HP Said Oracle Violated Contract and Claimed 4 Billion Dollars
August 10th 2015 Posted at Databases
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On Monday, HP’s lawyers said in court that Oracle decided to no longer develop a new version of database software for the HP Itanium server, which had violated a contract signed by both parties, so it claimed 4 billion U.S. dollars in compensation.
These two technology companies on Monday argued with each other on the issue of Oracle stopping supporting Itanium in the courtroom. Oracle’s lawyers said in court that the company never agreed to abandon the commercial flexibility in the contract mentioned in the HP.
HP hopes to claim $ 4 billion from Oracle through the litigation. The latter just lost the lawsuit of the smart phone patent with Google a few days ago. Oracle decided to stop the development of software for the Itanium last year, because Intel has made it clear that the chip has entered the end of the life cycle and t it will turn the focus to the x86 microprocessor.
Under the agreement signed by both parties, HP said unless the equipment using Itanium is outdated, or Oracle should continue to support this type of chip. HP said when Oracle hired Hp’s former CEO Mark Hurd, the two sides had reached a settlement, and reiterated this commitment.
In Monday’s court session, the HP’s lawyer Jeffrey Thomas said Hurd’s reconciliation has clearly imposed the terms of constraints on Oracle, asking them to continue to provide the “best products‘ for HP.
Thomas said Oracle’s President Safra Catz and HP’s business executive Ann Livermore were involved in the negotiation, so it is enough to show the importance of the contract. “If there is no now version, it is impossible to provide the best products,” he said.
However, Oracle attorney Dan Wall said that Hurd’s reconciliation agreement was only for the personnel employment lawsuit that HP hopes to launch against Oracle, not involving strategic business cooperation. Wall also specifically stressed that the Itanium is a declining product. “HP wants to force Oracle to support Itanium technology, but Oracle is not optimistic about this technology,” he said.
Whether HP and Oracle signed an agreement on the Itanium issue needs the United States Santa Clara Superior Court Judge James Kleinberg to make a decision. If Karen Berg judged that the contract existed, the jury later will consider whether Oracle has infringement and compensation issues.
Karen Berg once likened the lawsuit to a divorce proceeding: just like a marriage between the two technology giants has come to an end.
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