Bonum Certa Men Certa

Waggener Edstrom and Microsoft's Government Insider Defend the Company's Reluctance to Pay Tax

"In the fall of 1982, Pam Edstrom [of Waggener Edstrom], a diminutive woman with piercing blue eyes, was recruited by Microsoft. [...] In modern-day business, flacks were responsible not only for avoiding bad press, but for spinning the good. [...] Hanson and Edstrom would spin a whole new image for Gates himself. They would tap the best and worst of Chairman Bill, changing his clothes, his voice, and his allegiances, driving him to become not just the boss, but, essentially, the company mascot—a sort of high-technology Colonel Sanders."

--Pam's daughter



Summary: Microsoft and its PR department are under great pressure, so instead of addressing the issue they just start spinning and lying with press presence and self-serving 'studies' that they fund

MICROSOFT'S bad habits when it comes to paying tax are made increasingly worse as the company not only refuses to pay tax like all citizens do but it also arranges campaigns to hide the problem. Why pay tax when it's so much cheaper to just change perception? We wrote about it last week and this week we see similar responses from other sources, notably from Jeff Reifman, a former Microsoft employee who fights others like Rep. Hunter from Microsoft, who is now helping Microsoft escape tax in Washington. Watch Rep. Hunter as he continues to help his former employer while publicly denying that he does such a thing:



It appears that Rep. Hunter has successfully re-inserted the amnesty clause for Microsoft's thirteen year Nevada tax dodge (earlier, Rep. Santos' amendment had removed this clause for unrelated reasons).
(2) Section 201 of this act does not apply to any tax periods ending before May 1, 2010, that were included in a completed field audit conducted by the department.
Section 201 is the clause that was supposed to help the Dept. of Revenue crack down on these kinds of abusive tax transactions - more on this in a moment.

Interestingly, Rep. Hunter's latest blog post is about Tax Freedom Day. Thanks to Rep. Hunter, April 10th is quickly becoming Tax Freedom Day for Microsoft.


This is the type of thing that happens when Microsoft employees enter the government. It's more or less like legalised corruption. Microsoft Nick was among those who gave this PR routine its intended undeserved coverage [1, 2], but there is more on that rebuttal from Reifman right here. See the comments too.

As we pointed out last week, Microsoft had arranged -- along with its outsourced PR department -- a bunch of fake 'studies' and press events to spin what it's doing in Washington. Reifman responds:

Last week, Microsoft's PR firm, Waggener Edstrom, invited local reporters to a press conference with Microsoft General Counsel and possible architect of its Nevada tax dodge, Brad Smith, to discuss an update to a Microsoft-funded University of Washington study on Microsoft's overwhelming economic impact on our state.

[...]

The only problem with Microsoft's WagEd press conference is if you actually pay any attention to the illogic of Mr. Smith's message. For example, quoting from TechFlash:

* "It absolutely remains the case that Washington state is Microsoft's home." - unless of course we're reporting the revenue received from our $20.7 billion annual licensing business, the home for that business is in Nevada.

* "If you'd ask what is more at play in the future, it's more a question of whether the jobs that Microsoft is able to add will be added in Washington state, another state, or outside the United States. The big issues playing into that decision include the company's ability to secure visas for foreign workers, quality of life (including education, transportation and cultural life) and the cost of doing business"

In other words, in order for Microsoft to add more jobs in Washington State, it needs to secure more visas for foreign workers.


Brad Smith is part of the tax fiasco [1, 2, 3], yet here he is along with Waggener Edstrom just lying to trick the public for PR purposes. Microsoft's Tax Dodge has an audio track now. Their problem is not going away.

It is going to get even worse. Based on this new post, Microsoft will consciously expand its influence in the United States government by inreasing/pacing up lobbyists in Olympia:

It would be naive to say Microsoft hasn't had plenty of influence on Washington politics through lobbyists in Olympia. But the state's second-largest private employer plans to be more publicly vocal about issues its leadership thinks are important, an executive said.


Microsoft is already funding more 'studies' in the University of Washington (that's where the tax dodge was justified, by paying academics) that are to have an impact on the press, which asks no questions about Microsoft's known bias.

According to a new University of Washington study funded by the Bill and Melinda Gates Foundation, California's pregnancy-related death rate (19 per 100,000 in 2008) is higher than the national average (17 per 100,000). It's double that of Canada and most Western European nations, and it's worse than Bosnia, Serbia, Poland and Qatar.


Here is another new example of self-serving 'studies' but one that we'll expand on later.

The school counseling world experienced a bit of a shakeup recently when a report entitled "Can I get a Little Advice Here?" was released by the Public Agenda (www.publicagenda.org) for the Bill & Melinda Gates Foundation.

[...]

Unfortunately, the Gates Foundation report did not discuss some of these barriers and why it might be that a counselor did not have time to provide the services the students who were surveyed were seeking. No recommendations were given as to how to change these trends nor did the report highlight how in some schools, with proper support and staffing, school counselors indeed make a difference in the lives of their students. Hopefully, that's the next report to be released on behalf of the Gates Foundation.


