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Court rules not to dismiss Datel antitrust lawsuit against Microsoft
Datel's antitrust lawsuit against Microsoft will continue, now that a US District Court has rejected Microsoft's motion to dismiss the case. In all, five of Datel's six allegations against the Xbox 360 maker will be weighed. The court did dismiss Datel's claim that Microsoft would be blocking the company from competing in the console market, since Datel does not actually manufacture game consoles. (Find Datel's full announcement of the court's rejection posted after the break.) The antitrust case claims that by locking out Datel's Max Memory Card with a firmware update, Microsoft used its status as the platform holder to unlawfully prevent competition. In Microsoft's motion to dismiss, it claimed that language in the "Additional Terms and Conditions" clause in the Xbox 360 product warranty barred the use of unauthorized peripherals. The company back upped its case by citing Apple's successful defense of its right to limit use of OS X to its own hardware. The court rejected Microsoft's motion, however, finding the language in the "Additional Terms and Conditions" vague and too wide-reaching. For example, if Microsoft's interpretation of the terms was accepted, it could prevent the use of certain televisions with the console. Since Datel's suit was first filed, of course, Microsoft has enabled the use any USB drive as a memory unit for the Xbox 360, which means that even if Datel is able to continue to sell the device, there likely won't be much demand for it. Meanwhile, Microsoft recently filed its own suit against Datel over claims that one of Datel's controllers is too similar in design to the official Xbox 360 gamepad. Source – Order Granting in Part and Denying in Part Defendant's Motion to Dismiss [PDF]
Datel suing Microsoft over Max Memory card lockout
Datel announced that it has filed an antitrust lawsuit against Microsoft, in response to Microsoft's lockout (via Xbox 360 firmware update) of the company's Max Memory Cards. We doubt this is the "remedy" for the lockout issue to which the company previously referred, but it's certainly one way to address it. "Microsoft has taken steps to render inoperable the competing Datel memory card for no visible purpose other than to have that market entirely to themselves," Datel attorney Marty Glick explained in a press release. "They accomplished their recent update by making a system change that will not recognize or allow operation of a memory card with greater capacity than their own. We believe that with the power Microsoft enjoys in the market for Xbox accessories this conduct is unlawful." In the press release, Datel goes on to say that the lawsuit is intended to "restore competition" which, the company suggests, is beneficial to consumers. It's now up to a federal court in San Francisco to determine whether the Max Memory-crippling Xbox update constitutes unlawful anti-competitive behavior on the part of Microsoft. The last time Datel went to court, it viewed the experience from the other side. Sony filed suit against the peripheral maker over the "Lite Blue Tool," which would have enabled users to run unsigned code on PSP hardware.
Datel working on 'remedy' for its unauthorized Xbox 360 memory units
There was something of an outcry in the Xbox community when Microsoft announced that the upcoming Xbox 360 Dashboard Update would disable "unauthorized" memory units. Datel, a manufacturer of such devices, recently expressed its disappointment following the announcement. Fortunately, it looks like it takes more than that to keep a good company down, as Maxconsole.net reports that Datel intends to release a solution to the problem. In a letter to retailers, Datel stated it was "aware of the changes that are required to remedy this problem and will shortly release a solution in readiness for this potential update." Naturally, the company didn't elaborate on the necessary changes. Datel also didn't supply a precise release date for the updated memory units, saying only that they would be available "shortly." Still, it's good news for folks that want more memory for less-than-exorbitant prices. [Via Engadget]
Upcoming Xbox 360 update locking out 'unauthorized' Memory Units
Don't worry, folks -- Microsoft knows you really hate those subversive little devils making third-party Memory Units, what with their 2GB and 4GB offerings for the Xbox 360. In an effort to stamp out these Doris Dogooders from your Xbox Live Experience™, Microsoft's Major Nelson announced on his blog yesterday that "When Preview Program members start receiving the Xbox 360 system update next week, one of the changes is that unauthorized Memory Units will no longer work." In plain English, this means that any third-party Memory Unit you might have been using will be rendered useless. Mr. Hryb suggests moving any saves on said devices get moved to an authorized one, unless losing access to "stored profile or saves games" simply ain't no thang for you.
