Domain Squatters Beware

Google is watching and it may be the beginning of the end for domain-squatting companies and individuals that take advantage of domain names without paying a cent for them.   The term “front-running” was once a priority of Go-daddy CEO Bob Parsons who coined the phrase “domain kiting” and spoke out against it with a vengeance.

 Google takes a stand against exploiting domain names for profit

Google’s AdSense program would exclude those names so no one can generate advertising revenue from claiming them temporarily, a practice known as domain name tasting — the online equivalent of buying expensive clothes on a charge card only to return them for a full refund after wearing them to a party.

“We believe that this policy will have a positive impact for users and domain purchasers across the Web,” Google spokesman Brandon McCormick said.

Name tasting exploits a grace period originally designed to rectify legitimate mistakes, such as registrants mistyping the domain name they are about to buy. But with automation and a burgeoning online advertising market, entrepreneurs have generated big bucks exploiting the policy to test hoards of names, keeping just the ones that turn out to generate the most revenue.

Oddly enough, one of the major criticisms of Google’s empire is that it is quick to profit off of such kiting schemes.  It looks like the higher ups have had a change of heart and Google can now claim once again to be a proud member of the “Do No Evil” society.

Fred Soto is an Attorney and Entrepreneur from the Silicon Valley.
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