Ubuntu licensing
How does Ubuntu on the desktop deal with proprietary licensing? How are they able to offer "out-of-the-box" functionality?

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I assume you are referring to proprietary drivers. Ubuntu does include proprietary drivers for necessary functionality; this is especially important with regard to wi-fi drivers. You can learn more about their policy at: http://www.markshuttleworth.com/archives/95.

This was first published in May 2007