Microsoft suing Brazilian official

[Posted June 21, 2004 by corbet]

Microsoft has launched a defamation lawsuit against Sérgio Amadeu, the president of the Brazilian National Institute for Information Technology and a leader of Brazil's move toward free software. Mr. Amadeu's crime, it would seem, was a public statement comparing Microsoft's habit of giving software to governments to the tactics used by drug dealers. Information on the net is still scarce, but is out there: in Portuguese are this Carta Maior article, a brief media statement from Mr. Amadeu, and this article on the Software Livre site. In English you'll find a petition in support of Mr. Amadeu and two separate entries on Pablo Lorenzzoni's weblog showing other uses of the "drug dealer" comparison and giving a translation of the media statement. (Thanks to Jeroen Dekkers and Juan Carlos Castro Y Castro).

to post comments

Microsoft suing Brazilian official

Posted Jun 21, 2004 16:35 UTC (Mon) by ramosf (guest, #17058) [Link] (1 responses)

Once more, Microsoft is trying to use its $power and influence$ to intimidate
companies, and now even worse, countries!
As a brazilian, I cannot accept this kind of behaviour. Brazil is a poor
country, and the adoption of free software would boost **specially** the
education in public schools, as our students would be able to integrate
the digital community. Software costs is still a problem in establishing
labs in schools. I am talking about students that doesn't even know what a
computer is like. And they cannot be denied this opportunity just because
some company does not like it.
I am not even talking about the use of free software in government agencies...

Microsoft suing Brazilian official

Posted Jun 22, 2004 21:51 UTC (Tue) by jtc (guest, #6246) [Link]

I think there's a fair chance that, if this story is really true, that MS's foolish actions here will cause a backlash in Brazil and other places against MS causing them to lose business.

Microsoft suing Brazilian official

Posted Jun 21, 2004 16:42 UTC (Mon) by marcelotosatti (guest, #19851) [Link]

Microsoft is scared because the brazilian government is being serious
about using free software widely.

We are very proud of our government because of this.

More details at http://trends.newsforge.com/trends/04/06/20/1420245.shtml?tid=137&tid=147

Microsoft suing Brazilian official

Posted Jun 21, 2004 16:44 UTC (Mon) by alan (subscriber, #4018) [Link] (7 responses)

Although I'm sure they dislike the comparison of their legal business tactics to an illegal activity, if the shoe fits,..

Would this be protected free speech in the U.S.?

Microsoft suing Brazilian official

Posted Jun 21, 2004 16:57 UTC (Mon) by ls-lta (guest, #11615) [Link]

IANAL, but it would probably be protected unless they could show that the claim is false AND he knew it to be false.

Microsoft suing Brazilian official

Posted Jun 21, 2004 18:00 UTC (Mon) by hummassa (guest, #307) [Link]

Free Speech is a Constitutional right here, too. But we *do* have slander and libel here, also.

Truth is an absolute defense

Posted Jun 21, 2004 18:19 UTC (Mon) by rjamestaylor (guest, #339) [Link] (3 responses)

Truth is an absolute defense.

"The first hit is free" is truly like "the first license is free" since the expectation of both parties is that the free product will create a propensity to buy subsequent product from the friendly dealer. Also both products create a dependency for more product down the line and as the user becomes more dependent on the product the price can be easily adjusted to not only recoop the loss-leading "free" product but to swallow up an entire budget to the extent funds meant for other items will likely be raided to cover the continued acquisition of more product.

Insert "drugs" or "licenses" in place of "product" and the above remains true in both cases.

I like the defense's chances.

Truth is an absolute defense

Posted Jun 21, 2004 21:14 UTC (Mon) by mmarsh (subscriber, #17029) [Link] (2 responses)

On the other hand, the plaintiff is likely to make the argument that their free licenses are more akin to free samples at the grocery store. You try a little for free, and if you like it you pay for more. Now, I'm not saying this is a _valid_ argument, especially since free samples at the grocery store don't result in tooth lock-in (unless it's Tetanus Crunchies or something), but it might be enough to convince a jury.

