Technology giants led by Apple and Microsoft disclosed more than $100 billion in profit outside the U.S. in their last fiscal years, making them prime targets of President Joe Biden's proposals to boost taxes on earnings stashed overseas. From a report: The tax proposals, unveiled this month to help foot the bill for massive infrastructure plans, target common tactics used by U.S. multinationals such as stashing income-generating assets in low-tax offshore jurisdictions. The tech industry is particularly adept at shifting profits to tax-friendly locales because its main assets -- software code, patents and other intellectual property -- are relatively easy to move around compared to factories and other physical assets.

Former President Donald Trump's 2017 Tax Cuts and Jobs Act was supposed to crack down on offshore tax maneuvering, but Republicans neutered the rules by adding extra deductions and other benefits, according to Andrew Silverman, a tax policy analyst at Bloomberg Intelligence. Big Tech will find it harder to dodge Biden's plan because, if turned into law, it would close most of the loopholes left by Trump's 2017 legislation. The move threatens to leave the industry further at odds with Washington, where lawmakers are already scrutinizing the spread of misinformation on online platforms and regulators are embarking on antitrust investigations into large tech companies.

A federal judge tossed a $506.2 million damages award against Apple after ruling the iPhone maker should have been able to argue that patent owner Optis Wireless Technology was making unfair royalty demands, though he refused to throw out the liability finding. From a report: Optis and its partners in the case, PanOptis Patent Management and Unwired Planet, claimed that Apple's smartphones, watches, and tablets that operate over the LTE cellular standard were using its patented technology. U.S. District Court Judge Rodney Gilstrap said the jury should have been allowed to consider whether the royalty demand was consistent with a requirement that standard-essential patents be licensed on "fair, reasonable and non-discriminatory," or FRAND, terms. The patent trial in August, one of the few held during the pandemic, was part of an unusual sweep of verdicts in Texas that collectively resulted in $3.7 billion in damages against tech companies like Apple and Intel Corp. Apple was also hit with damages awards of $502.8 million in a decade-long battle over security communications technology, and $308.5 million in a case over digital rights management.

An anonymous reader quotes a report from ZDNet: The Open Invention Network (OIN) defends the intellectual property (IP) rights of Linux and open-source software developers from patent trolls and the like. This is a global fight and now the OIN has a new, powerful allied member in China: Inspur. Inspur is a leading worldwide provider and China's leading data center infrastructure, cloud computing, and artificial intelligence (AI) server providers. While not a household name like Lenovo, Inspur ranks among the world's top-three server manufacturers.

Inspur is only the latest of many companies to join the OIN. Besides such primarily hardware-oriented companies as Inspur, Baidu, China's largest search engine company, and global banks such as Barclays and the TD Bank Group, have joined the OIN. In 2021, companies far removed from traditional Linux companies such as Canonical, Red Hat, and SUSE all recognize Linux and OSS's importance. Donny Zhang, VP of Inspur information, said, "Linux and open source are critical elements in technologies which we are developing and provisioning. By joining the Open Invention Network, we are demonstrating our continued commitment to innovation, and supporting it with patent non-aggression in core Linux and adjacent open-source software." "Linux is rewriting what is possible in infrastructure computing," says OIN CEO Keith Bergelt. "OSS-based cloud computing and on-premise data centers are driving down the cost-per-compute while significantly increasing businesses' ability to provision AI and machine-learning (ML) capabilities. We appreciate Inspur's participation in joining OIN and demonstrating its commitment to innovation and patent non-aggression in open source."

Cory Doctorow, writing at Wired: When we talk about social media monopolies, we focus too much on network effects, and not enough on switching costs. Yes, it's true that all your friends are already stuck in a Big Tech silo that doesn't talk to any of the other Big Tech silos. It needn't be that way: interoperable platforms have existed since the first two Arpanet nodes came online. You can phone anyone with a phone number and email anyone with an email address.

The reason you can't talk to Facebook users without having a Facebook account isn't that it's technically impossible -- it's that Facebook forbids it. What's more, Facebook (and its Big Tech rivals) have the law on their side: the once-common practice of making new products that just work with existing ones (like third-party printer ink, or a Mac program that can read Microsoft Office files, or an emulator that can play old games) has been driven to the brink of extinction by Big Tech. They were fine with this kind of "competitive compatibility" when it benefited them, but now that they dominate the digital world, it's time for it to die.

To restore competitive compatibility, we would need reform to many laws: software copyright and patents, the anti-circumvention laws that protect digital rights management, and the cybersecurity laws that let companies criminalize violations of their terms of service.

