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Who Invests in Spyware Companies?

NW writes "Ben Edelman just published a list of major investors in spyware companies totaling over $139 million in venture capital." Slashdot has not verified Edelman's information, and please note that harassing the receptionist at these places is unlikely to cause any change in their investment policies.

40 of 293 comments (clear)

  1. Weatherbug? by AtariAmarok · · Score: 3, Funny

    I wonder who invests in Weatherbug, the notorious spyware company that spams message boards saying "we are not spyware" ? (They have yet to install spyware that says "we do not spam").

    --
    Don't blame Durga. I voted for Centauri.
    1. Re:Weatherbug? by kenmtraveller · · Score: 3, Interesting

      I would love a good source to prove that Weatherbug is spyware. My parents use it (the full, paid for version). I had heard that it was spyware and told them so, but my brother in law, who is an executive in the IT department of a major corporation, told them it wasn't. Guess who they believed? -Ken

    2. Re:Weatherbug? by Maestro4k · · Score: 4, Interesting
      • I wonder who invests in Weatherbug, the notorious spyware company that spams message boards saying "we are not spyware" ? (They have yet to install spyware that says "we do not spam").
      For anyone who doubts Weatherbug's evilness, I can relate a concrete example of it. My Mom had been using Weatherbug, and I let her keep it because it seemed fairly harmless. Then one day last month I checked her computer and a box was popped up saying an update to Weatherbug was available, asking if I wanted to install it. I clicked no, it installed anyway.

      It took me a while to get rid of it as well, the remove program entry was broken, I had to download the crap again and install it again to finally get rid of it. I suspect it's left a few registry entries I haven't found yet.

      Weatherbug may or may not be spyware, but I'm inclined to believe it is. Legit companies don't install upgrades against your consent and make it hard as hell to uninstall their software. That is how spyware/malware generally works though.

    3. Re:Weatherbug? by lucabrasi999 · · Score: 4, Informative

      Personally, I wouldn't trust Bill Gates, but your parents might. He thinks it's spyware.

    4. Re:Weatherbug? by Maestro4k · · Score: 3, Informative
      • I would love a good source to prove that Weatherbug is spyware. My parents use it (the full, paid for version). I had heard that it was spyware and told them so, but my brother in law, who is an executive in the IT department of a major corporation, told them it wasn't. Guess who they believed? -Ken
      I can't prove it's spyware, but I can prove they do things against your wishes, see my reply to the grandparent here for more info. I'd highly recommend they get rid of it, there are alternatives that aren't evil.
    5. Re:Weatherbug? by narfbot · · Score: 3, Interesting

      Ouch. The article says that AOL complained to Microsoft over the spyware classification of WeatherBug, and Microsoft is going to remove the signatures for it now.

      Lesson learned by spyware and affliated companies: reputable companies will give in and remove you from their scanner if you pay them off.

      Our lesson: We cannot allow people to trust and buy into Microsoft AntiSpyware when it is starting to sell. (I'd say WinXP for that matter, to begin with, but that will take years to undo the damage already done)

    6. Re:Weatherbug? by Sheepdot · · Score: 4, Insightful

      What they have to say:
      http://www.weatherbug.com/aws/NotSpyware.html

      While WeatherBug is not *technically* spyware, it does serve advertisements. But so do a lot of functional websites. Big deal.

      The problem *I* have with WeatherBug is the following:
      1) It is set to automatically come up on boot. And when it does so, it serves an advertisement. Any program that pops up an advertisement is INDEED "adware" by any definition of the term.

      2) The "Typical" installation adds MySearch Toolbar, which is known to cache search terms. Why exactly do they need to store my Internet searches? Why is this installed by default?

      3) A Desktop Icon ad for Netscape. This is pointless and worse, IMHO, than popup ads. I now have to MANUALLY DELETE the advertisement automatically placed on my Desktop

      4) Ironically, when you go to "Add/Remove Programs" they beg you to reconsider uninstalling, then beg you to keep it, they'll just remove the fullscreen pop-up on boot. Why they don't offer a choice in the first place is beyond me. This is really just a rehash of point #1.

      Maybe those of us technical support geeks that loathe the software wouldn't be so offended by it if it somehow knew we were troubleshooting the owner's PC and didn't want to hear about the latest tsumani threat to the state of Iowa, or potential blizzard in San Diego while we're clearing off all the *real* spyware.

      As I know there are WeatherBug employees who are actually paid to refute online comments on forums stating that their product is adware, I openly challenge those employee to please post their definition of "adware" in a reply.

