Mac Clone Maker Psystar Files for Bankruptcy

Renegade Mac clone maker Psystar has reportedly filed for bankruptcy, which will delay - but not sidestep - Apple's legal action against it.

Renegade Macintosh clone maker Psystar stirred up a hornet’s nest by offering unauthorized Macintosh clones in the form of low-cost computer systems with altered version of Mac OS X on them, has filed for Chapter 11 bankruptcy protection in the southern district of California. In its petition, Psystar cites the current economic conditions as the primary reason for seeking bankruptcy protection, rather than the company’s pending legal action with Apple.

Psystar burst on the market in 2008 with low-cost Mac clones; after a brief period of silence, Apple filed suit against the company, alleging copyright, trademark, and trade infringement. Psystar turned around and sued Apple under antitrust law, but the countersuit was dismissed. Apple then amended its complaint to include violations of the Digital Millennium Copyright Act (DMCA), and implied Psystar’s legal efforts against it may be funded by unknown individuals or corporations.

The story was first reported by The Mac Observer, which speculates the bankruptcy procedures may reveal the names of the alleged deep-pocket conspirators who Apple has implied were backing Psystar’s seemingly berzerker court battle. In its bankruptcy filing, Psystar lists principal Rodolfo Pedraza as a significant debtor, with the company owing him $120,000. Next up is the law firm of Carr & Farrell (who are handling the Apple case), with FedEx and the IRS also in the mix.