AIT continues battle against click fraud

HostReview.com
Tuesday, May 9, 2006; 09:11 AM

FAYETTEVILLE - AIT the lead plaintiff in a pending federal class action lawsuit against Google over click fraud in California is mounting a dual challenge to the proposed settlement in an Arkansas case on the same issue. Clarence Briggs, AIT's Chief Executive Officer, says the $90-million dollar offer leaves the central issue of fraud itself unresolved.

So, Briggs is not only pursuing the case in a California courtroom but also in a Washington hearing room. "I've gone to Capitol Hill and spoken with members of the US Senate and representatives for the Judiciary Committee," said Briggs. "We have been contacted and asked for additional information on this issue; they have told us that hearings are likely and I expect to go testify," said Briggs. "When officials see the scope of the issue, businesses losing potentially billions annually, they will find it extremely disturbing."

AIT's legal team has termed the proposed settlement as "financially meaningless" to Google. The only cash involved - about $30-million - is for attorney's fees. Click verification service providers are scratching their heads, too, wondering why advertisers would even bother to look for fraud in their pay-per-click campaigns if the effort produces no relief.

"Unchecked, fraud is only going to get worse, and this settlement strips advertisers of any protection," said Charles Petruzzi, President of Click Authority, an independent click fraud detection service. "As it is, all advertisers get is promises from the major pay-per-click providers that fraud is under control, but when the settlement says nothing about improving fraud prevention, those promises sound very hollow."

Many of the click verification service providers have expressed reservations on behalf of their clients due to fear of retribution from Google if they complain publicly or "opt out" of the settlement. "Google is a great company that has achieved some wonderful things on behalf of the Internet community," says Briggs. "We are asking them to fix this problem so the Internet can continue to be the phenomenon that enriches the lives of the global community."

AIT is also using a non-profit organization it created called iGeryon to collect information and consolidate complaints from companies who believe they have been defrauded. Briggs contends that, central to the fraud, is a sprawling affiliate network that syndicates Google AdWords advertising, with site owners being paid every time someone or an automated software program clicks on ads on their sites in order to generate false clicks. These networks are frequently located offshore, raising some questions as to where payouts are going.

"It's not a stretch to believe that activity contrary to US national interests is being funded this way," said Briggs. "Stories in several in major newspapers and magazines - The Washington Post, USA Today, Wired - have documented online communities that promote terrorism. The Internet is a fundraising tool that is difficult to audit so a terror group setting up affiliate sites and getting paid when someone or something clicks on their ads is very possible." Briggs is a former Army combat veteran as are about 70% of AIT's staffers.

About AIT, Inc.
AIT, Inc supports more than 190,000 domains in 107 countries and is a two-time Inc 500 Company and three-time Deloitte & Touche Fast 500 honoree. AIT customers benefit from a 93,000 square foot data and service center, 24/7 support, and industrial grade infrastructure. Founded in North Carolina in 1996, AIT offers e-commerce, data storage, software development, IP telephony, application hosting, and a technology training center. http://www.AIT.com