Huawei will begin charging mobile giants like Apple a "reasonable" fee for access to its trove of wireless 5G patents, potentially creating a lucrative revenue source by showcasing its global lead in next-generation networking. From a report: The owner of the world's largest portfolio of 5G patents will negotiate rates and potential cross-licensing with the iPhone maker and Samsung Electronics, Chief Legal Officer Song Liuping said. It aims to get paid despite U.S. efforts to block its network gear and shut it out of the supply chain, but promised to charge lower rates than rivals like Qualcomm, Ericsson AB and Nokia Oyj. Huawei should rake in about $1.2 billion to $1.3 billion in patent and licensing fees between 2019 and 2021, executives said without specifying which of those stemmed from 5G. It's capping per-phone royalties at $2.50, according to Jason Ding, head of Huawei's intellectual property department. China's largest technology company by revenue wants a seat at the table with tech giants vying to define the rapidly evolving field of connected cars, smart homes and robotic surgery. Battles are unfolding over who profits from 5G that may dwarf the size and scope of the tech industry's first worldwide patent war -- the one over smartphones. But having only just become a major player in 5G standards boards, Huawei is now grappling with U.S. sanctions that have all but crippled its smartphone business and threaten to hamstring its networking division abroad.

"Even as IBM has sued an increasing number of companies, its IP income has shrunk," reports Bloomberg: Intellectual property rights historically brought in more than $1 billion a year, on average, helping offset massive research and development costs and shrinking revenue. Last year, IBM's income from intellectual property was $626 million, its lowest point since 1996, and 2019 wasn't much higher. While it continues to secure license deals, they are fewer and harder-won, with companies like Airbnb Inc. and Chewy Inc. waging battles in court...

In February, online pet-food seller Chewy requested a court order to block a $36 million patent fee IBM is demanding. Chewy accused IBM of "seeking exorbitant licensing fees for early internet patents having no value." IBM's claims against Chewy include years-old inventions such as targeted advertising and content resizing based on cursor activity, both ubiquitous on the web. Chewy said IBM doesn't make or sell products covered by the vast majority of the thousands of patents it has received over the past 20 years, but instead just threatens to sue if companies don't agree to pay for licenses. IBM has not answered Chewy's complaint, and no trial date has been set.

Companies that use their IP licensing aggressively as a way to make money are often referred to as patent trolls. However, IBM's position as the largest aggregator of U.S. intellectual property is more akin to being a patent godfather, says Robin Feldman, a law professor at the University of California, Hastings. With more than 38,000 active patents in its portfolio, and thousands of license agreements bolstering its legitimacy, IBM's demands have traditionally gone unchallenged, Feldman said. Such patent godfathers, with large portfolios, are "able to make offers that can't be refused." Even some of the most innovative technology giants have licensed IBM patents over the years. Alphabet Inc.'s Google, Amazon.com Inc. and LinkedIn are among countless companies that have had to pony up.

IBM also has long served as a patent bank for young companies to jump-start their portfolios. Facebook Inc. was not yet public in 2012 when it bought 750 patents on software and networking from IBM. As Instacart Inc. prepares to go public, it purchased almost 300 IBM patents in January ranging from e-commerce to smart shopping bags.
Noting a series of Supreme Court verdicts making it easier to invalidate a patent, Feldman, the law professor, told Bloomberg that "Being the godfather isn't what it used to be. It's not that patent aggregation as a business is over. You just make less money."

Apple says a former product design employee stole information about hardware products, unannounced features and future plans and leaked them to a journalist, breaking the company's nondisclosure policies and trade secrets laws. From a report: In the the lawsuit, filed Thursday in the US District Court of the Northern District of California, Apple outlined a working relationship between a former employee, Simon Lancaster, and an unnamed journalist. The tech giant alleges Lancaster used his access at the company to download confidential information and attend meetings specifically to forward to this media contact. Apple said he attended one of his last meetings at the company, about "Project X" as it's called in the filing, after submitting his resignation despite being instructed by others not to attend. Apple Insider earlier reported the news.

"Tens of thousands of Apple employees work tirelessly every day on new products, services and features in the hopes of delighting our customers and empowering them to change the world," an Apple spokesman said in an emailed statement. "Stealing ideas and confidential information undermines their efforts, hurting Apple and our customers." Lancaster didn't immediately respond to requests for comment. Lancaster's website and LinkedIn page say he worked on product design for the MacBook Pro TouchBar, the Apple Watch and iPhone, among other devices. He's listed on more than a dozen patents and patent applications while working for the company.

