EditorsAbout the SiteComes vs. MicrosoftUsing This Web SiteSite ArchivesCredibility IndexOOXMLOpenDocumentPatentsNovellNews DigestSite NewsRSS

01.26.14

IBM Shows That Collaborations With the NSA Are a Company’s Death Knell

Posted in Asia, IBM, Servers at 5:22 pm by Dr. Roy Schestowitz

Summary: China refuses to buy from IBM because of its “special relationship” with the NSA and shortly thereafter China takes over IBM’s server business

IBM recently reported a sharp decline in sales, blaming this on a slump/collapse of contracts with China after the NSA leaks. Perhaps realising that trust is impossible to regain now, IBM, which does not exactly support software freedom on its servers [1], is selling its server business — just like the desktop business — to China [2-4]. It shows the ongoing decline of IBM, which added NSA-oriented extensions such as TPM to Linux-centric agenda. IBM claims to be “hardening the Linux server” these days [5], but historically its agenda inside Linux has been even more dubious than Red Hat's or Intel's because it pushed into Linux (the kernel) software patents agenda and artificial limitations, as we have demonstrated here for years. Linux is used extensively for server security [6], but when Linux itself becomes less secure, then we have a real issue in our hands. Air France now turns to HP [7] — not IBM — for its private server farm needs. Knowing that Boeing is the benefactor of industrial espionage (aided by US diplomats and the NSA), Air France would be wise to dodge IBM. HP has back doors too, but suffice to say, this is less obvious than IBM’s publicly-advertised NSA collusion.

“For many years now IBM has been outsourcing its workforce to India and China and now it’s actually selling parts of its business to the East.”Techrights has historically been friendly towards IBM but also highly critical of the company's patent agenda (lobbying for software patents), marketing tactics, and promotion of freedom- and privacy-infringing technology. The impact of the NSA on IBM is not at doubt [8], and it’s far from negligible [9,10]. For many years now IBM has been outsourcing its workforce to India and China and now it’s actually selling parts of its business to the East. Can clever people in the West (perhaps former IBM workers) outdo IBM by providing a freedom-respecting stack and consulting services around GNU/Linux and Free software? The term FUD comes from IBM, as IBM used these tactics to demonise a former employee who had gone independent with IBM expertise.

At this stage, despite deceiving marketing, IBM needs GNU/Linux and Free software more than GNU/Linux and FOSS need IBM. Recently, the President of the Open Source Initiative (OSI) called IBM a patent troll. IBM can carry on openwashing its business with OpenStack [11,12], Hadoop [13] and so on (even OpenOffice.org), but until it stops serving the NSA, the software patents agenda and various other conflicting interests (causes that harm software freedom and GNU/Linux) we are better off nurturing “true” (as in completely) Free software companies.

Going a few months back (as we mentioned at the time), we have reports such as:

IBM found black budget from the military/surveillance industrial complex too intoxicating to refuse. It sure it alluring to many companies and IBM is no exception; in the 1930 IBM famously did business with the Nazis, helping Hitler’s party profile people (before the data was used for imprisonment and genocide).

For those who did not know about the IBM/NSA relationship, here is a quick wakeup call. It’s not news. It was made known even in the NSA’s Web site. IBM boasted about it. To quote the page about TAPO:

What the Trusted Foundries have to offer:

Accreditation of Trusted Suppliers, with the list available at the DMEA website http://www.dmea.osd.mil/trustedic.html. Potential customers should engage directly with the listed suppliers (except IBM) for all services.
Through TAPO, a contractual relationship with IBM to produce leading-edge microelectronics parts in a trusted environment. IBM maintains world-class facilities in both Vermont and New York, providing a broad range of capabilities to the government in support of the Trusted Foundry contract.

Who can use TAPO services?
Any government-sponsored program can use TAPO to access the IBM Trusted Foundry:

DoD Sponsored Programs may qualify for subsidized pricing on specific MPW runs, provided funding is available.
Other government agencies will need to provide full funding for access.
Contractors working on IR&D projects may access the foundry provided they have a government sponsor.

What services are available?
Through industry partnership at IBM, TAPO offers:

Foundry Services including Multi Project Wafer runs, dedicated prototypes, and production in both high- and low-volume models.
Intellectual Property (IP) development, including standard prepurchased IP.
Packaging and test services.
Custom Logic Service: Cu-08, Cu-65HP, Cu-45HP, and Cu-32.

Foundry Services:
TAPO offers several production options in the foundry business area depending on the schedule and the quantity desired. Designs up to the secret level are accepted.

