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  1. #1
    Affiliate Marketing Consultant Andy Rodriguez's Avatar
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    Exclamation Zango must pay $3 million to cover illegally obtained profits
    We get a win...slowly but surely, we are turning this around....

    http://news.com.com/Zango+reaches+se...3-6132364.html

    I love how they blame the affiliates though:

    "Zango's executives pointed a finger elsewhere, claiming that the federal violations were due to third-party distributors rather than the software manufacturer itself. "We relied too heavily on our affiliates to enforce our customer notice and consent policies,"

    This is a good day for our industry and a precedent has been set...i do feel that 3 MM is peanuts though for a fine in comparison to what they rake in, IMO of course.
    Andy Rodriguez Consulting, Affiliate Program Management and Consulting Services, Since 2001
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  2. #2
    Outsourced Program Manager Angel Djambazov's Avatar
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    I think of a few merchants who should submit comments to the FTC speaking to 180/Zango's impact. I am glad to hear about the settlement but with them only paying 3 million back seems to me they are still making a profit. But either way I am glad to see the FTC taking some sort of action.
    Angel Djambazov
    Managing Edtior ReveNews
    OPM for Keen Shoes and Graphicly.com

  3. #3
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    Their argument shifting responsibility doesn't hold water. First off, they know exactly what's going on and who's doing it, and they've been handsomely subsidizing the practice. Secondly, they're the ones responsible for whether or not the software can be easily uninstalled by the average user.

  4. #4
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    http://blog.wired.com/27bstroke6/200...sage_to_i.html

    More to come:

    "Updated: Spyware researcher Ben Edelman says he has proof that Zango hasn't really cleaned up its act and that he'll post his proof in the coming weeks."

  5. #5
    OPM and Moderator Chuck Hamrick's Avatar
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    Zango (180 Solutions) Settles With FTC
    Just got done chatting with KellieB and she showed me her blog: http://affiliatefairplay.com/newsblo...tles-with-ftc/

    Here is the news release that Zango posted, Kellie is going over it in detail and made a few comments:

    "Merchants do need to be aware the FTC is combing through Zango in general"

    "The owners have to let the FTC know where they are working for the next 10 years."

    I'll let Kellie jump in when she gets more details, news at 11:00.

  6. #6
    OPM and Moderator Chuck Hamrick's Avatar
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    Haiko, can you modify the forum name to include Zango so affiliates know they are the same companies?? Name changes may work for a short time but the long memory of the web catch up with them sooner or later.

  7. #7
    OPM and Moderator Chuck Hamrick's Avatar
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    Here's something interesting, if you look in your merchant account on CJ for zango you find Search123.com as an affiliate account. In the list of sites they show 180/zango PID 1514974 that links to http://www.zango.com.

    http://www.search123.com/ is a Valueclick company. Am I missing something here??

    http://www.zango.com sets off some hugh alarms in McAfee SiteAdvisor!!!!!

  8. #8
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    Kellie is all over the Zango/180 issue

  9. #9
    Outsourced Program Manager Angel Djambazov's Avatar
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    Here is the link to the official FTC Announcement:
    http://www.ftc.gov/opa/2006/11/zango.htm
    Angel Djambazov
    Managing Edtior ReveNews
    OPM for Keen Shoes and Graphicly.com

  10. #10
    15 years and counting
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    Too little, too late, Keith Smith should be in jail.
    Andy - This is a good day for our industry and a precedent has been set...i do feel that 3 MM is peanuts though for a fine in comparison to what they rake in, IMO of course.
    I hope it's just the beginning.

  11. #11
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    Chuck Hamrick - http://www.search123.com/ is a Valueclick company. Am I missing something here??
    No, you read it right.
    CJ and ValueClicks are part of the gang from the very beginning. Crooks.

  12. #12
    2005 Linkshare Golden Link Award Winner  ecomcity's Avatar
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    Talk about some deflective spin.... "Zango's executives pointed a finger elsewhere, claiming that the federal violations were due to third-party distributors rather than the software manufacturer itself. "We relied too heavily on our affiliates to enforce our customer notice and consent policies," said CEO Keith Smith. "Unfortunately, this allowed deceptive third parties to exploit our system to the detriment of consumers, our advertisers, and our publishing partners." Smith went on to say that Zango would "embrace the new standards" required by the FTC.

