March 29th, 2007

Google, Online Ad Giant, Looks at Radio and TV

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SAN FRANCISCO, March 28 — If there were any doubts about the scope of Google’s ambitions in the advertising world, one of its recent job postings should dispel them: It seeks a “head of national TV sales” to help build “a world-class national TV advertising sales team.”

Then there is radio. Google’s chief executive, Eric E. Schmidt, said last year that the company would eventually have 1,000 employees dedicated to radio advertising alone.

Google may one day rock the television and radio advertising markets. But its TV plans have yet to take shape, and its other efforts to extend its dominance over online advertising into offline media like newspapers and radio are inching along. The early results are mixed, suggesting that Google’s successful transition from online kingpin to credible player in traditional media is far from assured.

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March 22nd, 2007

Google mobile phone

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Google quashes mobile phone talk from The Sydney Morning Herald reports that Google said they will not be selling a phone. Richard Kimber of Google’s South-East Asia managing director of sales and operations and Google’s chief internet evangelist, Vinton Cerf said that building out a phone would change Google’s business model. Google is in the software business and not the hardware business. The quote pulled from is Search Engine Room conference in Sydney “At this point in time, we are very focused on the software, not the phone.” So Google is still going to likely build out more software for mobile devices, possibly a phone OS but they will not build out the hardware.

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March 6th, 2007

United States, The European Union and Internet Gambling

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During the past few months we have seen a big change in the web gambling industry, with some countries leaning towards a ban, others making it legal.

Most people don’t realize that everything started in the United Kingdom - they were the first big and powerful country to legalize online gambling, and start giving licenses to online gaming companies. Companies such as Party Gaming and 888 Holdings came out of the shades and became publicly trading companies.

With the United States being the major target for online gambling, despite the gray situation surrounding web betting and wagering (since it was not necessary over a wire), many U.K. licensed companies started advertising for the U.S. market and made it their main supplier of players.

But the biggest mistake that one could have ever made was to take advertising for online casinos and poker rooms out of the internet and move it into the TV. It seemed kind of “OK” to do it on the Internet, but after you brought the gambling to the millions of television sets - it got some unwanted attention and awareness.

The American Way

So in September, in the last hours of the Senate’s workday, a bill was attached to the unrelated Port Security Bill, and financial transactions to online betting and wagering websites became illegal. Many failed to notice that this amendment did not make online gambling illegal - you could still go online and play poker without any fear of prosecution - it just made the thousands of banks in the U.S. criminals. It was a very poor “regulation” which is doing nothing about anything, but it served its purpose - to give a few republican senators an extra tool for the upcoming elections, especially among their Christian voters. And to show how uninformed of this matter the sponsors of this bill are - the question of how would the banks weed out transactions intended to gambling websites, out of the millions of money transfers occurring every hour, has one and only answer - they simply can not do it. They could try and stop transactions to major third-party funding tools, such as Neteller, but the online casinos will come with more new ways to help you loose that dollar.

And lets not forget that this is a violation of our rights to choose when, where and how we spend our hard earn money. It’s called freedom of choice.

The European Union Way

Well, things look better there, but not by much. Internet gambling legislation comes to show people that the Union is not united, and it will take a long time before it is.

United Kingdom was the first from the E.U. countries to legalize online gambling. The Italy joined, after a 2 year ban. Now Spain has followed suit and is making gambling on the web legal. However, Germany just tried to introduce a federal online gambling ban. Three of the German states already have local laws prohibiting wagering on the internet. France is also introducing similar bills trying to make gambling on the Internet illegal in their country. And all this, despite the fact that the European Trade Commission is trying to spread the legalization of online gambling throughout the Union.

Internet Gambling

So where is Internet gambling heading to?

The recent legislation in the U.S. made a lot of online casinos shut their doors to American players. Almost 40% of the online casinos do not accept players from the United States. However, there are a few “risk takers” who realized that - they are not located in U.S. jurisdiction, and any anti gambling laws passed in the USA do not concern them, as they are being protected by the Free Trade Agreement, so they continued to welcome players from all over the world.

Other online gambling companies have taken the more cautious way, and stop accepting players from any U.S. state that has legal offline gambling. Although we are not sure why this decision was taken, we can speculate that they are trying to avoid stepping on someone’s toes.

And then there was the new that Las Vegas Sands - an U.S. casino company, is opening an online casino, targeting U.K. players. It’s obvious that this move is nothing more than testing the waters for future online gambling market in the States.

There is only one way ahead - and that is - to legalize, regulate and tax online gambling companies, rather than try to ban them. On the fun side, let’s just hope we don’t see the Bush administration announce a “War on online gambling”. But then again, who will win?

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March 1st, 2007

Google Offers More Click Fraud Data

Invalid clicks on Google AdWords ads have consistently remained under the 10-percent mark, and are generally in low single-digits, Google revealed today. In addition, the amount of invalid clicks that are not proactively detected and are caught by advertisers is less than 0.02 percent, according to Google’s Shuman Ghosemajumder.

Google advertisers have been clamoring for a hard number to put on click fraud for years, but Google has been unwilling to share specifics. The company has often said that revealing too much would make it easier for fraudsters to take advantage of the system, which has frustrated advertisers who want to know where their money is going.

This revelation is the latest in a series of moves designed to offer more transparency to advertisers, said Ghosemajumder, Google’s business product manager for trust & safety. Google has come under fire from lawsuits, click fraud reporting firms, and advertisers in recent months, all looking for more granular details on the level of invalid clicks occurring in the AdWords system.

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