The regional court Munich ruled against Skype even though it is owned by a foreign company.

At the heart of the case was not Skype's software, but the VoIP telephone SMCWSKP 100 which is sold by Skype over its website.

According to Golem magazine, the phone was not sold with the appropriate Linux source texts even though it used the free operating system.

The ruling will not switch Skype off or even take the phone off the market. Skype did provide consumers with a supplement which referred to the GPL software and contained URL with the source texts. The court decided however that this was not enough under the GPL and ordered changes.

A Google translation of the German story can be found here. µ