Psystar Corporation
| Industry | |
|---|---|
| Defunct | Template:End date and age |
| Fate | Dissolved |
| Headquarters | , USA |
Psystar Corporation was a company based in Miami and owned by Rudy and Robert Pedraza, recognized for marketing "Open Computers." According to one account, Psystar, operated by HyperMegaNet in Wolfsburg, Germany, shipped products to 23 countries including the United Kingdom using DHL.
Psystar introduced its computers in April 2008 as the first commercially available "hackintosh" computers, featuring Mac OS X Leopard pre-installed. In November 2009, a U.S. Federal District Court determined that Psystar infringed on Apple's copyrights. The litigation process led to the public disclosure of some of Apple's "trade secrets" in January 2012.
Open computers
Originally marketed under the name "OpenMac" and later rebranded as "Open Computers," Psystar's devices supported several operating systems but were mainly sold with Mac OS X installed from a legally purchased Apple copy. Psystar created a master disk image of Mac OS X on a Mac Mini using disk imaging techniques combined with their own bootloader and kernel extensions. This master image was then replicated onto the Open Computer units. The Mac Mini also served to download and adapt Mac OS X updates for these machines.
Rebel EFI
In October 2009, Psystar released Rebel EFI, a shareware EFI boot disk designed to facilitate Mac OS X installation on PC hardware. This package included a modified bootloader alongside other utilities but was based on Apple's open-source Boot-132 program, thereby violating its licensing terms. It was also believed to be a customized version of Chameleon from the OSx86 Project.
Early concerns
Shortly after Psystar announced its Mac clone in April 2008, questions emerged regarding the company's authenticity. Multiple addresses were listed within days, and although credit card payments were accepted, their payment processor Powerpay terminated the account due to misrepresented product descriptions, inflated sales volume claims, and failure to verify addresses. Reports also indicated that Psystar's website contained malware.
Developers from the OSx86 Project stated that Psystar utilized their code without authorization and subsequently updated their license to prohibit commercial use. During Apple's discovery phase, it was revealed that Psystar sought $24 million in funding, projecting sales growth from 70,000 units in 2009 to 12 million by 2011 under aggressive expansion assumptions.
Nonetheless, financial evidence painted a different picture. Economist Dr. Matthew Lynde identified only 768 units sold with pre-installed Mac OS X. Psystar did not challenge this figure during the trial.
Legal issues
The Mac OS X end-user license agreement (EULA) prohibits installations on unauthorized third-party hardware, which Psystar's Mac clone breached. Psystar contested Apple's restriction by likening it to an automaker restricting where a vehicle can be driven and argued that no laws were being broken.
On July 3, 2008, Apple initiated legal action against Psystar in the Northern California District Court. Psystar countered with allegations of anti-competitive behavior and misuse of copyright but these claims were dismissed in November 2008.
Apple later added charges under the Digital Millennium Copyright Act (DMCA), accusing Psystar of bypassing Apple's copy-protection mechanisms to install Mac OS X on non-Apple devices. Psystar responded by asserting Apple had failed to properly register copyrights.
In February 2009, Psystar succeeded in obtaining permission to argue that Apple abused copyright law through its hardware restrictions. However, in April 2009, Apple accused Psystar of withholding financial records; Psystar attributed missing documents to losses during relocation but provided available data.
Psystar filed for Chapter 11 bankruptcy protection on May 26, 2009, continuing operations despite Apple's objections that bankruptcy was used as litigation delay tactic. The court lifted the stay on Apple's lawsuit in June 2009. By August, Psystar's bankruptcy filing was dismissed with conditions barring further filings for one year and allowing creditors to pursue lawsuits.
In August 2009, the court ordered Psystar to pay $5,000 towards Apple's legal expenses. Later that year, Psystar was denied access to Apple's profit margin information. On November 13, 2009, summary judgment favored Apple confirming copyright infringement and DMCA violations by Psystar; a remedies hearing followed in December.
On December 1, Psystar agreed to pay Apple $2.7 million for infringement damages with payment deferred pending appeals. On December 15, a permanent injunction prohibited Psystar from manufacturing or distributing technology designed to circumvent Apple's protections and mandated destruction of related equipment by year-end.
Psystar announced an intention to appeal in January 2010. By August 2010, the company’s website and online presence had been taken offline. The United States Supreme Court declined to hear Psystar’s appeal on May 14, 2012.
See also
References
- 2008 establishments in Florida
- 2012 disestablishments in Florida
- American companies established in 2008
- American companies disestablished in 2012
- Computer companies established in 2008
- Computer companies disestablished in 2012
- Defunct computer companies of the United States
- Defunct computer hardware companies
- Defunct computer systems companies
- Macintosh clones
- Companies of the United States by year of establishment