Same here:

In a recent poll conducted by Microsoft, 56% of the teens questioned think the Web allows bullies to prosper, while 67% say they spend most of their time using Facebook and MySpace.


A poll conducted by Microsoft is simply not reliable.

Here is another last finding. Just like Rep. Hunter acts as Microsoft's guardian in Washington's government, Gary Gigot does his service through another policy-making move from Microsoft veterans. See the following short new report:

Washington's Governor "joined us" on stage for a role-playing exercise. And with the help of a prototype Time Machine, we explored several opportunities for businesses, researchers and policymakers to create a prosperous future in clean energy.

[...]

Panelist Gary Gigot is Chief Marketing Officer at Optimum Energy. His company reduces energy use in the air-conditioning systems of large, commercial office buildings.

Forthrightness compels me to add that Optimum Energy is a past client. I was the company's interim VP of marketing in 2007, up until Gigot was recruited as CMO. Gigot brings his prior experience in marketing at Microsoft and, prior to that, Visio.


With the prior role as a Microsoft marketer, can he be trusted to be unbiased?

Comments

Recent Techrights' Posts

Biggest "AI Companies" (Meta, Alphabet, Microsoft) Borrowed (Additional Debt) About $100,000,000,000 in a Year
Who will be held accountable for all this?
In 2009 Microsoft Was Valued at ~150 Billion Dollars, Now They Tell Us Microsoft Lost ~1,000 Billion Dollars in Value. Does That Make Sense?
Or Microsoft lost 700 billion dollars in "value" in less than two weeks
Microsoft Stock Crashed When Alleged Vista 11 Numbers Disclosed
And last summer Microsoft indicated that it had lost 400 million Windows users
It's Not About Speed, It's About the Message (or Its Depth)
Better to write news than to just link to news if there's commentary that the news may merit
 