    7. Re:Weatherbug? by Maestro4k · · Score: 3, Insightful
      • Can you give some links to some? I'd love to have a program that offers similar capabilities without the evilness.
      Weather Pulse is ad free and free (as in beer). I haven't used it myself though. Here's the info blurb from their website:
      • Display popular Satellite images and video from around the globe, share images with your friends and family, stay updated on current and expected weather conditions, it's just plain fun!

        Weather Pulse is Free for use, if you enjoy the program, just let us know by dropping by our website and using our many services and software. Please feel free to suggest anything you'd like to see in future releases, your suggestions will determine the future upgrades and software development.

    8. Re:Weatherbug? by CoffeeJedi · · Score: 5, Insightful

      not only is it hard as hell to uninstall, when you go through the process it says first:
      "Stop! Do you really want to uninstall Weatherbug? It could save your life!"
      and then:
      "Click here to stop recieving LIFE SAVING hazardous weather alerts!"

      any program that tries to scare people (probably older computer users, ie: grandparents) into keeping it, is malware in my book

      --
      May you be touched by His Noodly Appendage. RAmen.
    9. Re:Weatherbug? by swv3752 · · Score: 3, Informative

      Weatherfox/ForecastFox works pretty well as an extension in Firefox.

      --
      Just a Tuna in the Sea of Life
    10. Re:Weatherbug? by SunPin · · Score: 3, Insightful

      As a veteran of 4 Hurricanes in five weeks last summer, I can declare that when the weather gets to "life threatening" levels, your computer stopped working long before that point.

      --
      Laws are for people with no friends.
  2. 007 by wolflike · · Score: 5, Funny

    MI5, FBI, CIA, the usual dated TLA arm's of the illuminati

  3. Don't have to take my word for it -- sources by bedelman · · Score: 5, Informative

    As to "Slashdot has not verified...": I've cited sources for each report of funding of each specified spyware company. See the links within my page -- just click on the "$40 million" and similar hyperlinks to see the source (news coverage, press release) reporting that funding.

    1. Re:Don't have to take my word for it -- sources by CTalkobt · · Score: 3, Insightful

      That's just Slashdot's CYA for the implicit suggestion (not to) harass them.

      Of course, I'm probably just reading it wrong.

      --
      There's a gorilla from Manilla whose a fella that stinks of vanilla and has salmonella.
    2. Re:Don't have to take my word for it -- sources by Hulkster · · Score: 3, Interesting
      One wonders if Slashdot/OSTG/etc. might have some relationship with the investors listed in the article.

      A thread further down correctly points out that the "Slashdot has not verified Edelman's information" comment is really unneccessary (and how often do we see that?) so I'm puzzled why the /. editors added it to this article?

      Been a "fan" of Ben's stuff for a while - a real service to the Internet community - keep up the good work!!!

    3. Re:Don't have to take my word for it -- sources by Blakey+Rat · · Score: 3, Interesting

      Which is actually rather refreshing... who'd have thought that we'd ever see a Slashdot article that reminds people not to be jackasses to the normal joes who work for these companies instead of harassing them with spam calls and email?

      Of course, it's posted by Michael which means the next article will probably undo all that by including some smart-ass unnecessary comment...

  4. Reads like a... by Chrontius · · Score: 5, Funny

    Reads like a hit list.

    I give it ten minutes for the DDOS to start.

  5. Slashdot has not verified Edelman's information... by Will2k_is_here · · Score: 4, Insightful

    Does Slashdot ever verify the information it links to? As if we need the disclaimer.

  6. Re:Companies... by mmaddox · · Score: 3, Informative

    You didn't understand the table. The first column is NOT the investor, but the spyware company. The SECOND column is the investment firm.

    --

    What'dya mean there's no BLINK tag!?

  7. 0wnership Society by Doc+Ruby · · Score: 4, Informative

    Remeber that "investors" are the owners. They can hide behind corporations, but the owners are responsible for the actions of their companies, even if they're not legally accountable.

    --

    --
    make install -not war

    1. Re:0wnership Society by Eric+Giguere · · Score: 3, Informative

      ... the owners are responsible for the actions of their companies, even if they're not legally accountable.

      There are different levels of legal accountability, actually. Courts will "pierce the corporate veil" when necessary to get at the people who are ultimately responsible for things. Regulatory bodies are getting more aggressive about this kind of stuff -- look at all the fuss over Nortel, where a bunch of board members have just quit and former senior executives are going to pay back millions in bonuses. You have to think carefully before being a company director these days.

