News

Winternals Sues Best Buy for Unlicensed Software

A Texas software company sued Best Buy Co. Inc. in federal court on Tuesday, alleging that the nation's largest consumer electronics retailer was using unlicensed versions of its diagnostic equipment.

In response, a U.S. District Court granted Winternals Software LP's request for a temporary restraining order.

The lawsuit by Austin-based Winternals alleges employees of Best Buy's computer-repair subsidiary, Geek Squad Inc., have been using pirated versions of the software since talks on a commercial licensing agreement broke off.

The suit accuses Best Buy and its subsidiaries of copyright infringement, circumvention of copyright infringement systems and misappropriation of trade secrets.

Best Buy officials did not immediately return a call from The Associated Press seeking comment.

According to the lawsuit, Winternals and Minnesota-based Best Buy began negotiating an agreement to use a Microsoft Windows-based systems recovery and data protection software last fall. The lawsuit says Best Buy broke off negotiations in February, saying it was no longer interested in the commercial license.

Each software copy costs $1,200 and the two companies were negotiating a deal for bundled software worth several million dollars, said Winternals attorney David Weaver of Vinson & Elkins LP.

Winternals plans to seek an undetermined sum for damages, Weaver said.

A hearing has been set for May 12 in Austin.

Meanwhile, Best Buy has 20 days to provide all copies of the software, identify who used the software and where it was found, and explain how each copy was obtained or duplicated, according to the restraining order.

Featured

  • FTC Expands Microsoft Antitrust Investigation Under Trump Administration

    The Federal Trade Commission (FTC) is pressing ahead with a broad investigation into Microsoft's business practices, an inquiry that began in the final weeks of the Biden administration.

  • An image of planes flying around a globe

    2025 Microsoft Conference Calendar: For Partners, IT Pros and Developers

    Here's your guide to all the IT training sessions, partner meet-ups and annual Microsoft conferences you won't want to miss.

  • Microsoft to Shut Down Skype Services

    Microsoft will discontinue its Skype telecommunications and video calling services on May 5, 2025, marking the end of the platform's decades-long run.

  • Big Blue To Acquire Datastax in Enterprise AI Play

    In a bid to bolster its enterprise-aimed AI capabilities, IBM is planning to acquire Datastax, a leading AI and data solutions provider, for an undisclosed amount.