Cingular, Travelocity, Priceline Admit To Shady Adware Tactics
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Written By Kate Zimmermann | January 30, 2007 | Share This
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Cingular, Travelocity and Priceline have reached a settlement agreement with New York investigators for shady adware practices. This is the first time that advertisers have been held legally responsible for using an agency that distributes adware. CNET writes,
“The settlement calls for Priceline.com, Travelocity and Cingular, the wireless unit of AT&T, to pay New York $35,000, $30,000 and $35,000, respectively, to cover penalties and investigatory costs.
“Advertisers can no longer insulate themselves from liability by turning a blind eye to how their advertisements are delivered, or by placing ads through intermediaries, such as media buyers,”"
Under the agreement, Priceline, Travelocity and Cingular will be required to properly label any future ads, obtain user consent to download adware, and make it easy for users to remove any adware programs. Though costly for the companies involved, this is a positive step for online advertising transparency.
Discussion
- Companies Agree to Settle Adware Suit (Forbes)
- Cingular, Priceline, Travelocity Settle Adware Suit (BizReport)
- Despite Tiny Fines, NY Settlement Could Push Big Brands From Adware (ClickZ)
Topics: Advertising: Distribution, Advertising: Online, Legal Issues |