HP files lawsuit against Oracle over contested server maintenance services
In a surprising turn of events, Hewlett-Packard (HP) has filed a lawsuit against Oracle, alleging that the tech giant's decision to discontinue software support for Intel's Itanium chips is anticompetitive and breaches an implied contract.
Oracle announced its intention to discontinue all software development for the Itanium processor in March 2011, a move that could potentially harm HP's Integrity servers. The lawsuit centers on Oracle's alleged use of market power in enterprise software to disadvantage HP's hardware business, raising concerns about potential anticompetitive behavior.
HP claims that around 140,000 customers currently use Oracle software on HP hardware. The company alleges that Oracle's motivation in discontinuing support for Itanium was to persuade customers to adopt its own server systems, a move that HP views as "strong-arm tactics."
The antitrust implications are significant. Oracle's refusal to continue porting its software to the Itanium platform could be seen as limiting competition by harming HP’s ability to compete in the high-end enterprise server market.
HP's concerns about Oracle finding out about Intel's plans to discontinue Itanium may have influenced HP's request for Oracle to guarantee long-term support for Itanium. However, Oracle views the lawsuit as an abuse of judicial process and suggests that support for Itanium was not guaranteed once HP hired former SAP CEO Léo Apotheker.
Intel, the manufacturer of Itanium chips, has remained silent on the matter, with Intel VP Kirk Skaugen asserting that the launch of the "Poulson" Itanium processor is still scheduled for 2012. Intel has also stated that work on Itanium processors would continue unabated, and that multiple chips are in development.
The lawsuit claims that Oracle is violating an "implied contract" by dropping support for Itanium. HP alleges that Oracle's decision not to support Itanium chips will affect its server business, potentially causing significant damage.
Oracle denies the claims made by HP, describing them as "utterly malicious and meritless." The case is currently making its way through the courts, with the potential for far-reaching implications for the tech industry.
[1] Source: Various news articles and court documents.
- The lawsuit filed by HP against Oracle could potentially impact the tech industry, notably enterprise software and business sectors that rely on HP's Integrity servers, as concerns about Oracle's anticompetitive behavior and potential breach of an implied contract continue to rise.
- HP's allegations against Oracle, including the use of market power and strong-arm tactics, indicate a broader issue in the tech and finance industries, where tech giants may attempt to disadvantage competing hardware businesses to boost their own server systems.