Intel was told to pay $2.18 billion after losing a patent-infringement trial over technology related to chip-making. From a report: Intel infringed two patents owned by closely held VLSI Technology, a federal jury in Waco, Texas, said. The jury found $1.5 billion for infringement of one patent and $675 million for infringement of the second. Intel, the world's largest chipmaker, denied infringing either of the patents and said one was invalid because it claimed to cover work done by Intel engineers, but the jury rejected those arguments. The patents had been owned by Dutch chipmaker NXP Semiconductors, which would get a cut of any damage award, Intel lawyer William Lee of WilmerHale told jurors in closing arguments Monday. VLSI, founded four years ago, has no products and its only potential revenue is this lawsuit, he said. VLSI "took two patents off the shelf that hadn't been used for 10 years and said, 'We'd like $2 billion,"' Lee told the jury. The "outrageous" demand by VLSI "would tax the true innovators."

ZDNet reports: When it comes to defending the intellectual property (IP) rights of Linux and open-source software, global leading banks aren't the first businesses to come to mind. Things have changed. Barclays, the London-based global corporate and investment bank, and the TD Bank Group, with its 26-million global customers, have joined the leading open-source IP defense group, the Open Invention Network (OIN).

For years, the OIN, the largest patent non-aggression consortium, has protected Linux from patent attacks and patent trolls. Recently, it expanded its scope from core Linux programs and adjacent open-source code by expanding its Linux System Definition. In particular, that means patents relating to the Android Open Source Project (AOSP) 10 and the Extended File Allocation Table exFAT file system are now protected...

Besides joining the OIN, Barclay is also joining the LOT Network. This is another fast-growing nonprofit group of companies that aims to stop patent trolls in their tracks. It has more than 1,100 member companies and covers over 2 million patent assets.
Why? The "IP and Patentable Innovations Lead" at TD noted that activity from so-called patent assertion entities "continues to trend upward in the banking industry," according to ZDNet. He argues they "have become a tax on business and we're willing to explore any reasonable means to address such risks..."

The U.S. Navy has patents on weird and little understood technology. According to patents filed by the Navy, it is working on a compact fusion reactor that could power cities, an engine that works using "inertial mass reduction," and a "hybrid aerospace-underwater craft." From a report: Dubbed the "UFO patents," The War Zone has reported that the Navy had to build prototypes of some of the outlandish tech to prove it worked. Dr. Salvatore Cezar Pais is the man behind the patents and The War Zone has proven the man exists, at least on paper. Pais has worked for a number of different departments in the Navy, including the Naval Air Warfare Center Aircraft Division (NAVAIR/NAWCAD) and the Strategic Systems Programs. (SSP) The SSP mission, according to its website, is to "provide credible and affordable strategic solutions to the warfighter." It's responsible for developing the technology behind the Trident class nuclear missiles launched from Submarines. The patents all build on each other, but at their core is something Pais called the "Pais Effect." This is the idea that, "controlled motion of electrically charged matter via accelerated vibration and/or accelerated spin subjected to smooth yet rapid acceleration transients, in order to generate extremely high energy/high intensity electromagnetic fields."

Jeff Carlson, writes in a post: After consulting numerous webcam buying guides and reviews, purchasing a handful of the most popular models, and testing them in varying lighting situations, I can't escape the grim truth: there are no good webcams. Even webcams recommended by reputable outlets produce poor quality imagery -- a significant failing, given it's the one job they're supposed to provide. Uneven color. Blown highlights. Smudgy detail, especially in low light. Any affordable webcam (even at the high end of affordability, $100+), uses inadequate and typically years-old hardware backed by mediocre software that literally makes you look bad. You might not notice this if you're using video software that makes your own image small, but it will be obvious to other people on the call. [...] Why are webcams like this?

[...] Two main factors currently hinder serious webcam innovations, one a technical limitation and one a business shortcoming. As with all photography, the way to create better images is to capture more light, and the method of capturing more light is to use larger image sensors and larger lenses. That's why a consumer DSLR or mirrorless camera produces much better images than a webcam. Primarily this is about size: webcams are designed as small devices that need to fit onto existing monitors or laptop lids, so they use small camera modules with tiny image sensors. These modules have been good enough for years, generating accolades, so there's little incentive to change. The StreamCam appears to have a better camera and sensor, with an aperture of f/2.0; aperture isn't listed for the other cameras.