Multi Project Wafer (MPW) Prototyping – MPW prototype runs have multiple designs on a single reticle and are targeted to customers in need of low volume with no production quantities.
Dedicated Prototype is a dedicated single design prototype run that includes the mask build. IBM guarantees a minimum of two wafers will be delivered to the customer.
Production phase produces unlimited chip quantities, following a successful prototype phase.

Custom Logic Services:
TAPO now has a contract in place for IBM’s commercial Custom Logic flow on digital chips. The customer provides a netlist of RTL hand off and IBM will do the physical layout, package, design, and GDSII generation, and provides tested packaged parts. Design submissions are accepted in Cu-08 Cu-65HP, Cu-45HP, and Cu-32. IBM’s Custom Logic methodology is also available for classified designs.

Intellectual Property:
TAPO has bought pre-paid access to certain roadmap IP that it makes available to customers on an as-needed basis. A complete list of available IP can be obtained from TAPO. IP orders can also be placed for existing IBM IP, custom IP, and certain non-IBM IP.

No company should brag about working with above-the-law spies who engage in industrial espionage, lists for assassination, political coups, etc. IBM’s affairs with the NSA are not new; what’s news is public disapproval (even inside the US) of the NSA and its actions.

Related/contextual items from the news:

  1. IBM Stays Committed to the Cloud, But What of OpenStack?

    While there have been questions about IBM’s true commitment to the OpenStack cloud computing platform, the company definitely remains focused on cloud computing. Today IBM announced plans to commit more than $1.2 billion to significantly expand its global cloud footprint. The investment includes a network of cloud centers that clients can apparently leverage, including allowing businesses to run their IT operations in the cloud.

  2. Lenovo Confirms Purchase Of IBM x86 Server Business For £1.4 billion
  3. Lenovo Agrees to Buy IBM Server Business for $2.3 Billion
  4. IBM Sells Server Business to Lenovo for $2.3 Billion
  5. Hardening the Linux server
  6. A10 Networks Debuts Thunder DDoS Hardware

    ACOS is a Linux-based networking operating system.

  7. Air France builds private cloud with HP for Linux server farm

    Air France says it has automated and increased the reliability of its 1,500 Linux servers by deploying a private cloud solution.

    The deployment is based on HP’s Cloud Service Automation (CSA) software to accelerate deployment times for physical and virtual infrastructures.

  8. IBM’s Full Year Revenues Hit by NSA Scandal
  9. IBM Earnings – Don’t Expect Big Blue to Get Out of Its Slump
  10. IBM: At Least 10% Downside To Fair Value
  11. IBM Explains Its Participation on the OpenStack Foundation Board of Directors

    Todd Moore, director, IBM Standards and Partnerships, discusses his participation as a member of the OpenStack board of directors.

  12. IBM Optimizes OpenStack Cloud Performance with Scheduler

    In a nod to the need for more efficient resource management for public and private cloud computing, IBM (IBM) has unveiled a new product for its OpenStack platforms. Called the Platform Resource Scheduler, the resource provides a virtualized programmable interface for automating the allocation of cloud resources.

  13. IBM’s Watson Fails To Compute In A World Of Open-Source Hadoop

    IBM has big plans for Watson, but its proprietary, developer-free approach is under-delivering.

Share this post: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Digg
  • del.icio.us
  • Reddit
  • co.mments
  • DZone
  • email
  • Google Bookmarks
  • LinkedIn
  • NewsVine
  • Print
  • Technorati
  • TwitThis
  • Facebook

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

A Single Comment

  1. Needs Sunlight said,

    January 27, 2014 at 5:13 am

    Gravatar

    IBM didn’t sell off its server business, just the x86 crap which is on the way out anyway. Wintel is past peak. IBM is now investing in its Power architecture and it looks like they may be expecting that to pick up the slack. So far they put in around $1 billion for Linux and Power, presumably GNU/Linux. Last time they did that, they got the investment back within the year.

    However, that said, with the NSA taint, they will have a much harder time selling outside the US.

