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'Typosquatters' cash in on user mistakes

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According to the web security company McAfee, a new business phenomenon is sweeping the Internet, and like so many before it, the intentions are less than pure. Most have heard of cybersquatting, when an individual or business registers a domain that is identical or strikingly similar to the trademark of another, holding it hostage until the victim pays a large ransom. With typosquatting, the perpetrators do not even worry about the trademark owners at all.

These sinister entrepreneurs register domain names that are close to major domain names, with the exception of a few typos. For example, if you want to go to internetblog.org.uk, but you accidentally type internerblog.org.uk, you might find yourself on a site filled with nothing but ads. If you click on an ad (or in some cases even if you do not), you have just made someone money.

In 2003, the United States made it illegal for domain companies to redirect users to sites that might be deemed harmful, such as pornography. However, simply selling ads to people has resulted in only small penalties, sometimes only involving turning over the questionable domain to the trademark owner. The real victims, however, lose valuable time, and some cases even money.

Phil Lodico, vice president of the Coalition Against Domain Name Abuse, said the problem is huge and is expected to explode further with the approval of new Internet domain name suffixes such as “.car” and “.travel.”

“At minimum, it’s an annoyance; at worst it’s a threat to the stability of online transactions,” Lodico said.

Source: Detroit News

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