Bonum Certa Men Certa

Outsourcing and Offshoring Patents for Extortion and Tax Evasion

Offshoring



Summary: Some of the latest examples of patent mischief and antitrust issues; the darker side of patents explored

THE most grotesque elements of both the European and north American patent systems would have to do with bypassing the law. Racketeering and tax evasion are apparently OK as long as patents are used to achieve these.

Apple, for example, is fast becoming like BlackBerry, which is trying to not look like a patent troll and is thus delegating the blackmail to another entity. This new report calls it outsourcing and notes that that "BlackBerry's exit from the device-manufacturing business was part of a broader turnaround strategy as the company worked to streamline its operations to focus on the more promising software and services market."

The patent extortion is now done from an external entity. Microsoft does the same thing.

As for Apple? It still does all the litigation directly, albeit it uses patents for 'legalised' tax evasion. They just make up the law. Widely used tricks of billionaires like Tim Cook are being used routinely. This is how an Apple advocacy site put it:

Reuters notes that Apple could be caught out by one provision in the bill. The bill introduces a minimum tax of around 13% on income from patents held overseas, and this could put an end to one method Apple has used to reduce its tax bill.


The original says:

The U.S. Republican tax overhaul passed by Congress this week will allow Apple Inc (AAPL.O) to bring back its $252.3 billion foreign cash pile without a major tax hit - a long-standing company goal.

Other provisions of the bill, namely the cut in the corporate tax rate from 35 percent to 21 percent, are also a big boon for Apple.

But not everything went the company’s way. A critical difference between the Senate version of the bill and the final version could actually raise the amount of cash taxes that Apple pays on profits from patents held abroad, tax experts said.


We already wrote a great deal about this (patents 'boxes' as a tool of corporate tax evasion in Ireland and elsewhere in Europe). There is even a new article about it in the Irish press.

What about those Apple fines in Europe? Or the notorious tax avoidance that Florian Müller wrote about last year? Will Apple ever pay? Will it just lobby like Microsoft did?

Qualcomm's fight with Apple was recalled by Müller at the start of the year when he wrote about the status of the case in the United States, Europe and Asia. To quote:

Ever since I can remember, no information and communications technology company has ever faced as many simultaneous and earth-spanning antitrust problems as Qualcomm: unilateral-conduct investigations by competition authoritities in the United States, Europe and Asia; thorough merger reviews of Qualcomm's proposed acquisition of NXP; and antitrust lawsuits brought by Apple in multiple jurisdictions. Then there's at least one other company (analysts believe it's Huawei) that stopped paying license fees. Some early-stage decisions made by federal judges in the Northern and Southern Districts of California didn't work out well for Qualcomm. It's losing the most momumental multi-front war any company in this industry has ever been embroiled in.

From the outside it's always easy to say: they should settle, especially since they can't realistically win. It's never a bad idea to promote peace, and here it's just impossible to imagine that all those regulators and judges and private parties are wrong and Qualcomm (plus Maureen Ohlhausen, the last woman standing in Qualcomm's corner) are right. But let's be realistic: there is so much at stake here that Qualcomm will most likely still be the first item on my list for next year's first blog post, too.


There's a legitimate antitrust element to it -- one that we covered here before.

It would be a shame if patents became famous for trolling, extortion, and anti-competitive practices. That is not what the patent system should be about.

Recent Techrights' Posts

The Slop Debt (Trillions of Dollars, Money That Does Not Exist) is Causing the Collapse of GAFAM et al
This slop hype will end up like "metaverse", except "metaverse" never ended up justifying trillions of dollars in "investment"
Social Control Media is the Opposite of Information
That says a lot about social control media
Lack of Empathy Rampant in the Sector
Sociopaths are sociopaths. They cannot help themselves
Before the "Big Tech" (That Almost Everybody is Forced to Use) Was Controlled by Men Who Hate Women
Such rejection and even hatred of women qualifies/enshrines oneself as an "incel"- a dangerous and violent online cult
Enshittification More Than a Century Ago
Is enshittification more than a century old?
GNU in 1991 (35 Years Ago): Compiler and Lots More Ready, Linux Now Becoming 'Vibe Heap' (Slop Replaces Real Code)
Without curbs in place, many Linux developers will flee
SLAPP Censorship - Part 147 Out of 200: The SLAPP Series is 'Slow' Because Timing Matters
It is important to stress that after this series is finished there will be many more series, with some of them showing raw evidence of what we've been illuminating and telling
 
