Friday, August 31, 2007

Oracle v. SAP

Not long ago, Oracle sued arch-rival SAP, accusing it of unlawfully downloading 10,000 (!) technical documents, software updates, and other files from Oracle servers, all in an attempt to better compete with Oracle. Read more.

SAP even admits to some of the allegations, and Oracle has also alleged that the downloading continued for a week after the lawsuit was filed. The parties filed documents two days ago that suggest that SAP desperately wants a settlement.

No surprise there. If the allegations are true, SAP's conduct is astonishing in its recklessness. I've represented Oracle customers, and can tell you that Oracle is extremely aggressive in protecting their IP. Theoretically, statutory damages in this case could amount to $1.5 billion. I predict Oracle will not make it easy for SAP to settle.