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=== Background === [[File:Mount Timpanogos and Utah Valley, Utah (67181503).jpg|thumb|right|The Utah Valley was where Novell, Caldera, and the Canopy Group were all based, each of which would play a part in the story of The SCO Group, also based there]] {{main|Santa Cruz Operation|Caldera International}} The [[Santa Cruz Operation]] had been an American software company, founded in 1979 in [[Santa Cruz, California]], that found success during the 1980s and 1990s selling [[Unix]]-based operating system products for [[Intel x86]]-based server systems. SCO built a large community of [[value-added reseller]]s that eventually became 15,000 strong and many of its sales of its [[SCO OpenServer]] product to small and medium-sized businesses went through those resellers. In 1995, SCO bought the [[System V Release 4]] and [[UnixWare]] business from [[Novell]] (which had two years earlier acquired the [[AT&T]]-offshoot [[Unix System Laboratories]]) to improve its technology base. But beginning in the late 1990s, SCO faced increasingly severe competitive pressure, on one side from Microsoft's [[Windows NT]] and its successors and on the other side from the free and open source [[Linux]].<ref>{{Cite web |title=SCO UnixWare Operating System |url=https://www.bus.umich.edu/kresgepublic/journals/gartner/research/90000/90038/90038.html |access-date=2020-06-03 |publisher=University of Michigan |archive-date=May 1, 2017 |archive-url=https://web.archive.org/web/20170501153120/http://www.bus.umich.edu/KresgePublic/Journals/Gartner/research/90000/90038/90038.html |url-status=dead}}</ref> In 2001, the Santa Cruz Operation sold its rights to Unix and its SCO OpenServer and UnixWare products to [[Caldera International]]. Caldera, based in [[Orem, Utah]],<ref name="sublease">{{cite web |url=https://contracts.onecle.com/sco/south520.lease.2002.01.10.shtml |title=SCO Group Inc. Contracts: Office Sublease β¦ January 10, 2002 |publisher=Onecle |access-date=November 2, 2019}}</ref> was founded in 1994 by several former Novell employees who saw promise in Linux as a technology and failed to convince Novell management to move forward with it.<ref>{{cite news | url=https://www.zdnet.com/article/ransom-love-back-to-the-linux-future/ | title=Ransom Love: Back to the Linux future | author-first=Stephen | author-last=Shankland | publisher=ZDNet | date= November 21, 2003}}</ref> Caldera's early funding came from [[Ray Noorda]], the former CEO of Novell, and the [[Utah Valley]]-based [[Canopy Group]] investment fund that Noorda started for high-technology firms.<ref>{{cite news | url=https://www.newspapers.com/clip/76090532/ | title=Norda Founds Firm in Utah to Help Companies Market High-Tech Ideas | agency=Associated Press | newspaper=The Salt Lake Tribune | date=June 22, 1995 | page=B-4 | via=Newspapers.com}}</ref> The company had been in the business of selling its [[Caldera OpenLinux]] product but had never been profitable. It attempted to make a combined business out of Linux and Unix but failed to make headway and had suffered continuing financial difficulties. By June 2002, after it had moved to nearby [[Lindon, Utah|Lindon]],<ref name="sublease" /> its stock was facing a second delisting notice from NASDAQ and the company had less than four months' cash for operations.<ref name="Wired"/> As ''[[Wired (magazine)|Wired]]'' magazine later wrote, the company "faced a nearly hopeless situation".<ref name="Wired">{{cite news |url=https://www.wired.com/wired/archive/12.07/linux.html |title=The Linux Killer |magazine=[[Wired (magazine)|Wired]] |date=July 2004 |author-first=Brad |author-last=Stone}}</ref> On June 27, 2002, Caldera International had a change in management, with [[Darl McBride]], formerly an executive with [[Novell]], [[FranklinCovey]], and several start-ups, taking over as CEO from Caldera co-founder Ransom Love.<ref name="cw-darl">{{cite news |url=https://www.computerworld.com/article/2575775/caldera-ceo-steps-aside-to-focus-on-unitedlinux.html |title=Caldera CEO steps aside to focus on UnitedLinux |author-first=Todd R. |author-last=Weiss |magazine=Computerworld |date=June 27, 2002}}</ref><ref name="cnet-darl">{{cite news |url=https://www.cnet.com/news/struggling-linux-company-swaps-ceos/ |title=Struggling Linux company swaps CEOs |author-first=Stephen |author-last=Shankland |publisher=CNET | date=June 27, 2002}}</ref>
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