Old software in a new wrapper: Nutanix sues Tessel

Teacher

Professional
Messages
2,674
Reputation
9
Reaction score
659
Points
113
It seems that the theft of intellectual property did not go exactly according to plan.

The American company Nutanix, specializing in databases and cloud computing, recently filed a lawsuit against the startup Tessell, which provides DBaaS services. Founded by three former key Nutanix employees, the newly minted company is accused of creating products that blatantly copy the functionality and design of the Era database management product from Nutanix.

In court documents filed March 20 in federal court in Northern California, Nutanix said former employees used Era's tools, hardware, services, and even source code to develop their product.

They allegedly planned, developed, received initial funding, and demonstrated prototypes of a competing product using Nutanix computers while working for the company. One of the first prototypes of Tessell software even worked on Nutanix servers.

After the departure of Trinity and the launch of Tessell, Nutanix management became concerned about the similarity of the competing product to Era and conducted its own investigation, which allegedly uncovered the theft of intellectual property.

The lawsuit accuses the trio of violating the agreement to transfer all their developments to Nutanix, violating copyright and using registered patents without permission.

One of the three defendants, Bala Kuchibhotla, the former CEO of Nutanix Era, has previously dealt with claims from the US financial regulator about insider trading in Nutanix shares.

Meanwhile, Nutanix itself said it was shocked by the behavior of former employees and the damage caused to the company, emphasizing its commitment to fair competition and its intention to prove its charges in court.

This case clearly demonstrates the importance of protecting intellectual property and adhering to ethical standards in business. Attempts to make unfair use of other people's developments and steal trade secrets not only damage the affected company, but also undermine confidence in fair competition in the market.

To maintain a healthy business environment, it is necessary to strictly adhere to the principles of honesty, transparency and respect for the intellectual property rights of other market participants. This is the only way to ensure the long-term success and prosperity of any business in a highly competitive environment.
 
Top