Yesterday, Judge William Alsup, United States District Judge for the Northern District of California, dealt Psystar a crushing blow in its ongoing litigation with Apple over whether or not Psystar could market and sell non-Apple computers running modified copies of Apple's operating system. If you're not familiar with the circus case, I refer you to, well...grab a coffee and click here. The two companies, embroiled in litigation since early last year, recently completed pre-trial discovery and each filed cross motions for summary judgment.

Judge Alsup put the ultimate hurt on Psystar when it granted Apple's motion for summary judgment and denied Psystar's motion for the same. In a sweeping order (courtesy Groklaw), the court agreed with Apple's take on the case and dismissed all of Psystar's defenses, both on the merits and for having waived and failed to properly plead.

The end result was a dramatic and startling court order in an ongoing series of dramatic legal squabbles between the two companies. And at least one of Psystar's attorneys saw this coming. The litigation doesn't end here; various issues still remain for trial such as breach of contract and trademark infringement, but Psystar has been gutted. The court is clearly unsympathetic to Psystar's core position and while damages on the copyright issues falling in Apple's favor in the order have not been ruled upon, it would probably behoove Psystar to start looking under the couch cushions for spare change.

A hearing is scheduled for December 14 on the remaining issues and for damages.

Read on for a more detailed analysis of the court's order....

Apple and Psystar have been embroiled in litigation for quite a while now. At the core of the dispute: Psystar modifies Apple's operating system software so that it can run on its clone machines. It then sells its computers with Mac OS installed to, well, anybody who wants one. As you can imagine, this does not make Apple happy.

Anybody familiar with The Great Clone Crackdown of 1997 will tell you that Apple likes to keep a very tight grip on any device that presumes to run its software. Apple points out that Windows machines are a mishmash of often conflicting hardware and suffer from quirks and errors and incompatibilities that such a set up can bring.

So Apple's cadre of lawyers descended quickly on Psystar. In July of last year, the company sued Psystar for copyright and software licensing violations, quickly amending its lawsuit to additionally charge Psystar with violations of the Digital Millennium Copyright Act (DMCA).

And there was much lawyering.

More than a year later, now that discovery has been completed, the two parties have each filed for summary judgment, which, in effect, asks the judge to rule in favor of the filing party because enough evidence has been shown that either makes or breaks the lawsuit.

Psystar's argument, and the one covered in its motion, somewhat relies on the "first sale doctrine" which says that any purchaser of a copyrighted product can then take that lawfully-made copy and sell it, so long as no additional copies can be made. For its part, Apple says that when one "purchases" its OS, you are only purchasing a license to use the product. Its Software Licensing Agreement (SLA) quite clearly states [PDF link to Snow Leopard SLA] that the user cannot modify the software to run on a non-Apple system.

The idea that what you are purchasing is a license to use the product is pretty commonplace among software manufacturers, because, the argument runs, you can cut any software company's profits off at the knees if every purchaser became an owner with free rein to redistribute the software. Apple states that no software company in its right mind would put the money into research and development of any software product at all if that were the end result of bringing its product to market. Groklaw suggests this could have ramifications for FOSS and and the GPL.

The infamous Mac-clone maker Psystar is apparently set to emerge from Chapter 11 bankruptcy, and it seems that they are planning on getting right back into their previous routine with a new hardware offering to boot.

In an e-mail newsletter that went out to subscribers today, the company states that the Chapter 11 protection was "critical" to their daily operations, and that they are now ready to "emerge and again battle Goliath." More information is expected to be available "in the coming days" when they are formally discharged by the Bankruptcy court.

Along with the announcement, the newsletter also introduces Psystar's newest hardware offering, the Open(7), which "brings together OS X and Intel Nehalem Xeon technology" in what they are calling their "fastest and most quiet computing configuration." In addition, they are stating that all new systems will feature a new bootloader, called the Darwin Universal Boot Loader (DUBL), and mentioned plans of an open source release in the near future.

The e-mail was wrapped up with a simple anecdote: When life gives you apples, make applesauce. So this begs the question, are they referring to the fruit, or the company?

Update: @JoeWilsonTV responded in the comments that Quo Computer is open (telephone number in his comment) and that they are taking orders in the store. The website is supposed to launch next Monday. Thanks Joe!

It seems like it was only last week that Mac clone maker, Psystar filed for Chapter 11 bankruptcy protection. Oh, that WAS last week. Surely, this would be the end of US companies trying to unauthorized Mac clones, right? Right?

Come on, this is America -- that would be too easy. In fact, it took just three days for the next would-be Mac clone retailer to appear.

As CNET reported over the weekend, Quo Computer plans to sell its Mac clone offerings both online and in a retail store in Los Angeles. The retail store was set to open yesterday, June 1, 2009, but I was unable to locate a phone number for the store (and LA's directory assistance didn't have a listing).

The website, though currently just a splash page, will apparently be ready sometime later this week. Apparently three models with OS X Leopard pre-installed will be offered, with pricing set to start below $900.

According to CNET, Quo's founder, Rashantha De Silva, expects that Apple will sue Quo, just as they sued Psystar. Well, at least he isn't completely delusional. More below...

Matthias Kremp, of German periodical Der Spiegel, has an interesting story about PearC, "Der PC mit Mac OS X." You don't need Google Translate to figure out what that means, though a mechanical translation of the story is available here.

PearC is offering three flavors of Mac clones in Germany, starting at €499. All of the options are built to order: The Starter edition can be equipped with anything from an Intel Pentium Dual Core E2200 to a Core 2 Duo E7300. The Professional version, though, starts at €1,499, and can be powered by a 3.2GHz Intel Core i7 Extreme processor for an extra €720 -- a processor that Apple does not offer. PearC also offers Blu-Ray optical drives as an option.