Free samples or shoplifting?

Posted Jun 21, 2004 21:47 UTC (Mon) by Ross (guest, #4065) [Link]

Microsoft isn't giving away copies; they are looking the other way while
people are illegally duplicating their product. Of course that doesn't
mean it is more similar to drug dealing, just that "free samples" does not
convey an important aspect of the situation.

Truth is an absolute defense

Posted Jun 22, 2004 0:30 UTC (Tue) by melauer (guest, #2438) [Link]

> On the other hand, the plaintiff is likely to make the argument that their free
> licenses are more akin to free samples at the grocery store. You try a little for free,
> and if you like it you pay for more.

The problem with that argument is that, like free samples of drugs but unlike
free samples at the store, there is a lock-in quality to a free software giveaway.
Once you standardize on a particular set of software for your organization, it is
extra expensive to change to a different software base. You have to retrain
staff, deal with files in old proprietary formats, and all that.

When you get a free sample at the store, it doesn't cost you anything to say "No
I don't want to buy anything else, thank you". With drugs and software, once
you're locked in, there's an extra cost (pain and suffering -- personal in one
case, financial in the other :) for quitting.

Microsoft is now legal??

Posted Jun 21, 2004 19:38 UTC (Mon) by hazelsct (guest, #3659) [Link]

Legal business tactics? Isn't settlement of the antitrust suit equivalent to admitting violation of US law?

As to whether illegally squelching competition and thereby reducing public welfare by bundling of products, and illegally using market power to threaten OEMs with higher license fees if they promote competing OSes, and flagrantly lying about it all in court, is comparable to selling illegal addictive substances... It's arguable, and I too would bet on the defense here.

This is clearly a power/intimidation tactic, and looks likely to blow up in their faces. Thanks Microsoft!

Drug dealers vs. communists

Posted Jun 21, 2004 17:12 UTC (Mon) by abatters (✭ supporter ✭, #6932) [Link] (2 responses)

This reminds me of Microsoft's informal habit of comparing free software with communism.

Drug dealers vs. communists

Posted Jun 21, 2004 21:22 UTC (Mon) by tzafrir (subscriber, #11501) [Link] (1 responses)

and pirates, and cancer

Drug dealers vs. communists

Posted Jun 22, 2004 21:36 UTC (Tue) by piman (guest, #8957) [Link]

Communist cancerous pirates fighting drug dealers sounds like an awesome idea for a movie...

Microsoft suing Brazilian official

Posted Jun 21, 2004 18:18 UTC (Mon) by piman (guest, #8957) [Link] (4 responses)

"Although about three million computers get sold every year in China, people don't pay for the software. Someday they will, though. And as long as they're going to steal it, we want them to steal ours. They'll get sort of addicted, and then we'll somehow figure out how to collect sometime in the next decade."
- Bill Gates, Fortune Magazine, July 20th, 1998 (Courtesy of http://www.p2pnet.net/issue04/issues.html)

I'm not sure MS will have much ground for libel or slander, given what they've admitted.

Microsoft suing Brazilian official

Posted Jun 21, 2004 20:41 UTC (Mon) by utidjian (guest, #444) [Link] (1 responses)

If Bill Gates actually said that (don't have Fortune Magazine but I will check the library)... then I doubt very much that this case will go anywhere. In fact... since what BG said amounts to the same thing MS may be inline for a countersuit.

-DU-...etc...

It's on c|net too.

Posted Jun 21, 2004 21:12 UTC (Mon) by frazier (guest, #3060) [Link]

Here's the same quote from c|net:

As long as they are going to steal it, we want them to steal ours. They'll get sort of addicted, and then we'll somehow figure out how to collect sometime in the next decade.