Contrast this technology with the iPhone, which also includes small camera modules by necessity to fit them into a phone form factor. Apple includes better components, but just as important, incorporates dedicated hardware and software solely to the task of creating images. When you're taking a photo or video with an iOS device, it's processing the raw data and outputting an edited version of the scene. Originally, Logitech's higher-end webcams, such as the C920, also included dedicated MPEG processing hardware to decode the video signal, but removed it at some point. The company justified the change because of the power of modern computers, stating, "there is no longer a need for in-camera encoding in today's computers," but that just shifts the processing burden to the computer's CPU, which must decode raw video instead of an optimized stream. It's equally likely Logitech made the change to reduce component costs and no longer pay to license the H.264 codec from MPEG LA, the group that owns MPEG patents. That brings us to the other factor keeping webcam innovation restrained: manufacturers aren't as invested in what has been a low margin business catering to a relatively small niche of customers.

Spotify has been granted a patent with technology that aims to use recordings of users' speech and background noise to determine what kind of music to curate and recommend to them. The company filed for the patent in 2018; it was approved on January 12, 2021. From a report: The patent outlines potential uses of technology that involves the extraction of "intonation, stress, rhythm, and the likes of units of speech" from the user's voice. The tech could also use speech recognition to identify metadata points such as emotional state, gender, age, accent, and even environment -- i.e., whether someone is alone, or with other people -- based on audio recording.

According to Korea's ETNews, Apple is expected to feature blood glucose monitoring via an optical sensor in the Apple Watch Series 7. MacRumors reports: The report, which mainly focuses on the blood glucose capabilities of the Samsung Galaxy Watch 4, explains that Apple is intending to bring blood glucose monitoring to the upcoming Apple Watch Series 7 using a non-invasive optical sensor. Measuring blood glucose levels, also known as blood sugar levels, is vital to managing conditions such as diabetes. Normally, measuring blood glucose requires testing a drop of blood in a blood sugar meter or using an implanted continuous glucose monitor (CGM). The ability to observe any major increases or decreases in blood glucose may raise awareness of a potential health condition or simply help to improve a user's diet.

Apple is said to have secured patents around blood glucose monitoring, and the company is now purportedly "focusing on securing reliability and stability prior to commercialization of the technology." The Apple-designed optical sensor is believed to be a skin-top continuous monitoring solution that does not require an implant. [...] The Apple Watch Series 7 is expected to arrive later this year, but there have been few rumors around what the new models may feature. While there have been reports of microLED displays and solid-state buttons with haptic feedback for the Apple Watch, these are not directly expected for the Apple Watch Series 7.

Microsoft has been granted a patent that would allow the company to make a chatbot using the personal information of deceased people. The Independent reports: The patent describes creating a bot based on the "images, voice data, social media posts, electronic messages," and more personal information. "The specific person [who the chat bot represents] may correspond to a past or present entity (or a version thereof), such as a friend, a relative, an acquaintance, a celebrity, a fictional character, a historical figure, a random entity etc," it goes on to say.

"The specific person may also correspond to oneself (e.g., the user creating/training the chat bot)," Microsoft also describes -- implying that living users could train a digital replacement in the event of their death. Microsoft has even included the notion of 2D or 3D models of specific people being generated via images and depth information, or video data.

The idea that you would be able, in the future, to speak to a simulation of someone who has passed on is not new. It is famously the plot of the Black Mirror episode "Be Right Back," where a young woman uses a service to scrape data from her deceased partner to create a chatbot -- and eventually a robot.

We're following the state of play with Intel's new CEO, Pat Gelsinger, very closely. Even as an Intel employee for 30 years, rising to the rank of CTO, then taking 12 years away from the company, his arrival has been met with praise across the spectrum given his background and previous successes. He isn't even set to take his new role until February 15th, however his return is already causing a stir with Intel's current R&D teams. From a report: News in the last 24 hours, based on public statements, states that former Intel Senior Fellow Glenn Hinton, who lists being the lead architect of Intel's Nehalem CPU core in his list of achievements, is coming out of retirement to re-join the company. (The other lead architect of Nehalem are Ronak Singhal and Per Hammerlund - Ronak is still at Intel, working on next-gen processors, while Per has been at Apple for five years.)

Hinton is an old Intel hand, with 35 years of experience, leading microarchitecture development of Pentium 4, one of three senior architects of Intel's P6 processor design (which led to Pentium Pro, P2, P3), and ultimately one of the drivers to Intel's Core architecture which is still at the forefront of Intel's portfolio today. He also a lead microarchitect for Intel's i960 CA, the world's first super-scalar microprocessor. Hinton holds more than 90+ patents from 8 CPU designs from his endeavors. Hinton spent another 10+ years at Intel after Nehalem, but Nehalem is listed in many places as his primary public achievement at Intel. [...]