All come with the option to install Mac OS X. Kremp notes that PearC's parent company, Hypermeganet, says that since the End User License Agreement (EULA) is sealed inside retail copies of Mac OS X, there's no legal way to review the EULA. If you'll pardon the bad translation, "the restrictions that Apple [has] for its Mac OS X in the EULA [...] in Germany [has] no legal explanation," said Hypermeganet spokesman Dirk Blößl.

"Hypermeganet assumes, therefore, that the product (meaning the Mac clone) in Germany is legal," he says.

Similarly, Psystar, possibly bankrolled by a larger PC clone maker, is defending itself now against charges that it violated Apple's EULA by selling clones with Mac OS X. That dispute is ongoing.

Apple did not return Spiegel Online's request for comment. However, Kremp concluded by suggesting "one may probably assume" that Apple will pursue legal action against the clone maker.

Thanks, Hauke, Holger and Martin!

If you are in the market for a non-iPhone cellphone that has the features/look of an iPhone, then look no further than this iPhone clone. Unlike the Instinct, this cellphone could very well be the real iPhone killer. According to Electronista, the device could be running a hacked version of Windows Mobile, however, it mimics most of the iPhone's features, right down to the music player. Either way, it's still fun to watch, and to see how long Apple takes to sue them.

[via Electronista]

Just as quickly as Open Tech opened up, the Mac clone creator has decided to put itself up for sale. Of course, we're not sure who would buy a company that could be sued at anytime by the Mothership.

Open Tech has information about the sale on their website. For just $50,000 (payable via PayPal, oddly enough), you will receive the following:

• Open Tech name
• Open Tech website
• Trade secrets (as in secrets to ripping off Apple)
• Press contacts (are they selling the actual people?)
• 2 Open Tech machines with the OS of your choice

This information comes on the heels of Mac clone maker Psystar being sued by Apple for copyright infringement among other things. So, if you are looking to buy a company with built-in legal trouble, Open Tech looks like it could be a good scam deal.


[via MacNN]

Earlier this month, Psystar announced their intention to sell Leopard-ready, Core 2 Duo minitowers for $399US. The announcement drew a lot of attention, including that of Apple Legal.

Still, a few machines have arrived in the wild, and yesterday some lucky owner posted a very brief video of his Psystar hackintosh booting. That was interesting enough, but check this out. Our friends at Engadget have gotten their hands on one, and intend to put it through the ringer. Performance tests, software, hardware, you name it. Right now, they've got some great unboxing photos up.

As for testing, they're open for suggestions. Have you got a certain test in mind? Drop them a line and perhaps they'll try it out for you. Have at it!

Much has been written about whether or not Psystar's Mac clone, the Open Computer, actually exists, let alone if it's legal. A Gizmodo reader sent in some video of his Open Computer booting up and running Leopard. Software Update doesn't work, and the chances of Apple supporting this thing are less than zero.

I'm not against the idea of Mac clones (though I doubt Apple will ever officially sanction it) but if I were in the market for a Mac clone I would want one that was well built. As soon as the Open Computer is turned on the fan is running at full tilt, and it is far from whisper quiet. That's not exactly the mark of craftsmanship.

What say you, TUAW readers, is a super loud fan and boring case design outweighed by the savings and customization that a Mac clone offers up versus gear from Apple?

As noted by some of our tipsters last night and published today on Ars and MacRumors, a company called Psystar (site currently down, for legal or technical reasons, who can say?) is offering to sell you a $399 "OpenMac" Core 2 Duo minitower that is ready to run Leopard, and for $554 you can get it with a retail copy of Mac OS X preinstalled. With specs blowing well past the base Mini configuration and the expandability of a tower config, such a machine would be appealing to hobbyists and developers... exactly the sort of folks who would be likely to roll their own.

The concept of the Hackintosh, while appealing from a technical standpoint and certainly a draw for the budget-minded, always seems to fall down for me when it comes to software updates (you can't), compatibility (it's not), and support (there ain't none). If a central value proposition of Mac OS X and the Macintosh ecosystem is that the OS and the hardware are designed in parallel to work as seamlessly as possible and provide an optimized user experience, then what does a homebrew clone get you but bragging rights and a degree of aggravation? Sure, getting an Asus eee booted into Leopard is pretty cool -- but having owned a legitimate Mac clone back in the Power Computing days, I can vouch for the fact that there's no substitute for the real thing.

Thanks Roberto

John sent along this music video called 'I think we're a clone now' which was filmed during the heady times when Apple just announced their licensing program.

The PowerPC was the King of the Jungle, and it looked like Intel was on the ropes. Surely Mac clones would take over the market. We all know how that turned out, especially since I am typing this on a MacBook with a happy little Intel chip inside.

Some of this was filmed on Apple's campus, so I wonder if this was an official Apple production. If anyone has any more info about the video let us know in the comments.

This video is a little over 4 minutes long, so if you don't like it don't blame me for wasting your time (you don't have to watch the whole thing, silly!).

Intel Macs are so yesterday. I'm all about the "PowerPC G6 Macintosh," and it's only $499 to boot!

Engadget found a company (who might have already been threatened/litigated out of existence by the time you read this) by the name of Red PC who is selling a computer they call the "PowerPC G6 Macintosh." But wait - in addition to getting a supposedly next-gen PPC cloned Mac - there's more! Included in their Apple-defying price of $499 (along with this gorgeous case) is a hacked version of Mac OS X (it's reportedly a Pentium-based machine), Microsoft Office 2004 and - drumroll please - Photoshop CS2!

Nothing says "I'm feeling suicidal" like stepping on the toes of three of the largest players in the computer and software industries.