Apple Was Defied by Psystar for A Whole Year

Since one year ago, the Apple universe was turned upside down by a tiny company from Southern Florida, kicking off a real-world Clone War between Apple and Psystar. Today, the essential question regarding Psystar is unchanged: does the company have the right to sell computers with Apple's Mac OS X Leopard preinstalled, as it has been doing since April 14, 2008? Psystar set off shock waves through the Apple world that week, as an army of journalists, bloggers, fanboys, and detractors set off on a manic search for anything and everything related to the company and its desktops.
Psystar emerged a year ago as a small independent system builder, the likes of which can be found in any medium-size town in the U.S. What provoked the interest and ire of the Mac community was Psystar's decision to ship so-called "white box" systems with Mac OS preinstalled alongside systems with Windows Vista and Linux, in defiance of Apple's licensing policies for that operating system.
Whether or not Psystar sees another anniversary will depend in large part on legal wrangling in Northern California, far from Psystar's Doral, Fla., headquarters. The litigation between Apple and Psystar appears to be in a bit of a lull as the one-year anniversary passes, with lawyers immersed in the discovery phase of the trial following months of lawsuits and countersuits from both companies.
Apple's stance is pretty clear: the end-user licensing agreement that comes with Leopard forbids the user from installing that operating system on anything other than an Apple-labeled computer. Psystar, on the other hand, is attempting to argue that Apple is abusing its copyright on Mac OS X in requiring the operating system to run on Apple hardware after Psystar unsuccessfully tried to lodge an antitrust defense.Psystar will not release sales figures, but Pedraza said that sales have exceeded his expectations to date. Pedraza said the company is still planning to release a notebook, but hinted that it might be something more along the lines of a Netbook rather than a full-sized notebook.
Still, the Open Computer is otherwise an almost identical Mac experience to the MacBook Pro I use at home. When it comes to reliability and service, Psystar may not be able to compete with Apple, but for people who know their way around a computer, the Open Computer is a Mac.
And that could have huge ramifications for the software industry if Psystar is able to overturn Apple's end-user licensing agreement, which could usher in another Mac clone era just when the operating system's popularity is arguably at an all-time high. The first Mac clone era did not go well for Apple, and it's not hard to see similar problems occurring if the perception of Mac OS X as stable and reliable start to wane as it is forced to interact with hardware for which it was not designed. Already, Psystar imitators such as PearC are trying their hand at the market.
Based on some of the definitions provided here, I suppose Apple has a monopoly of the Mac market . . and Dell has a monopoly of the Dell market since no one but Dell can produce Dell computers, MS has a monopoly of the Windows market since no one but MS can produce Windows, and Ford has a monopoly of the Ford market since no one but Ford can build Ford automobiles.
Psystar's argument doesn't hold water because a "market" isn't defined by a single product/provider unless there really is a monopoly (like power utility companies, for example, which are heavily regulated). It's not the "Mac OS X" market, or the "Dell" market, or the "Windows" market, it's the personal computer market which includes many options/producers of hardware, operating systems and application software, just like the automotive market has many producers and models.

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