Microsoft suing Brazilian official

Posted Jun 21, 2004 21:18 UTC (Mon) by jimbo (subscriber, #6689) [Link] (1 responses)

"Although about three million computers get sold every year in China, people don't pay for the software. Someday they will, though. And as long as they're going to steal it, we want them to steal ours. They'll get sort of addicted, and then we'll somehow figure out how to collect sometime in the next decade."
- Bill Gates, Fortune Magazine, July 20th, 1998 (Courtesy of http://www.p2pnet.net/issue04/issues.html)

Oops. Just when they were home and dry, some guy on the internet picks up something that moves Snr Amadeu's remarks towards the realms of fair comment. Life is so unfair to corporations of Microsoft's size...

BTW: Isn't the flight to the courtroom somewhat precipitate?

--
Jimbo

"sort of addicted"

Posted Jun 21, 2004 21:49 UTC (Mon) by Ross (guest, #4065) [Link]

Ok, to me, the "addicted" portion makes it clear that not only is the
comparison fair, Bill Gates had the same comparison in mind when making
that statement. If Microsoft is able to push this any further I would
be shocked.

Microsoft suing Brazilian official

Posted Jun 21, 2004 19:55 UTC (Mon) by dkite (guest, #4577) [Link]

Maybe a little heat is in order here. If you have a web page, put this
news up front.

Humiliation works very well in these instances. Everyone talking about
it, and asking MS will at least get them to make some comment.

http://digested.blogspot.com/2004/06/free-speech.html

has a link to Microsoft's feed back page.

http://www.microsoft.com/presspass/contactpr.asp is the pr contact
information.

It is in our interest to make them scared to try this again. Which they
will.

Derek

MS and Brazil Courts

Posted Jun 21, 2004 22:32 UTC (Mon) by ccyoung (guest, #16340) [Link]

my feeling is that MS thinks they own the Brazilian courts - the made an anti-trust suit hang around for six years and won (more than likely bankrupting the filer). is Brasil the only country not to have found MS guilty of anti-trust behavior?

MS will make this government official pay 100 times his annual salary defending himself, and win the case.

Linus should sue Microsoft

Posted Jun 22, 2004 13:44 UTC (Tue) by huffd (guest, #10382) [Link]

It was Microsoft officials that called Linux communist, cancer, etc..

The good news is, when Microsoft goes after individuals it is a beacon to the world how much Linux hurts them.

Microsoft suing Brazilian official

Posted Jun 22, 2004 14:08 UTC (Tue) by copsewood (subscriber, #199) [Link] (1 responses)

Here is a copy of my letter posted as feedback to Microsoft on:

http://register.microsoft.com/contactus30/feedback.asp

I recommend others protest to Microsoft directly on this one. Public notoriety will eventually cost any company valuable business.

====================================================
I am deeply offended by the attempt by your Brazilian subsidiary to stifle entirely reasonable and fair comment by a leading public official, Sergio Amadeu.

http://agenciacartamaior.uol.com.br/agencia.asp?id=1940&cd_editoria=004&coluna=reportagens

Considering that Bill Gates stated in Fortune Magazine, July 20th 1998:

This bullying tactic represents the kind of crass hypocrisy the general public in unfortunately increasingly associating with your companies reputation. The association of user addiction with the use and sale of closed-source proprietary software is hardly news - I have made this comparison myself to my students. This does not make your business model illegal, any more than it does that of proprietary drug companies who sell medicines with addictive side effects, assuming they do not falsify test results or attempt to suppress public discussion of these.

However, if a proprietary drug company were to attempt to bankrupt their critics with the kind of bullying we see here this would also push them onto the wrong side of the line as far as public opinion is concerned.

I expect and await your public apology, the withdrawal of this offensive lawsuit, and the sacking or demotion of the misguided manager responsible for this.

Microsoft suing Brazilian official

Posted Jun 22, 2004 17:05 UTC (Tue) by Ross (guest, #4065) [Link]

companies reputation -> company's reputation