Friday, October 29, 2010

Google promises AdWords clarity - The Times of India

Google Inc has pledged to clarify its keyword advertising policy to settle an investigation triggered by a complaint that could have led to a fine, France's antitrust regulator said.

The Autorite de la Concurrence had been investigating Google since June after French GPS and smartphone data services company Navx accused the world's No 1 search engine of abusing its dominant position by scrapping its AdWords contract.

The AdWords service, where Google sells keywords that trigger advertisements, is the heart of the company's $23 billion online advertising operations and a pillar of commerce for Internet service providers. The French watchdog said Google's binding commitments, which are valid for three years, were sufficient to address its competition concerns.

"Google commits itself to make the functioning of its AdWords service concerning devices aimed at evading road traffic speed cameras in France more transparent and predictable for advertisers," the Autorite said in a statement.

"They provide the concerned operators with guarantees which were not recognised in the latter system, while preserving Google's freedom to define its contents policy," it said. An Autorite spokeswoman said the regulator had ended its investigation into the company. Google had restored Navx's AdWords account in June, in response to the watchdog's interim measure.

Google's pledge will also apply worldwide, the Autorite said. Google's battle to defend its advertising model was boosted by the European Court of Justice in March, in a ruling that it had not breached trademark law in a case involving Louis Vuitton and other brandname owners.

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