    The terms of the settlement will be open for public comment for a month; on Dec. 3, the FTC will decide whether or not to make the settlement final."

    How the Hell would it make one iota of difference whether Zango, or a distribution pimp installed this CrapWare on some families computer. The program... and what it does to infringe on consumer privacy, open backdoor security holes in infested systems for all forms of Spyware, keyloggers and other malware is built into the distribution plan. Just cause some Freebee wanks act as the smoke screen doesn't mean 180Solutions/HotBar didn't get involved in the making sure their installation fit the stealth install plan.

    Their whole existance is based upon infestation and re-infestation to force set affiliate tracking cookies or get PPCSE fees for junk or click BOT traffic. They even have a new Adware/Spyware app... Zango Messanger... http://www.stopbadware.org/reports/r...zangomessenger

    siteadvsor has them pegged...
    Webmaster's... Mike and Charlie

    "What have you done today to put real value into a referral click...from a shoppers viewpoint!"

  13. #13
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    It sure as hell isn't 3rd party sites offering zango porn downloads, they all link back to zango. They tried this lie with the whole warnerbrothers issue, blaming it on WB and playing dumb.

    Chet

  14. #14
    Content $ Queen Ebudae's Avatar
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    I am wondering who they have to pay the 3 million to?
    Ebudae


  15. #15
    Affiliate Marketing Consultant Andy Rodriguez's Avatar
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    UPDATE

    "November 21, 2006
    Group Raises Zango's FTC Commitment Issues

    By Roy Mark

    Just two weeks after Zango (the former 180solutions) settled deceptive trade practices charges with the Federal Trade Commission (FTC), a Washington public-policy advocacy group is complaining that the controversial adware distributor is not living up to its end of the deal.


    After agreeing in a settlement not to install its adware without consumers' consent, the Center for Democracy and Technology (CDT) said Monday Zango continues to fail to properly identify the source of its advertisements.

    "The FTC must make clear that it expects Zango to follow the legally binding settlement to the letter or face serious consequences," CDT Policy Analyst Alissa Cooper said in a statement.

    "If the FTC cannot enforce its settlement in this case, the Commission's authority to prevent fraud on the Internet will come under heavy scrutiny."

    On Nov. 3, Zango agreed to return $3 million in "ill-gotten gains" from its scheme to use third-party affiliates offering free software, such as screensavers, games and utilities, to install Zango adware on consumers' computers often without their consent.

    The software generated almost seven billion unsolicited pop-up ads on consumers' computers and, according to the FTC, Zango "deliberately made it difficult" to identify, locate and remove the adware once it was installed.

    Under the terms of the settlement, The Bellevue, Wash.-based Zango agreed not to install its adware without consumers' consent and to provide consumers with a way to remove the adware from their computers.

    On the day of the settlement, Zango claimed it "met or exceeded the key notice and consent standards detailed in the FTC consent order since at least Jan. 1, 2006."

    But the CDT complaint claims that as late as October, as many as 10 percent of the ads displayed by Zango lacked all forms of notice.

    "We urge the FTC to require Zango to rescind its Nov. 3 press release and issue a retraction statement," the CDT states in the complaint. "This is the best way to bring Zango's rhetoric in line with its actions and to alert Zango to the fact that deception will not be tolerated."

    In an e-mail statement to internetnews.com, Zango said, "we are reviewing the information released today. We take concerns relating to the FTC consent order announced earlier this month very seriously and welcome any and all input about our business practices and the protection of consumers."

    Zango also said Richard Purcell, CEO of the Corporate Privacy Group and the former chief privacy officer at Microsoft, has been hired to audit the company's compliance with the FTC settlement. His report is due in approximately two weeks.

    "We are working diligently to meet and exceed every single one of the requirements set forth by the FTC," Zango said in its statement. In January, CDT filed a complaint with the FTC against Zango. In the complaint, CDT identified what it called unfair and deceptive practices Zango employed in distributing its adware to millions of people over a period of two years. "

    http://www.internetnews.com/bus-news...le.php/3645006
    Andy Rodriguez Consulting, Affiliate Program Management and Consulting Services, Since 2001
    www.andyrodriguez.com | E: abw@andyrodriguez.com | P: (888) 931-ANDY (2639) | Skype: affiliatedoctor | AIM & MSN: AffiliateDoctor | Subscribe To Our ABW Forum Posts | Follow me on Twitter | Join Our Affiliate Programs

  16. #16
    15 years and counting
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    I'm not astonished. It's the way they are, these people at Zango believe their own lies.

