IBM to be sued for 'stealing code'

Illegal Business Model perhaps?

By Suzanna Kerridge, 12 March 2002 17:20

NEWS IBM is being sued by Compuware for allegedly stealing software code and using it to maintain a monopoly in the software and hardware markets. The suit, filed in the US District Court for the Eastern District of Michigan, charges IBM with misappropriating and using Compuware intellectual property in IBM mainframe products. Joseph Nathan, president of Compuware, described the issue as distressing and claimed legal action was necessary to protect the interest of the company, its customers and shareholders. In a statement, he said: "IBM has attempted to compete with independent software vendors (ISVs) by misappropriating Compuware's source code and even copying our user manual." The lawsuit is necessary to stop IBM's illegal practices and promote open competition in the ISV marketplace, added Nathan. IBM is also accused of withholding product information from ISVs. Compuware is claiming IBM illegally used portions of its copyrighted software products for its latest File Manger and Fault Analyzer products. In addition, it claims many of IBM's features and functions are substantially similar to those based on Compuware's source code. IBM Global Services also came under fire. Nathan claims IBM is tying software customers into services deal to the exclusion of Compuware and other ISVs. He said: "Our sole mission with the lawsuit is to ask the courts to require fair play in the marketplace so that mainframe customers are free to select the software tools that provide the best value and performance." IBM was unavailable to comment.

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