Feeds

Intermix offers NY's Spitzer $7.5m to settle adware suit

'We did you no wrong'

  • alert
  • submit to reddit

Designing a Defense for Mobile Applications

Web marketing outfit Intermix has agreed to pay $7.5m over three years to settle an adware lawsuit brought by New York Attorney General Eliot 'The Blitzer' Spitzer. Under the terms of a tentative agreement, Intermix agrees never to distribute adware again.

Intermix - which admits no wrongdoing in the proposed settlement - claims it voluntarily stopped distributing its contentious adware, redirect and toolbar programs some unspecified time ago. Spitzer's office filed a suit against Los Angeles-based Intermix in April after a six month investigation that implicated the firm in infesting millions of home computers with nuisance programs and worse.

According to this complaint, Intermix owns and operates a wide range of web sites, including mycoolscreen.com, cursorzone.com and flowgo.com, which advertised "free" software available for download, including screensavers, screen cursors and games. Along with these programs comes invasive ad-ware programs which allegedly get installed without the consent of consumers visiting these sites. Among these malign programs are KeenValue, which serves pop-up ads and IncrediFind, which redirects web addresses to Intermix's proprietary search engine. Other programs placed advertising "toolbars" on users' screens.

Intermix said these accusations relate to historical business practices which it has already dropped. It claims to have further cleaned up its act by creating a position of chief privacy officer and joined industry self-regulation group, the Network Advertising Initiative, since Spitzer's lawsuit was filed in April. Both sides of the argument reckon a final agreement, which needs to be court approved, is two or three weeks away.

News of the tentative settlement agreement came on Tuesday after Intermix posted a Q4 net loss of $409,000 compared with a loss of $4.4m last year, Reuters reports. Intermix shares rose 71 cents, or 12 per cent, on Wednesday morning trading on the American Stock Exchange following news of the settlement and its financial results, AP reports. ®

Related stories

Adware-infected PCs net slimeware firms $3 a pop
Spitzer the Blitzer goes after music label payola
Spam King dodges $20m big stick
'Spamford' Wallace agrees to stop spyware assault

Using blade systems to cut costs and sharpen efficiencies

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.