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It might be a common scheme, but it is still playing a game that doesn't reflect reality, but enables Google to evade taxation. Google didn't develop the technology in Ireland, and the subsidiary only exists to help Google evade taxation.
I might be old fashion or a socialist or communist or something, but I believe a company shouldn't work to dodge the taxes of the country it is founded in. If Google does not like the tax policy, they can lobby against it. Entertaining this Irish strategy is not admirable, and it hurts US citizens. Google would not exist but for an infrastructure built with US tax dollars. This behavior might be legal. It might be strategic. But it is unethical and driven by greed.