      That said, I'm sure that these spyware companies are doing things in a legal manner and getting end users to agree to being spied on. Whether this is ethical is another matter, but I don't think VCs are generally out looking for the most ethical investments, they're looking for the ones that make them the most money.

      Eric
      On the lighter side: How the Vioxx recall reduced spam
  8. Who Advertises With These Firms by bedelman · · Score: 5, Informative

    I have on hand lots of information about advertisers supporting these companies. One complication is that some of the advertisers are unintentional participants -- e.g. the ads were placed by affiliates, apparently often acting without authorization by the underlying merchants. Often, the link format makes it possible to tell the difference between an affiliate's ad and an "official" ad.

    As to Gator advertisers: See Gator advertisers as of 2003 and Gator advertisers based on data from Claria's S-1 disclosure.

    In any event, I'll be updating my site with more advertiser information in the future. It's at the top of my list of priorities.

  9. Re:Slashdot has not verified Edelman's information by Wyatt+Earp · · Score: 4, Funny

    When the Editors verify it, they link the story as a duplicate post.

  10. My company should be on that list! by dynamo_mikey · · Score: 5, Funny

    My company has been giving millions of dollars to a company in Redmond Washington and some of that cash is being redirected to support a malware product known only as "Internet Explorer."

    -dynamo

  11. Love Letters by AtariAmarok · · Score: 3, Funny
    "through anonymour remailers"

    Aren't anonymour remailers reserved for letters from secret admirers?

    --
    Don't blame Durga. I voted for Centauri.
  12. harrassment... by TrebleJunkie · · Score: 5, Interesting

    "please note that harassing the receptionist at these places is unlikely to cause any change in their investment policies"

    No, but harrassing the *board* members might. That's why I love the SEC's EDGAR search. Names, and in name cases, phone numbers, for company board members.

    --

    Ed R.Zahurak

    You know, oblivion keeps looking better every day.

  13. They talk about going after spammers.... by motherjoe · · Score: 5, Insightful

    They talk about going after spammers, but maybe what they need to do is go after these companies that invest in them.

    If the spammers didn't have these companies funding them, then I dare say they wouldn't last very long.

    just .02

    --
    "Beer is proof that God loves us and wants us to be happy - Benjamin Franklin"
  14. I disagree by Concern · · Score: 5, Interesting

    "please note that harassing the receptionist at these places is unlikely to cause any change in their investment policies."

    Don't know about that. Harassing us on an inhuman scale appears to be working for them. Frankly, harassing them back, within the limits of the law of course, probably would be quite helpful. Many lobbysts and activists do far more about much less, and achieve considerable success.

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  15. Here is the dirt on Weatherbug by AtariAmarok · · Score: 4, Informative
    click here for a detailed analysis.

    If it really was not spyware, they would not feel a need to spam message boards to say it.

    --
    Don't blame Durga. I voted for Centauri.
  16. Re:Advertisers by Anonymous+Luddite · · Score: 3, Insightful

    >> a stake in the profits

    These are real companies, cutting cheques for amounts in the millions. I wonder what kind of involvement their respective legal departments have in assessing the risk of fines/lawsuits to balance against the potential of profit?

    The numbers must look O.K. even if the ethics don't...

  17. Re:Advertisers by Moderatbastard · · Score: 3, Funny
    From what I see it is a bunch of venture capitol companies; companies that provide money to startup companies in exchange for a stake in the profits.
    That's not what a "venture capitol" company is. A venture capitol company supplies something that looks vaguely similar to the White House.
    --
    1/3 of jokes get modded OT. If you get the joke, mod 1 in 3 insightful/interesting/underrated to restore karma balance.
  18. One in the same by FyberOptic · · Score: 5, Interesting

    And as if it weren't fairly obvious these days, many "spyware removal" companies are also likely to be partners with these spyware companies.

    There was a particularly nasty adware on my brother's PC once, and during my time trying to see where it came from, I happened to click on one of the ads, which boasted to help you "get rid of spyware and adware". The ad took me to a generic "search engine" page, filled with spyware/adware "removal" programs.

    But did I see things like Ad-Aware or Spybot listed? Why hell no. I saw a bunch of removal programs which I had never ever heard of in my life. And yes, they cost money.

    So answer me this; why would a piece of adware give you an advertisement on how to remove adware, unless the companies that sell you the removal software are in on it too?

