In an interview with Andy Beal, Google’s business product manager for trust and safety, Shuman Ghosemajumder, has clarified that Google’s click fraud rate is less than 2% of all “invalid clicks”, which means the actual number is more likely just a fraction of one percent! This in contrast to the 20% or so that most click fraud agencies report. Andy was able to gain inside access to information never before seen outside of the walls of the Googleplex. Whether that was intention or not, it proves that the click fraud rate discovered by most AdWords advertisers is on average less than 2% of all clicks through Google’s system.
A class action lawsuit has been against Yahoo! in a New Jersey federal court accusing them of encouraging click fraud through use of spyware and adware products. Additionally the suit claims that Yahoo! allows ads to be displayed on “typosquatter” Web sites that capitalize on misspellings of popular trademarks or company names. Supposedly, the plaintiffs are looking to settle out of court before case goes to trial.