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Google click fraud case

p2p news / p2pnet: Google is trying to short-change Radiator.com and thousands of other advertisers by offering refunds totaling $60 million to settle a lawsuit, says the director of internet marketing for Radiator.com.

"It’s almost like an insult that they expect us to take this token money,” the Associated Press has Radiator’s John Thys saying.

Google had agreed to pay some $60 million in lawsuits alleging search companies over-charge some advertisers by billing them for false customer leads.

"The refunds, which will be provided in the form of advertising credits, are meant to compensate Google’s customers for undetected click fraud, which contributed to the $13.3 billion in ad revenue that has poured into the company since 2001," says the story, going on:

"Google’s offer works out to a $4.50 refund on every $1,000 spent in its vast advertising network over the past 4 1/4 years."

It also expects to pay $30 million to the lawyers who settled the case on behalf of advertisers, raising the settlement’s total value to as high as $90 million, says AP, pointing out the sum is a mere fraction of the more than $10 billion in cash Google holds.

Nor are advertisers the only ones affected. Sites such as p2pnet are being falsely accused of generating fake clicks.

Google makes the accusations but refuses to substantiate its claims, also refusing to pay the money it owes.

Meanwhile, the company says its class-action settlement represents a fair offer that underscores how well it has shielded advertisers from the costs of click fraud, states AP, adding:

"The class-action settlement of the Arkansas lawsuit will likely test advertisers’ faith in Google. The company is supposed to send out notices of the settlement later this month, giving advertisers until late June to reject or protest the refund offer. Radiator.com already has decided to reject the offer."

Also See:
Associated PressClick fraud concerns hound Google despite class-action settlement, May 8, 2006

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2 Responses to “Google click fraud case”

  1. Reader's Write Says:

    Whats not to understand here on Google’s actions? Its their new business strategy. Accuse their advertisers of click-fraud in order not to pay them and then give them back a small fraction of the money owed. Funny how Google’s motto is “not to be evil” when their actions are exactly against that they are “evil”. I still use Google search, and Gmail but other than that I dont support and use Google at all. I won’t even use their Adsense, which is more like Adnonsense. There are smaller sites and which don’t accuse and run.

  2. Reader's Write Says:

    Here, any google executives that happen to read this site – pay freaking attention to this internet basic logic that most ppl who’ve been around already know.

    Avoid lawsuits: Run an active script to monitor ip hits. Only allow an ip address ONE credited hit per 24 hour period PER site. All other clicks/views of ad’s would be uncredited.

    Lawsuits would never exist and neither would the moronic ad-senseless account problems.

    Get a clue google – before Microsoft 0\/\/N3Z ya!

    Just my 10 cents, lol!
    _-Jile-_

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