-operation agreement will see Microsoft make an up-front payment of $108m to Novell. In return Novell will pay Microsoft a minimum of $40m, based on a percentage of Novell's Open Platform Solutions and Open Enterprise Server revenues

Novell has been stung by criticism of the patent provisions of the deal and has published an FAQ to tackle "a flood" of questions. Reaction has ranged from uncertainty to accusations that Novell is selling out by effectively accepting the concept of closed-source patents in open source, and so giving Microsoft a legal toehold against other open source and Linux vendors.

Novell says that while Microsoft would not sue Novell customers Novell itself has received no such covenant or a patent license from Microsoft - a quid pro quo that means it doesn't flout the GPL (the GNU General Public License).

According to Novell, its relationship with Microsoft is not an admission that Novell's products contain any Microsoft patents; and Novell will not include Microsoft patents in future products. ®

Beginner's guide to SSL certificates

More from The Register

next story
Preview redux: Microsoft ships new Windows 10 build with 7,000 changes
Latest bleeding-edge bits borrow Action Center from Windows Phone
Google opens Inbox – email for people too thick to handle email
Print this article out and give it to someone tech-y if you get stuck
Microsoft promises Windows 10 will mean two-factor auth for all
Sneak peek at security features Redmond's baking into new OS
UNIX greybeards threaten Debian fork over systemd plan
'Veteran Unix Admins' fear desktop emphasis is betraying open source
Entity Framework goes 'code first' as Microsoft pulls visual design tool
Visual Studio database diagramming's out the window
Google+ goes TITSUP. But WHO knew? How long? Anyone ... Hello ...
Wobbly Gmail, Contacts, Calendar on the other hand ...
DEATH by PowerPoint: Microsoft warns of 0-day attack hidden in slides
Might put out patch in update, might chuck it out sooner
Ubuntu 14.10 tries pulling a Steve Ballmer on cloudy offerings
Oi, Windows, centOS and openSUSE – behave, we're all friends here
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.