Converting FOSDEM Talk on Software Patents in Europe Into Formats That Work for "FOS" and Don't Have Software Patent Traps
transcoded version of the video
Links 07/02/2026: More White House Racism, "Europe Accuses TikTok of Addictive Design"
Links for the day
Silent Mass Layoffs: It's Not the Revolution, It's the Loophole and the Hack ("Low Performers" or "Underperformers")
Layoffs by another approach
Mark Shuttleworth (MS) Pays Salaries to Microsoft (MS) Employees
Canonical selling Microsoft
Links 07/02/2026: Windows TCO Rising, Lousy Patents Invalided
Links for the day
Microsoft Leadership: Stop Taxing Us, Tax Only Poor People
Does Microsoft create jobs?
In Case You've Missed It (ICYMI), Google's Debt More Than Doubled in a Year
Wait till it "monetises" billions of GMail users with slop
PIPs and Silent Layoffs at IBM (and Red Hat) Still Going on, It's "Forever Layoffs" (to Skirt the WARN Act)
American workers out
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, February 06, 2026
IRC logs for Friday, February 06, 2026
Stressful Times for Team Campinos ("Alicante Mafia") at Europe's Second-Largest Institution
Keep pushing
Growing Discrimination in the European Patent Office (EPO)
it's a race to the bottom, basically
Google News Drowning in (or Actively Promoting) Slopfarms Again
LLM slop is a nuisance
Gemini Links 07/02/2026: "Choosing a License for Literary Work" and "Social Media Is Not Social Networking (Anymore)"
Links for the day
Gemini Links 06/02/2026: Git and Email Patches; MNT Pocket Reform
Links for the day
Geminispace Net Growth in 2026 About a Capsule a Day
A pace like this means net gain of ~300 per year, i.e. about the same as last year
Benjamin Henrion Warned About the Illegal and Unconstitutional Unified Patent Court (UPC) in FOSDEM 2026
Listen to Benjamin Henrion
Economies Crashing Not Because of Slop Improving 'Efficiency' (That's a False Excuse) and 'Expensive' (Read: Qualified) Workers Discarded in Race to the Bottom
Actual cocaine addicts are pushing out moral people
IBM's CEO Speaks of Layoffs, Resorts to Mythical (False) Excuses
This has nothing to do with slop
Links 06/02/2026: Voter Intimidation and Press Shutdowns in US, Web Traffic Warped by LLM Sludge
Links for the day
Does Linux Torvalds Regret Having Dinners With Bill 'Russian Girls' Gates?
See, the rules that govern the Linux Foundation and its big sponsors aren't the same rules that apply to all of us
IBM: Cheapening Code, Cheapening Staff, Cheapening Everything
IBM's management runs IBM like it's a local branch of McDonald's. IBM is a junk company with morbid innards.
GNU/Linux Measured at 6% in One of the World's Largest Nations
Democratic Republic Of The Congo
Linux Foundation Operative Says We and Our Software All "Owe an Enormous Debt of Gratitude" to a Software Patents Reinforcer
The only true solution is to entirely get rid of all software patents
Mobbing at the European Patent Office (EPO) - Part IV - EPO Can Get Away With Murders, Suicide Clusters, and Systematic and Prolonged Bullying by 'Team Campinos' ("Alicante Mafia" as Insiders Call It)
Nobody in the Council or the EU/EC/EP gives a damn as long as laws are broken to fabricate 'growth'
Jeff Bezos Isn't Just Killing the Washington Post, He's Killing Thousands of News Sites/Newsrooms (in Dozens of Languages) That Rely on It for Many Decades Already
Not just slopfarms; even the Ukraine-based reporters are culled by Bezos, who's looking to please the dictators of the world
Central Staff Committee Confronted António Campinos for Giving His Cocaine-Addicted Friend Over 100,000 Euros to Do Nothing, Just Pretend to be Ill, While Cutting the Salaries of Everybody Else
"On the agenda: Amicale framework & Financial assistance for courses"
How to Win Lawsuits in 5 Simple Steps
Keep issuing threats every week and send 60 kilograms of legal papers to the target
More Than 99% of "AI" Companies Aren't AI, They're Pure BS
We need to discard those stupid debates about "AI" and reject media that gets paid to participate in such overt narrative control (manipulation like The Register MS)
AI Used to Save Lives, Now "AI" is a Grifting Scheme That Burns the Planet and Will Crash the Economy
What the media calls "AI" (it gets paid to call it that) is the same stuff that could instead be dubbed "algorithms"
Living in Freedom When 'False Flag Operations' Like EFF Get Captured by Billionaires to Take Freedom Away
There are many ways to think of Software Freedom
Amutable is a Microsoft Siege Against Freedom in GNU/Linux, Just Like the People Who Brought You 'Secure Boot' Controlled by Microsoft
Do whatever is possible to avoid Amutable and its "products"
Growing Focus on Publication
Over the past ~10 days we always served more than a million Web hits per day
"Going to be a large number of Microsoft layoffs announced soon"
Everybody knows a giant wave of layoffs is coming Microsoft's way
End of the 'GPU Bubble' and NVIDIA Finally Admits It Won't Bail Out Microsoft OpenAI Anymore
circular financing (financial/accounting fraud)
Corrupt Media Won't Hold Accountable Rich People for Role in Pedophilia
Journalistic misconduct or malpractice is a real thing
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, February 05, 2026
IRC logs for Thursday, February 05, 2026
EPO Management ("Alicante Mafia") Not Properly Sharing Information on Scale of Strikes by EPO Staff
disproportionate (double) deductions in salaries against people who participate in strikes, which are protected by law
Gemini Links 06/02/2026: Slop/Microslop, Home Assistant, and Valid Ex Commands
Links for the day
Blackmail evidence: Debian social engineering exposed in ClueCon 2024 talk on politics
Reprinted with permission from Daniel Pocock
Bitcoin crash: opportunity or the end game?
Reprinted with permission from Daniel Pocock
Changes at the Solicitors Regulation Authority (SRA)
SRA is basically a waste of money
Claims That IBM Will Lay Off 20% (or 15%) of Its Workforce This Year Unless It Finds a Way to Push Them All Out by Threats, Shame, Guilt
Where are the articles about IBM layoffs?
IBM Isn't a Serious Company Anymore, It's a Ponzi Scheme Operated by a Clique and It Misuses Companies It Acquires to Prop Up or Legitimise the Scheme
IBM seems like it's nothing but a "Scheme"
Google News Drowning in Slop About "Linux" (Slopfarms Galore)
Google should know better than to link to any of these slopfarms, but today's Google is itself a pusher of slop
Links 05/02/2026: EU Commission Gutting Net Neutrality
Links for the day
Gemini Links 05/02/2026: NixOS Books and Monochrome Emojis
Links for the day
Links 05/02/2026: Canadian Government Uses US LLMs to Override Expert Opinions, NVIDIA Troubles Due to Enablement of Mass Plagiarism ('Piracy') Misleadingly Obscured as "Hey Hi"
Links for the day
Explaining the Letter From JUDGE SYKES FRIXOU, Threatening Me Around the Time GNOME's Nat Friedman Lost His CEO Job at Microsoft GitHub and His Best Friend Got Arrested for Strangulation
this letter (with annotation) is critical
Linuxiac Not Rehabilitated, It's Still Full of LLM Slop (Part of a Trend)
The Web as a resource/source of information is perishing
"Sponsored by Azul" to Write Fake 'Article' About Azul, Quoting Azul Itself
The "journalism" industry [sic] became so utterly corrupt
JuristGate is for sale: three billion Swiss francs for a domain name
Reprinted with permission from Daniel Pocock
Like Microsoft and IBM, the 'Alicante Mafia'-Governed EPO Does PIPs Nowadays (at the EPO, It's "Professional Incompetence Procedure")
So "PIPs" are definitely in the EPO and we saw letters sent to staff
Time for Change, More New Articles, Less Curation
The oligarchy wants to gut the real press and replace media with slop and social control media (or social control media with slop in it, i.e. their own voices, mechanised)
Gemini Links 05/02/2026: Coercion, Antibiotics, and LVDT Project
Links for the day
Almost 1,600 EPO Employees Went on Strike Last Week
There is another strike coming 2.5 weeks from now
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, February 04, 2026
IRC logs for Wednesday, February 04, 2026