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Is Cygwin legal under Windows XP?

The following excerpt is from Brian Livingston's 'Windows Manager'
column, 18Mar2002:

I'm wondering if, in addition to possibly forbidding the use of VNC,
this might also forbid installing Cygwin on WinXP and then using a
remote connection to the WinXP PC with Cygwin's telnetd, rlogind,
rshd, sshd or any X-Windows type of interface, unless you also have
a WinXP license for the computer at the other end of the connection.

I know this might be considered OT, but I thought it was worth
raising the issue.

>From the article:

Reader Frank Brown sent me a completely different concern about XP,
relating to VNC (Virtual Network Computing), a free remote-access
application I described last week (see "Your virtual network," InfoWorld,
March 11).

Microsoft's XP license agreement says, "Except as otherwise permitted
by the NetMeeting, Remote Assistance, and Remote Desktop features
described below, you may not use the Product to permit any Device to
use, access, display, or run other executable software residing on the
Workstation Computer, nor may you permit any Device to use, access,
display, or run the Product or Product's user interface, unless the Device
has a separate license for the Product."

That means using any software other than Microsoft's to view an XP
desktop from Windows 2000 or any other operating system would violate
the company's license agreement, in case you care.

"I use VNC extensively to manage several hundred desktops daily," Brown
says.  "So for me this is a big deal, and a good reason to stay away from
XP until I see  significant value added compared to Win 2000. So far I

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