The Register MS Has Just Published Slop Spam for NVIDIA and HP, It Says "AI" 43 Times
As usual, The Register MS ought to be ashamed of itself for participating in it
Simpler Means More Reliable
The simple old way of local storage and local backups is still the best
Clownflare and statCounter See GNU/Linux at ~8% in Norway
Norway has long championed GNU/Linux compared to the rest of Europe
Clacton manifesto: Reform UK hacking, leaks, raw sewage & 8GB Swiss Archive
Reprinted with permission from Daniel Pocock
statCounter Today: ChromeOS + GNU/Linux Measured at 10.98% Globally (Desktops and Laptops)
Clownflare does not quite refute this
The Register MS Has Just Published Fake Article About Replacing Linux With Proprietary Google System, "Sponsored by ASUS."
All of those things are proprietary GAFAMware
Links 12/08/2026: "X’s Advertising Business Continues to Tank", "Stop Feeding the Billionaires"
Links for the day
In Defence of Hoarding CDs, More So When Digital Restrictions (DRM) Come to More 'Content' and Even Offline/Physical Media Won't Work When Some Remote Server Says "No" (or Goes Offline)
made to serve and entertain owners, not to allow companies like Sony and Microsoft subjugate owners
Clownflare: In Finland, Birthplace of Linux Kernel, GNU/Linux Now Bigger Than Apple's MacOS
It's not just in Finland where we see such trends
More Mass Layoffs Due to Monumental Debt Excused as "Investment" (in Slop)
They're maxing up the private debt and their country is already insolvent
METRO Interviews Daniel Pocock a Day Before Election
The article is behind a wall that blocks people who block ads
Company-Wide 'Reorg' ('Redundancies') at IBM, Mark October 1st 2026 in the Calendar
Is Oct 1 the new Apr 1?
Even ZDNet Accepts That "Market Share" of GNU/Linux May Have Doubled on Desktops and Laptops
GNU/Linux is definitely growing, and quite quickly in fact
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, August 11, 2026
IRC logs for Tuesday, August 11, 2026
Microsoft Layoffs and Shutdowns Continue This August, Morale Low, Employees Set Up Giant Inflatable Rat to Protest Against CEO
nothing demonstrates their anger better than what they did to the CEO
Gemini Links 12/08/2026: Sophomore Slump, Mandatory Phone Addiction, and Vintage Web Game Gallery
Links for the day
Summer Layoffs and 'Redundancies' (Cost-Cutting) at Microsoft and IBM
IBM is merely buying its revenue - an unsustainable strategy that aims to hide the company's rapid decline
Links 11/08/2026: Tensions South of China and Stingy "YouTube Doubles the Eligibility Requirements" (to Get Paid)
Links for the day
The Independent (UK) Today: "Independent candidate Daniel Pocock is concerned about media issues."
Let's see what results say around Friday
Gemini Links 11/08/2026: Stargate, Stargazer, Air-gapped Environments, and SystemVerilog Simulator
Links for the day
The Slop ('Linux') Foundation Celebrates 35 'Linux' Years a Week After GNU/Linux Turns 43
they'll keep on trying to change history
Keumars Afifi-Sabet Produces Useful, Informative Coverage Regarding Privacy
And it's good for Richard Stallman
Confirmed: Microsoft Layoffs in August 2026, Entire Operations Shut Down Too
Microsoft is just bleeding
Paying With Cash in 2026
Cash isn't going away. Not any time soon.
Blocking Tor Is Not a Solution, It's Paranoia
Tor is not a crime
Oligarchs and Their Footsoldiers Are Most Enthusiastically Loud About the Things They're Attacking
Like "Microsoft loves Linux"
FOSSY (SFC) Platforming GAFAM, Sells Endorsement
Houston, we have a problem here
Not Allowing Misogyny and Misogynists to Run the World
We stand with (and for) equality, justice, and freedom
"SPONSORED EXPLAINER" at The Register MS is Just More SPAM "Sponsored by HPE."
This is a great example of crap 'journalism'
IBM Won't Hire (or Hardly Hire) This Year
IBM is bluffing with buzzwords while shrinking out of existence and reducing salaries
SLAPP Censorship - Part 146 Out of 200: An Industry of Plagiarism, 'Normalised'
they pursue personal enrichment by stealing from Free software developers
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, August 10, 2026
IRC logs for Monday, August 10, 2026
5.1k Capsules Known to Lupa, Gemini Protocol Crawler
If no limits (e.g. 10k max per capsule) were imposed on crawling, there would likely be millions of pages in the database
