Feeds

Oracle tries to get $1.3bn verdict against SAP reinstated

$300m? TomorrowNow files were worth more, claims Ellison's firm

Top 10 endpoint backup mistakes

Appeal judges seemed divided on whether Oracle should get its $1.3bn jury verdict against SAP over TomorrowNow reinstated or the firm should be happy with the roughly $300m the verdict was reduced to.

Oracle was given the billion-dollar handout by a jury in 2010 over allegations that SAP’s subsidiary, TomorrowNow, had downloaded millions of Oracle files to help it provide software support to Oracle customers at a lower rate than the firm itself charged and convince them to swap over to SAP.

But US district judge Phyllis Hamilton later ruled that Oracle had only managed to prove damages of around $272m. The company is appealing to the 9th Circuit court to get its billion dollar award back.

At a court hearing yesterday, Oracle’s attorney Kathleen Sullivan said that internal SAP documents showed that the company had expected around $900m in new revenue from using TomorrowNow to steal Oracle customers, Reuters reported. She argued that the $1.3bn award was justified by that and other evidence.

But one of the three judges on the appeals court panel, Susan Graber, said the numbers couldn’t be taken as objective evidence of the value of the documents TomorrowNow pinched.

"It's hypothetical revenue information, which is not the same," she pointed out.

Judge William Fletcher, another member of the panel, said that the projected revenues could be nothing more than “pie in the sky dreaming”.

However, the judges were not convinced that Oracle deserved as little as $272m either. In her ruling, Judge Hamilton said that Oracle was only entitled to the profits it had lost because of the downloads and any profits SAP had gained.

But Graber said that the figure “seems low”, while Fletcher said it seemed “wrong” to him.

SAP has already admitted liability for the downloads, so the only issue the judges need to decide is how much it should have to pay. Oracle argues that SAP should cough up what it what it would have paid to Oracle if it had licensed the files and puts that figure in the billions.

But Hamilton said that the licence figure was purely hypothetical, based on “guesses” and “self-serving” testimony from the firm about a fictional negotiation that would never have taken place between the rivals.

SAP attorney Greg Lanier argued today that Hamilton was right because no court could award damages based on a hypothetical licence without any evidence of what a similar licence might be worth, Bloomberg reported.

SAP remains on the hook for at least $306m, as part of an agreement between the two firms, regardless of what the appeals court decides. ®

A new approach to endpoint data protection

More from The Register

next story
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Nintend-OH NO! Sorry, Mario – your profits are in another castle
Red-hatted mascot, red-colored logo, red-stained finance books
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
prev story

Whitepapers

7 Elements of Radically Simple OS Migration
Avoid the typical headaches of OS migration during your next project by learning about 7 elements of radically simple OS migration.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
A new approach to endpoint data protection
What is the best way to ensure comprehensive visibility, management, and control of information on both company-owned and employee-owned devices?