What Else is New


  1. More of Bill Gates' Investments in GMO and Mass Indoctrination Under the Disguise of 'Donations'

    Microsoft's arrogant and famously corrupt co-founder is taken to task by those whom he is trying to bamboozle for monopoly, unlimited cross-generational power, and never-ending profit without risk



  2. Home Depot Confirmed a Victim of Microsoft's Bad Security, Microsoft Lays Off Security-Related Staff

    News reports circulate showing that Home Depot was knowingly careless with its Windows dependency while Microsoft lays off staff focused on security



  3. European Patent Office/Organisation - Suspicion of Improper Collusion Between EPO President and Chairman of the Administrative Council: Part III

    A preliminary look at Battistelli's reign and how regulatory powers got abolished, leaving the EPO reckless and largely unaccountable



  4. Links 21/9/2014: xorg-server 1.16.1, Linux Kernel 3.16.3

    Links for the day



  5. Links 20/9/2014: GNOME 3.13.92, Android L

    Links for the day



  6. Scanning Patent Troll Implodes; Is the Podcasting Patent Troll Next?

    MPHJ loses and Personal Audio LLC perhaps wins for the last time since software patents are quickly losing legitimacy in the United States



  7. If CAFC is Not Above the Law, Then it Should be Shut Down Now

    A long series of abuses in CAFC may as well suggest that this court has become broken beyond repair



  8. The Latest From Microsoft Patent Trolls and Patent Partners

    Microsoft-linked and Linux-hostile trolls continue their relentless attacks (albeit with little or no success) while patents as a weapon lose their teeth owing to a Supreme Court ruling



  9. Microsoft Proves That Its Massive Layoffs Are Not About Nokia

    Microsoft is laying off a lot of employees who have nothing at all to do with Nokia



  10. Links 19/9/2014: Another Red Hat Acquisition, Netflix Dumps Microsoft Silverlight and Brings DRM to WWW

    Links for the day



  11. Links 18/9/2014: Windows Copying GNU/Linux, Germany Moves to Security

    Links for the day



  12. Web Site 'Patent Progress' Now Officially 'Powered by CCIA' (FRAND Proponent, Microsoft Front)

    After talking a job at CCIA, "Patent Progress" and its chief author should be treated as dubious on real patent progress



  13. Articles About the Death of Software Patents in the United States

    Recent coverage of software patents and their demise in their country of origin, where even proponents of software patents are giving up



  14. The Death of Software Patents is Already Killing Some Major Patent Trolls

    VirnetX seems to be the latest victim of the demise of software patents in the United States



  15. More Microsoft Layoffs

    More Microsoft layoffs go ahead as the company is unable to compete



  16. ODF on the Rise

    Milestones for OpenDocument Format (ODF) and the launch of FixMyDocuments



  17. Links 17/9/2014: CoreOS, ChromeOS, and systemd

    Links for the day



  18. Italy is Cracking Down on Microsoft's Monopoly Abuse While Gradually Moving to GNU/Linux

    Italy is not only moving to Free/Open Source software but also to GNU/Linux while at the same time barring Microsoft from forcibly tying Windows to new PCs



  19. OpenSUSE's 'Assurances' Are Classic MBA School Hogwash

    OpenSUSE is not part of any commitment, except for SUSE's; the impact of the Novell/SUSE acquisition casts uncertainty on the project's future



  20. Links 16/9/2014: Firefox OS Smartphones in Bangladesh, “Treasure Map” of the Internet

    Links for the day



  21. The United Kingdom Should Dump Microsoft For the Sake of National Security

    The UK has issues of Microsoft dependency and Windows viruses; its migration to Free software and GNU/Linux is not fast enough to guard its autonomy in the age of digital imperialism



  22. CBS Hires Even More Microsoft Staff to Cover Microsoft Matters

    CBS continues to be infested with Microsoft staff past and present (this time Dave Johnson) and the bias in output is quite revealing



  23. Microsoft Has Just Killed Minecraft for GNU/Linux and the Possibility of Free/Open Source Releases

    Persson sells out to Microsoft and lets the abusive monopolist destroy the popular cross-platform game that a community has been built around



  24. Another Reason to Boycott Intel UEFI

    More anti-competitive aspects are revealed inside UEFI, which helps merginalise GNU/Linux



  25. Quick Mention: Novell and SUSE Passed to Microsoft's 'Partner of the Year', Microsoft Focus

    Novell is changing hands again, and falling into the hands of even more Microsoft-friendly actors



  26. Links 16/9/2014: Linux 3.17 RC5, KDE Frameworks 5.2.0

    Links for the day



  27. Željko Topić, Benoît Battistelli, and the European Patent Office (EPO): Part II

    Part II of our look into the EPO appointment of Željko Topić and other matters showing the dubious integrity of the EPO



  28. Links 14/9/2014: Android-based Watches Earn Optimism

    Links for the day



  29. Links 14/9/2014: Eucalyptus Devoured

    Links for the day



  30. Links 11/9/2014: Linux Toilet Project, Linux-Based Wheelchair Project

    Links for the day


CoPilotCo

RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

CoPilotCo

Recent Posts