Domainmonster.com Industry News

News > February 2008

06-Feb-2008

Dell sues "Typosquatters"

Dell and its Alienware subsidiary have sued a group of domain “floggers” who they claim are making money on the back of their name. Claims that Belgiumdomains, Capitoldomains, Domaindoorman, Netrian Ventures, iHoldings.com, Juan Pablo Vazquez and 10 other un-named defendants used a technique called “typosquatting”. “Typosquatting” involves buying domains with a similar name to famous brands and slogans and then cashing in on referral advertising when the site is clicked or visited.

Dell claims that the groups that are mostly registered overseas that it had to freeze the companies’ assets and when the paperwork arrived it showed how much money the “typosquatters” were making.

Google Ad sense who’s advertising placement program was used was told to withhold $1 million collected on behalf of the defendants each month. If more than £2 million was accrued the money would be split between Google and the defendants. Google has said that it doesn’t allow ad sense campaigns on a dodgy domain name. Dell says that the companies have around a million domain names and wants $100,000 for each domain connected to its trademark.

The companies themselves deny the charges against them and that they were ever there and that it must have been someone who looks like them that did it.