(FORTUNE Magazine) – Digital Research Inc., a California company that foundered after successfully selling an operating system for first-generation personal computers, hoped for a comeback with a product called GEM: software that makes the IBM PC act like an Apple Macintosh (FORTUNE, January 21, 1985). In June, Apple Computer charged Digital Research with violating its copyrights on Macintosh software. Now Digital Research has agreed to stop selling the current version of GEM to avoid a lawsuit; 100,000 units have been shipped. It won't sell a new version until Apple approves the prototype.