Gemini Links 11/08/2026: Waking Up Earlier, Whining About LLMs as Destructive Plagiarism
Links for the day
Links 11/08/2026: "The Enemy Is the Platform" and 'Vibe' 'Coding' Shown to be Little But Plagiarism
Links for the day
IBM's Age Discrimination Leads Workers to Contemplate Suicide While the CEO Becomes Billionaire for Lying to the Press and Faking Performance (Fraudulent Accounting)
IBM avoids issuing WARM notices
If Your Software Project Welcomes Bots, Then All You'll Have Left at the End Is Bots (Same for Sites Which Permit LLM Slop; They End up as Slopfarms and No Human Wants to Contribute Anymore)
A "slippery slop."
Clownflare Affirms Disturbing Trend of Web Monoculture (Which Extents to Clownflare Itself)
Clownflare itself is another layer of the same problem
The Open Web Is Not Coming Back
the open Web going out of control
Tell Me Something I Don't Know
Those who have a stake in the secrecy would do anything to maintain secrecy
Gemini Links 10/08/2026: Recollections and Washing Machine That Only Last a Few Years
Links for the day
Claims of Mass Layoffs at IBM (in Finance)
IBM tries hard to maintain an illusion of normality - to the point of viciously censoring critics and whistleblowers.
The Slop Bubble (Pyramid Scheme) is Becoming Bigger and Everyone Should be Terrified (Its Implosion Will Cause More Damage)
there's no plan for a turnaround
Microsoft and Apple Lose Ground to GNU/Linux in the United States
This contributes a lot to the international curve
Escaping Ads
When users do not want ads, then no ads should show up, period
For Second Year in a Row Software Freedom Conservancy (SFC) Loses Money (Over $3,000,000 Lost in 2 Years), Bradley M Kuhn Steps Down as Treasurer
lost almost $600,000 last year
Microsoft/GAFAM Operating at a Loss
Microsoft has financial problems
Nigel Farage crisis: Taylor Swift & Jeffrey Epstein both shunned cryptocurrency bosses
Reprinted with permission from Daniel Pocock
statCounter Now Sees GNU/Linux "Market Share Worldwide" at 9.21%, Soon 10%
If this data is more or less accurate, it's time for panic at Microsoft
Rumours of Impending Mass Layoffs in IBM's Yorktown Office, Impacting the LLM (Slop) Staff
Bubbles never last forever, hence their name
Links 10/08/2026: "Long COVID Linked to Lasting Damage in The Brain's Dopamine System", Microsoft’s Weather App Uses Over 1,000 Megabytes of RAM
Links for the day
Software Freedom Conservancy (SFC) Does Not Support Women, It Imitates Authentic Organisations, Embraces Misogynists, Then Projects
They try to monetise for personal gain at the expense of unpaid volunteers
When You're Evil and You're Publicly Attacking Something, That Something Will Become More Popular
when an oppressor becomes openly oppressive and does anything to squash/censor critics, the outcome will typically be detrimental to the oppressor
Links 10/08/2026: "Against Oligarch" and "The Invisible Women"
Links for the day
Social Control Media Deathwatch: After Nearly a Million Posts Sent EchoFeed Shuts Down
EchoFeed is hardly unique
When the LLM Chatbots Industry (Trillions in the Red) Quits Paying the Media for FOMO
fear of missing out, or FOMO for short
Microsoft Killing Morale
branding the process “inhumane” and “demoralizing”
Google's "AI Overview" as Proprietary Censorship Engine and Gatekeeper
People do not choose to use this, Google is just shoving that in people's faces, encouraging laziness and misinformation
SLAPP Censorship - Part 145 Out of 200: They Tried Hard to Hide the Fact Their Client Had Been Sued, Twice Even
A month ago Brett Wilson LLP tried to take my wife "to the side" (in effect isolated) to make her an offer
statCounter: GNU/Linux Up to 8.95% Globally
So the estimates are being "corrected" upwards, not downwards
Explaining How Someone Attempted to Cancel RMS This Year (and Failed)
The process itself involved debunking some falsehoods
Microsoft's "XBOX Ranks Last", IBM is Headed for Extinction
If Microsoft cannot dominate its own "home turf", what prospects are there elsewhere?
DebConf6 fight denied by Google artificial intelligence
Reprinted with permission from Daniel Pocock
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, August 09, 2026
IRC logs for Sunday, August 09, 2026
Gemini Links 10/08/2026: A Mild Monday, Sleepy Saturday, OUYA, and Moving to GNU/Linux
Links for the day