A snip from the article to clue folks in before clicking:
Typed too fast? Google profits from your typo
By Leslie Walker and Brian Krebs
The Washington Post
Google, which runs the largest ad network on the Internet, is making millions of dollars a year by filling otherwise unused Web sites with ads. In many instances, these ad-filled pages appear when users mistype an Internet address, such as "BistBuy.com."
This new form of advertising is turning into a booming business that some say is cluttering the Internet and could be violating trademark rules. It also triggered a speculative frenzy of investment in domain names, pushing the value of some beyond $1 million.
Google specifically bars Web addresses that infringe on trademarks from using its ad network, but a review of placeholder Web sites that result from misspelled domain names of well-known companies found many of the ads on those pages come directly from Google.
"It seems very hard to reconcile Google's support of this activity with their 'Do No Evil' motto," said Ben Edelman, a Harvard University researcher who has looked extensively into advertising on unused domains.
Google is defending its business practices, saying it removes participating sites from its ad network if a trademark owner complains those sites are confusingly similar.
"Unless it is confusing to somebody, trademark law doesn't apply," said Rose Hagan, Google's chief trademark lawyer.
The Silicon Valley search giant is the largest but not the only ad network showing ads on placeholder Web pages. Yahoo! and Australian firm Dark Blue Sea run similar services.
This form of online advertising relies on "type-in traffic": users who type the information they're looking for into the Web browser's address bar instead of using a search engine. Industry analysts estimate 15 percent of Web traffic originates this way.
That has created a demand for domain parking, which involves owners of a domain name "parking" that name with a firm that creates placeholder pages and then inviting Google or other Internet ad networks to fill them with ads.
When Web surfers arrive at those sites and click on those ads, Google and Yahoo! get paid by advertisers for that click and share their revenue with the owners of the domain names.
-Allan :gl: