SarbOx may be unconstitutional

This is a really interesting article about why SarbOx may be unconstitutional.

The Fund thus has a very strong case that the provisions of
Sarbanes-Oxley creating the PCAOB are unconstitutional. Because
Congress in its rush to adopt SOX failed to include a clear
severability provision, moreover, the Fund may well be able to persuade
a reviewing court that the entire Sarbanes-Oxley law must be thrown out.

On a related note, I’m with Scalia on this

“The Constitution is not a living organism, it is a legal document. It says something and doesn’t say other things.”

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SAP and Open Source

The more I think about what I wrote yesterday, the more I think it’s not only a reasonable strategy but a strategy I’d be embracing if I was “over there”.

I don’t subscribe to this view put forward at the OSBC yesterday at all:

But his core message was that the vast majority of open source software
is too immature and won’t have a chance to prove itself, meaning it
won’t be a good, strategic choice for enterprises.

He’s right about consolidation, but it’s kind of hard to argue that consolidation favors maturity when in fact we’re not doing the consolidating. Maturity requires consolidation but it does so for linear progression rather than the hockey stick companies experience when they effectively disrupt markets.

I think we are being too dogmatic in continuing to assert that the primary IP a software company develops is it’s code. We have done a fantastic job in recruiting developers and ISV’s to NetWeaver, but we’re never going to come close to what JBoss has in terms of numbers or enthusiasm. I just wish we would stop sounding defensive about open source, or even just continuing to deny that there is a real movement here and customers are getting value from it, it makes us look bad.

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Why VC’s Don’t Sign NDAs

Brad continues his quest to bring transparency to the VC process.

The following question appeared in my inbox the other day.  “As you mention in this blog VCs never sign NDAs. Maybe you can also tell me why actually not? If I follow your blog does it mean that in most cases they simply want to check the startup out?”

I have another answer to that question:

Q: Why don’t VC’s sign NDAs?
A: Because they don’t have to. The entrepreneur’s desire to get funding is simply a greater desire than certain confidentiality. No pitch = no cash.

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Dawntreader invests in Sipphone

I had breakfast with Ed today and he told me about the Sipphone investment they just closed. I’ll admit that I haven’t followed the company closely, but based on what Ed told me they are doing it sounds like they have some very cool stuff cooking.

Dawntreader Ventures has just led a $6mm round of financing in Sipphone,
its first outside round of capital.  We look forward to working with
Michael Robertson and Jason Droege to fuel continued growth in the
Sipphone and Gizmo Project service and to roll out new features and functionality.  As you can see from Michael Robertson’s blog,
the basic premise of the company is to provide SIP-based dial tone to
any software or hardware device.  For those of you who don’t know, SIP is a standard protocol for voice and video.

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