The Strategist

Google Suspended Fraudsters Apps

07/24/2015 - 16:47

Yesterday, Google has stopped the sale of a number of applications in its online store Google Play over concerns about the fact that these applications are helping to cheat advertisers. More than 5 thousand of applications use hidden advertising, which is allegedly shown to users, when in fact they do not see it. Advertisers are losing about $ 850 million a year on this.
According to the American newspaper The Wall Street Journal, Google Inc. on Thursday suspended the sale of several applications in its online store Google Play after it was reported that these applications help to cheat advertisers. According to the company Forensiq, specializing in detecting this type of fraud, such applications have installed a number of hidden advertising banners that people do not see. According to research published yesterday by Forensiq, the company has identified about five thousand apps using the invisible advertising. According to the company, advertisers lose about $ 850 million payments for advertising a year on this fraud.

Forensiq found that some devices are loaded with advertising with such a velocity that ordinary people cannot even see it. The company held a ten-day experiment: 1% of smartphones in the US and 2-3% - in Europe and Asia got installed applications with the invisible advertising, some of the apps shown to 20 ads per minute. A few games, such Waxing Eyebrows, Celebrity Baby and Vampire Doctor, are among such proposals along with Sevenlogics developer. According to The Wall Street Journal, Google spokesman said the company suspected sale of this application in Google Play due to violation of company policy. Details were omitted.

Last week, Google reported second-quarter revenue of the corporation grew during this period by 11%, to $ 17.7 billion, and net profit - by 17%, to $ 3.93 billion. The main reason for the good quarterly results - growth in advertising revenue. Revenue from online advertising grew by 11%, to $ 16.02 billion, and the number of display ads - 18%. Advertisers pay Google only when a user clicks the message - the so-called pay per click. Thus, such a fraud is not profitable for Google either, as the company does not receive a fee if the user does not follow the advertising link.