So, unsurprisingly, Musto is a serial film-flam man, and likely had to walk away from the IP. I'm guessing it didn't cost Banzi too much.
Adafruit got the feds on to him, nice one
He'll probably get a slap on the wrist, then will be free for the next setup...
I always thought he was dodgy. When the Arduino split first came up, I looked into Musto's background. He had a senior position at Red Hat, but appeared to suddenly leave without any explanation, which seemed unusual. I wondered if they found something about him, which caused them to drop him like a hot brick. Falsifying credentials to the point of fraud might do that. Seems pretty stupid to claim multiple degrees, he must surely expect someone would check at some point?
I'm not sure what will happen to all those projects "developed in partnership with DogHunter" etc, I guess it will be quite messy and some more products will be dropped. Not sure we will ever see the truly open Yun.
Anyway, back to "business as usual" - Arduino give away the farm, and other companies in the "Arduino community" make some fat profits off Arduino with cloned hardware supported with free software from Arduino. It seems that after "community pressure" Arduino have been forced to promise to give away all their stuff for free, forever. I can't quite see how that business is sustainable for Arduino either.