    And you know that the companies know they're showing up on these adware "search engines", because there are referrer ID's in the urls. After confronting a company about it with my brother's infested PC, they of course pretended to know nothing about it. I find it very hard to believe that they could have a referrer ID from an adware search engine, and it be total coincidence.

    So yes, I'm 100% convinced that many adware companies are allied with adware removal ones, if they aren't in fact one in the same many times. Just think of how many people actually end up clicking those ads and buying that software, just because they don't know any better.

    Since adware companies are basically virus writers, with ads as their payloads, we can only hope that more laws will start to pop up to nip it in the bud. But in the meantime, perhaps Ad-Aware or Spybot can strike up some deal with vendors (if they haven't already) to include their software with machines. At least until Microsoft's adware removal tool starts shipping with Windows.

  19. The real question is ... by Anonymous Coward · · Score: 4, Interesting

    Are these same venture capital companies also investing in spyware removal companies?

    Just wondering.

  20. Big Money, Inc -- any surprises? by swb · · Score: 4, Insightful

    Does it come as a surprise that our business class would be interested in forcing software onto people they "have" to run so that they can collect information and enrich themselves?

    Does it come as a surprise that our business class generally believes that a removing consumer choice and privacy are a good thing?

    I'm kind of waiting for a significant investigative peice in the media spyware, spam and its relationship with more "traditional" businesses whose only real motivation for staying out of that space is their reputation.

  21. organized crime by dAzED1 · · Score: 4, Insightful
    how many people did Al Capone actually pull the trigger and kill?

    Same bit. I wouldn't be suprized to find some of these VC's are not just VC's, but sepecifically search out people to put up these little shops. That way, they are protected, as merely being someone who loaned the person money. Get most of the profits, with few of the liabilities.

    It would be beautiful to change that - to increase their liability. Like I already said in this post, its like going into a gun store and asking to borrow a gun so you can rob a bank, and promising most of the profits in return. The gun store, if they agreed to that, most certainly should be held liable.

  22. Not their fault, and I should care because?? by Seek_1 · · Score: 4, Insightful

    I'm sorry, but if a company out-sources their advertising to someone who uses Spyware, I still won't buy their products.

    It's up the company to ensure that their advertising partners are behaving responsibly, no one else!

  23. Example of spyware installed via security holes by bedelman · · Score: 4, Informative

    I recently made a video showing spyware installed through security holes.

    My records (packet sniffer logs, etc.) do tell me what specific exploits were used, though my public write-up doesn't include all these details. In any event, the video is certainly sufficient to validate the "hefty claim" of software installed through security holes.

  24. Receptionist by iamacat · · Score: 3, Insightful

    please note that harassing the receptionist at these places is unlikely to cause any change in their investment policies

    Of course it's pointless to be rude or demand that she personally withdraw company's investments. But you can certainly politely explain that you are a victim of their client's illegal activities and ask to contact one of the partners who has influence in decision making.

    You will not get through, but the company's management will eventually know that people keep calling and complaining about Claria. The last thing an investment company wants is a client entangled in a class action lawsuit or government investigation.

    Then again, you might be surprised. Michael Moore convinced Kmart to stop selling bullets just by talking to them - granted he brought columbine victims along. Maybe some companies don't wish to invest in scum and will turn away once the reality is fully explained to them.

  25. Kudzuware by siskbc · · Score: 3, Insightful
    Weatherbug may or may not be spyware, but I'm inclined to believe it is. Legit companies don't install upgrades against your consent and make it hard as hell to uninstall their software. That is how spyware/malware generally works though.

    Adware (like weatherbug) has just as much reason as spy/malware to install itself never to be uninstalled. This is an important point that isn't being made enough, which is that adware is damn near as bad as spyware. The distinction lets weatherbug off the hook by claiming, probably correctly, that they aren't spyware.

    I think we need a new term to describe software - of any ilk - that refuses to uninstall, or reinstalls itself, or penetrates so much of your OS that you can't uninstall it. I nominate either "cancerware" or "kudzuware" (after that lovely plant that now covers most of the US South, and is impossible to eradicate).

    --

    -Looking for a job as a materials chemist or multivariat

  26. Slashdot Turning a New Leaf? by MSTCrow5429 · · Score: 3, Funny

    Slashdot? Verify? Could this be the start of a new policy of accurate and responsible reporting at Slashdot? Maybe the CBS Report put things in perspective for them.

    --
    Slashdot: Playing Favorites Since 1997