A federal judge denied Apple's bid to set aside or reduce a $502.8 million patent infringement verdict favoring VirnetX, and awarded interest and royalties that could boost Apple's total payout in two lawsuits above $1.1 billion. From a report: In a decision issued on Friday, U.S. District Judge Robert Schroeder in Tyler, Texas rejected Apple's request for a new trial and several other claims. These included that VirnetX's award should not exceed $113.7 million, and that jurors should have been told the U.S. Patent and Trademark Office had deemed VirnetX's claims "unpatentable." Jurors in October found that Apple infringed two VirnetX patents related to secure networks, known as virtual private networks, to which owners of various iPhones and iPads may connect.

Apple is researching keyboards with small displays on the keys to dynamically change the label on each key, according to a newly-granted patent filing. From a report: The filing is titled "Electronic devices having keys with coherent fiber bundles" and was granted to Apple by the U.S. Patent and Trademark Office on the final patent day of this year. The patent explains how each key on a keyboard could have "an associated key display" connected to "control circuitry in the keyboard" via a "coherent fiber bundle." Apple proposes that each key would be "formed from a fiber optic plate" with "opposing first and second surfaces." While the patent stipulates that each key would need to contain a small display to provide the label, of which any compatible pixel array would work, the foremost technology put forwards by Apple is OLED. The key may be made from materials such as glass, ceramic, metal, or polymer, or even crystalline materials such as sapphire.

Canon could take a page from DJI's playback for its next camera. From a report: The company has filed a patent, first spotted by Canon News, that showcases a handheld camera that combines an Osmo Pocket-like design with its RF series of mirrorless lenses. The camera features a swivel mechanism that allows the sensor and lens mount to easily switch between forward-facing and selfie orientations. The design offers several advantages to your traditional camera when it comes to vlogging. The most notable of which is you wouldn't have to contort your hand to properly frame yourself in the shot. The fact the screen is always in front of you would also make it easier to keep tabs on your footage as it's recording.

Long-time Slashdot reader zoobab shares this update about the long-standing Foundation for a Free Information Infrastructure, a Munich-based non-profit opposing ratification of a "Unified Patent Court" by Germany: The FFII is crowdfunding a constitutional complaint in Germany against the third attempt to impose software patents in Europe, calling on all software companies, independent software developers and FLOSS authors to donate.

The Unitary Patent and its Court will promote patent trolls, without any appeal possible to the European Court of Justice, which won't be able to rule on patent law, and software patents in particular. The FFII also says that the proposed court system will be more expensive for small companies then the current national court system.
The stakes are high — so the FFII writes that they're anticipating some tricky counter-maneuvering: Stopping the UPC in Germany will be enough to kill the UPC for the whole Europe... German government believe that they can ratify before the end of the year, as they consider the UK still a member of the EU till 31st December. The agenda of next votes have been designed on purpose to ratify the UPC before the end of the year. FFII expects dirty agenda and political hacks to declare the treaty "into force", dismiss "constitutional complaints", while the presence of UK is still problematic.

An anonymous reader quotes a report from Music Business Worldwide: According to a document published last week, Daniel Ek's company is seeking a patent for its "Plagiarism Risk Detector And Interface" technology, which pertains to "Methods, systems and computer program products..for testing a lead sheet for plagiarism." As explained in the filing -- and as our songwriter/musician readers will already know -- a "lead sheet" is a type of music score or musical notation for songs denoting their melody, chords and sometimes lyrics or additional notes. Spotify's invention would allow for a lead sheet to be fed through the platform's "plagiarism detector," which would then, "having been trained on a plurality of preexisting encoded lead sheets," immediately compare the composition in question to all other songs stored in its database.

A set of messages would then be displayed -- describing a detected level of plagiarism regarding "a plurality of elements" such as a chord sequence, melodic fragments, harmony, etc. of a song. The AI software would also potentially calculate "a similarity value" of the song in question vs. other songs in the Spotify lead sheet library. These technology could work the other way around, too, says Spotify's filing, reassuring a songwriter that "the melodic fragment [of your song] appears to be completely new." One particularly interesting element of this is that it would take place in near-real time, allowing a songwriter or composer to tweak elements of their work to avoid infringement before they (and/or their record label) spent the big bucks on recording a final version. Spotify's filing adds that "in some embodiments a link to the media content item that might be infringed (e.g., a track of an album) is provided so that a [songwriter] can quickly... listen to the potentially plagiarized work."