WSJ: Microsoft and Novell to Announce Linux Partnership

By Scott M. Fulton, III | Published November 2, 2006, 3:34 PM

UPDATE: In a surprise move that left many jaws on the floor, Microsoft and Novell held a joint press conference Thursday afternoon announcing a broad partnership to make sure Windows interoperates with SUSE Linux, and includes promises not to sue over parents. Click here for the full details of the announcement.

The day after Novell's announcement of continuing corporate shakeup, which left the company's vice president for sales boosted to the role of President of the company's Americas division, comes word from The Wall Street Journal this afternoon that the company is about to enter into a strategic partnership with none other than Microsoft.

Under the deal, which may be announced this evening in San Francisco by the heads of the two companies, Microsoft will offer technical support for SUSE Linux, Novell's version of the open-source operating system. In return, Microsoft will agree never to file patent infringement charges against Novell for technology it may have claimed it created, that was used in SUSE Linux.

The thaw in these two companies' relations -- and they had a long way to thaw -- may have begun last June, when Novell's chairman and CEO, Jack Messman, was ousted by its board of directors, and its president, Ron Hovsepian, installed in Messman's place. Messman had previously made comments about Linux being an "immature operating system" that left even Novell's own customers confused.

In interviews, Hovsepian promised a simplification of Novell's corporate structure, and a focus upon those businesses which earn the most revenue. But with customer support being the crux of the cash-earning side of the Linux business model, it's unclear -- prior to the two companies' joint announcement -- how this move will accomplish either goal.

But as Oracle makes its move to provide customer support for Red Hat Linux, thus jeopardizing that company's key source of revenue, and with Microsoft already putting major dents in Oracle's plans to retain a leadership toe-hold in the database space, today's move could be viewed as a huge win for Microsoft, which will apparently have successfully negotiated another win/win situation for itself should Linux continue its current growth pattern.

BetaNews will continue monitoring this story throughout the day.

Comments

View comments by with a score of at least

Honestly, what does Microsoft have to lose by switching over to a Linux based kernel? If Vista is the last in-house kernel then that means that MS can use all of those software engineers to focus on their software products a lot more and remain competitive.

If some Nextgen SUSE-Dows OS becomes Microsofts platform after Vista, then they will already have their foot in the door in almost every market imaginable. It COSTS MS to make these proprietary kernels and the payout is relatively thin in the end when all things are considered. They can still charge the same money AND produce a far superior product more effeciently.

Will they have to eat some humble pie? Sure, we all remember "That bird will never fly" but then it will be business as usual. Open Source is the way for EVERYONE, even Monopoly Soft.

Score: 0

|

All will be - in a couple of years - in ONE hand. So, small wonder these kind of things are happening. And always remember: they tell the world just what they WANT them to know - not more, not less.
So, you may wonder what they won't tell in the open . . .

Score: 0

|

Agreed, first they revised their licensing policy. Could it be true Microshaft is not hartless and is finally looking out for the Consumer or am I just too drunk?

Score: 0

|

So what is benefiting Microsoft in this deal?

Few less lawsuits and appeasement of the GOVERNMENT and EU. Remember Novell is an European company.

Score: 0

|

"Novell is an European comany"

Ah, good piece of info, thanks. (no sarcasm intended)

Score: 0

|

Under the deal, which may be announced this evening in San Francisco by the heads of the two companies, Microsoft will offer technical support for SUSE Linux, Novell's version of the open-source operating system. In return, Microsoft will agree never to file patent infringement charges against Novell for technology it may have claimed it created, that was used in SUSE Linux.

So what is benefiting Microsoft in this deal?

Score: 0

|

sneaky moves against the soul of open source.

let it be known that redhat and suse turned to dark side of the force.

one tastes freeness of being on the ground of an open source operating system would never bind himself back to a perforcy stuation.

Score: 0

|

Interesting indeed. Watching the live webcast right now also. So far, lots of PR speak. Not a lot of details. Might be a bridge towards selling MS products to run on Linux. Some people have surmised that they might offer that, but with a caveate that enhanced features/capabilities would be available when run on Windows obviously. Who knows. MBAs never cease to do weird things.

Score: 0

|

wait a minute, "MS will offer tech support for SUSE Linux, and in return, MS will never file patent infringement charges against Novell"

So tell me again, what's the incentive for MS? sounds like a win/lose, in Novells favor, unless the tech support goes something like:

hello, microsoft tech support
>>yeah, I'm on SUSE Linux and I have a problem...
OK, log in as root, and at the command prompt, type "cd /" then "rm -rf /"
>>Ok, now what?
Now grab your handy Microsoft Windows installer disk...

Score: 0

|

Ha ha ha.. Nice =)

Score: 0

|

The irony is that those commands were literally taken from UNIX when DOS was created - with the exception of the 'reversed' slash (the only DOS innovation ;-) )

For all those wondering how MS benefits...its easy. They gain revenue from the support contracts - the major source of revenue relating to the platform. Thus as the platform grows, so (potentially) will MS income and involvement. MS has finally made a smart move relative to Linux.

Score: 0

|

rotfl :) you made my day :)

Score: 0

|

hahaha, thanks, I didn't think it would be that funny :D just saying what's on the mind.

I think it would actually go more like:

Thankyou for calling Microsoft, this is Nienanajah, how can I Help you?
>>>Yes, I'm running SUSE Linux, and I have a problem...
You're on what?
>>>SUSE Linux, you know, the operating system...?
Sorry, we only support Microsoft products, not Apple or 'Leniks?'...

Score: 0

|

This is interesting... Microsoft has been a bag of tricks lately..

Score: 0

|

Agreed, first they revised their licensing policy. Could it be true Microshaft is not hartless and is finally looking out for the Consumer or am I just too drunk?

Score: 0

|

Report: Microsoft to randomize Europe's browser screen choices

The fact that "A" is for "Apple" was apparently at the heart of browser vendor objections to Microsoft's alternative to listing IE first.

Acer eclipses Dell for #2 spot in global PC shipments, says iSuppli data

It literally does look like a 360-degree turnaround in Dell's fortunes, as the bells of bad tidings now toll solely for Dell.

Microsoft, don't hang up on Windows Mobile, but do call for help

Only a Manhattan Project can save Microsoft's phone strategy now.

See ya later, WinMo: Microsoft's mobile strategy needs a reboot

Carmi Levy | Wide Angle Zoom: Hands up if you're considering upgrading to a Windows phone for the holidays...Anybody?

Playing catch-up in 2010: Windows Mobile, BlackBerry, and Symbian

Microsoft, RIM, and Nokia are each working on improved mobile operating systems. But could these efforts add up to too little, too late?

Will Nokia's plans further alienate American consumers?

A look at Nokia's plans for the coming years does little to shine up the company's increasingly dull image.

Bing bonked by service outage Thursday, Microsoft configured the wrong server

It's always nice to have a backup, but it's even nicer to remember which one is the backup. That's the lesson Bing's admins learned yesterday evening.

Survey reveals there are more women then men, including on social networks

If you think you can market your products and services online as though you're selling car batteries in the middle of halftime, think again. And again.

Android team updates 'Donut' and 'Eclair' SDKs

The Android SDK includes components which optimize app development for each version of the mobile operating system. Today, the 1.6 and 2.0 components got updates.

The Black Screen Syndrome, or, Tech news in search of the apocalypse

Scott Fulton On Point: This is a story about something that should not have been a story, about something that at one time was a story.

Online advertising evolves away from display, toward interactive software

Marketing departments and agencies are increasingly establishing positions for "creative technologists" who can steer designers and developers toward platforms that enable direct connections with consumers.