Direct Revenue

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Direct Revenue is a New York City company founded in 2002, known for creating spyware or adware programs. Direct Revenue includes Soho Digital and Soho Digital International. As of October 2007, Direct Revenue has closed its doors.

[edit] History

In November 2004, Avenue Media filed a lawsuit against Direct Revenue for deleting Avenue Media's Internet Optimizer program from user's computers. [1]

In January 2005, Direct Revenue was involved in a controversy over installation with Windows Media Player files. [2]

In February 2005, the Avenue Media lawsuit was dropped with a non-public settlement. [3]

In April 2005, a class action lawsuit was filed against Direct Revenue by attorney David J. Fish. [4]

In June 2005, Direct Revenue filed a motion to dismiss the lawsuit. [5] Direct Revenue was also involved in a controversy over BitTorrent distribution.[6]

In July 2005, Direct Revenue was involved in a controversy over installation with MSN Messenger worms. [7]

In August 2005, judge Robert W. Gettleman allowed the class action lawsuit to proceed. [8] Direct Revenue was also involved in a controversy over installation at a child porn site. [9]

In September 2005, Direct Revenue ended Third-Party Affiliate Distribution of its adware client. [10]

In October 2005 Direct Revenue entered an agreement to distribute its adware client with Kazaa. [11]

On April 4, 2006, New York state Attorney General Elliot Spitzer filed suit against DirectRevenue in New York County Supreme Court, alleging that the company's software violates New York's General Business Law with its "drive-by downloads". [12]

On February 16, 2007, DirectRevenue settled with The Federal Trade Commission, and will no longer engage in 'drive-by downloads' or what the FTC deems deceptive practices. They will also pay a settlement of "$1.5 Million in Ill-Gotten Gains for Unfair and Deceptive Adware Downloads." [13] [14]

On June 26, 2007 the FTC issued final approval of the $1.5 million settlement.[15]

Commissioner Leibowitz dissented, saying:

"The consent order in this matter, to which the Commission has now accorded final approval, includes strong injunctive relief that will put an end to practices that allowed DirectRevenue to foist unwanted software on untold millions of consumers. The injunctive provisions, like those in Zango, Inc., f/k/a 180 Solutions, Inc., will serve as a model to adware companies in future. But the $1.5 million in monetary relief that the Commission obtained as part of the consent order is a disappointment because it apparently leaves DirectRevenue’s owners lining their pockets with more than $20 million from a business model based on deceit." [16]

[edit] Programs created

  • Aurora
    Released April 2005 [17], Aurora is an adware client most infamous for the nail.exe component. [18] The Aurora client has been criticised for several practices: [19]
    Filenames with descriptions like "System Startup Service" or svcproc.exe, which could sound like important parts of Windows to some people.
    Randomly-generated filenames like qvbdnifharv.exe and dbwqis.exe to make identification difficult.
    Putting files in the Windows folder rather than a properly labelled branch of the "Program Files" folder
    Not putting full information into the file properties section of its executable.
    Multiple processes that restart each other if one is terminated.
    Not including an uninstaller, but requiring users to go to MyPCTuneUp.
    Starting from the "Shell" location, which is intended for the main interface Windows users interact with.
  • BetterInternet
    Released mid-2003, [22] BetterInternet is another adware client. [23] It is also used as an umbrella term for several of these other adware clients.
  • Blackstonedata Transponder
  • BTGrab
  • Ceres
  • DLMax
  • LocalNRD
  • MSView
  • MultiMPP
  • MXTarget
  • MyPCTuneUp
    MyPCTuneUp is the uninstaller that DirectRevenue provided for their software.
  • OfferOptimizer
  • Pynix
  • SolidPeer
  • TPS108
  • Twaintec
  • VX2 RespondMiter
  • Zserv

[edit] External links