  17. #17
    notary sojac Herb ԿԬ's Avatar
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    Lightbulb
    I'm reminded of our long thread here with the conversation from 180Solutions . . . spin on spin on spin.

  18. #18
    15 years and counting
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    Quote Originally Posted by Herb ԿԬ
    I'm reminded of our long thread here with the conversation from 180Solutions . . . spin on spin on spin.
    Remember ... It was something. Will be good to compare what this poor guy said and what they did later on. Can't find the thread anymore.

  19. #19
    notary sojac Herb ԿԬ's Avatar
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    Arrow
    so much discussion about and with 180 solutions . . . so many questions asked directly and skirted around . . .

    these are some of the past discussions with the last two mentioned below as prime examples of what spin to expect from these innovative folks:


    background:
    http://forum.abestweb.com/showthread...t=180solutions

    wash your hands after reading:

    http://forum.abestweb.com/showthread...t=180solutions

    http://forum.abestweb.com/showthread...t=180solutions

  20. #20
    notary sojac Herb ԿԬ's Avatar
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    Exclamation never got an answer to this:
    this was the question I asked in the last thread noted above:

    My sites contain a mixture of content (very original) and banner and text ads for indies and network advertisers.

    Does your company or product or users of the product(s) cause in any way a visitor to my site to see any alternate link or alternate advertising when using anything on my site?


    and of course I never got an answer.

  21. #21
    ABW Veteran Mr. Sal's Avatar
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    On Nov. 3, Zango agreed to return $3 million in "ill-gotten gains" from its scheme to use third-party affiliates offering free software, such as screensavers, games and utilities, to install Zango adware on consumers' computers often without their consent.

    The software generated almost seven billion unsolicited pop-up ads on consumers' computers and, according to the FTC, Zango "deliberately made it difficult" to identify, locate and remove the adware once it was installed.
    $3 million sounds just like just peanuts if they can get seven billion unsolicited pop-up ads on consumers' computers and, "deliberately made it difficult" to identify, locate and remove the adware once it was installed.

    That's just getting an speeding ticket for driving well above the speed limit anywhere, but while you should get a fine and some points on your driving licence if you get caught, if you hire a lawyer, you just pay the fine and get no points on your driving licence, so you can then continue to drive at any speed, and never worry about losing your driving privilege any time soon.

    Hey!

    continue 2 and continue 2



    For sure we don't need this,
    but we'll see if on 2 o 7,
    are we going to have some peace,
    or is this is going to the eleven.

    Not the eleven court of appeal,
    because we really don't need that ,
    they can keep on making a deal,
    because "frankly, my dear, I no longer give a "
    ...

  22. #22
    Outsourced Program Manager Angel Djambazov's Avatar
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    Which is why I love the fact Zango/180 Solutions AND the FTC are attending the NAI conference in December to discuss "Building Trust in Affiliate Marketing"; this spin has its own gravity well.
    Angel Djambazov
    Managing Edtior ReveNews
    OPM for Keen Shoes and Graphicly.com

  23. #23
    Domain Addict / Formerly known as elbowcreek Thomas A. Rice's Avatar
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    " Which is why I love the fact Zango/180 Solutions AND the FTC are attending the NAI conference in December to discuss "Building Trust in Affiliate Marketing"; this spin has its own gravity well. "

    I am, actually, speechless. Errr, typeless. Sometimes you just have to laugh at the sheer nerve of some companies.
    Following everyone else is a GREAT way to become average.

  24. #24
    The slot machine that IS paid! Billy Kay's Avatar
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    This is an offer from a CPA - it's so silly... it's sad:

    Zango Free Screensavers, Games, and Videos
    Payout $0.80 CPA
    Description Free screensavers, games and videos!

    Watch free vidoes, download screensavers and play all the games you want - all for free!

    Pays on every free download

    Region US Only
    May Be Incentivized Yes (Cash incentives only upon approval)


    What the above says is:

    I can make eighty cents for every computer I infect

    and...

    I can offer my visitors cash bribes to let me infect them!!!!

    Does it get any better than this in affiliate marketing
    Last edited by Billy Kay; December 5th, 2006 at 01:42 PM.

  25. #25
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    This is an offer from a CPA - it's so silly... it's sad:
    Let's say it's criminal.

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