Claria Corporation
{{Short description|American software company}}
{{Redirect|Claria|the genus of rotifers|Claria (rotifer)}}
{{Cleanup rewrite|this article is heavily editorialized|article or section|date=February 2022}}
{{Original research|article|date=January 2008}}
{{Infobox company
| name = Claria Corporation
| logo = Gator eyes 125x37.gif
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| former_name = Gator Corporation
| founded = {{start date and age|1998}}
| founders = Denis Coleman, Sasha Zorovic, Mark Pennell
| defunct = {{end date and age|2008|10}}
| hq_location_city = Redwood City, California
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Claria Corporation (formerly Gator Corporation{{cite web|url=http://gator.com:80/|archive-url=https://web.archive.org/web/20031122204000/http://gator.com:80/|url-status=dead|archive-date=22 November 2003|title=The Gator Corporation is now Claria Corporation|author=|date=22 November 2003|website=gator.com|via=archive.org|accessdate=18 April 2018}}) was a software company based in Redwood City, California that invented “Behavioral Marketing”, a new form of online advertising. It was founded in 1998 by Denis Coleman (co-founder of Symantec), Stanford MBA Sasha Zorovic (Saša Zorović),{{cite web |last1=Blum |first1=Erik |last2=Giarrusso |first2=Frederick |last3=Zorovic |first3=Sasha |last4=Tatum |first4=C. B. |title=TR095: Decision Analysis Techniques for Integration Technology Decisions |url=https://purl.stanford.edu/sp252xp4662 |access-date=17 December 2024 |language=en}}{{cite web |last1=Holt |first1=Zach |title=Impel Announces Two New Executive Hires |url=https://impel.ai/blog/impel-announces-two-new-executive-hires-to-support-accelerating-company-growth/ |website=Impel AI |access-date=17 December 2024 |date=14 February 2019}}{{cite web |title=Advisor360° Welcomes New Chief Financial Officer Saša Zorović |url=https://www.businesswire.com/news/home/20211118006123/en/Advisor360%C2%B0-Welcomes-New-Chief-Financial-Officer-Sa%C5%A1a-Zorovi%C4%87 |website=businesswire.com |access-date=17 December 2024 |language=en}}{{cite web |title=Saša Zorović, Chief Financial Officer. |url=https://www.dtiq.com/team/sasa-zorovic |website=dtiq.com |access-date=17 December 2024 |language=en}}{{cite press release |author1=V12 Data |title=V12 Data Appoints Saša Zorovic as Chief Operations Officer and Chief Financial Officer |url=https://www.prnewswire.com/news-releases/v12-data-appoints-saa-zorovic-as-chief-operations-officer-and-chief-financial-officer-300468065.html |website=prnewswire.com |access-date=17 December 2024 |language=en}} and engineer Mark Pennell, based on work Zorovic had done at Stanford. In March 1999 Jeff McFadden was hired as CEO and Zorovic was effectively forced out.
Its name was later used interchangeably with its Gain advertising network, which it claimed serviced over 50 million users. Claria exited the adware business at the end of second quarter 2006,[https://web.archive.org/web/20060324060642/http://www.claria.com/companyinfo/press/releases/pr060321.html Claria exiting adware business] from Claria. Archived March 24, 2006 from http://www.claria.com/companyinfo/press/releases/pr060321.html and eventually shut down completely in October 2008.
The "Gator" (also known as Gain AdServer) products collected personal information from its unknowing users, including websites visited and portions of credit card numbers{{cite web|url=http://www.spamlaws.com/claria-spyware.html|title=Claria Spyware|author=|date=|website=www.spamlaws.com|accessdate=18 April 2018}} to target and display ads on the computers of web surfers. It billed itself as the "leader in online behavioral marketing". The company changed its name to Claria Corporation on October 30, 2003 in an effort to "better communicate the expanding breadth of offerings that [they] provide to consumers and advertisers", according to CEO and President Jeff McFadden.
Products
=== Gator ===
Originally released in 1999, Gator was most frequently installed together with programs being offered free of charge, such as Go!Zilla, or Kazaa. The development of these programs was partially funded by revenue from advertising displayed by Gator.{{Citation needed|date=January 2008}} By mid-2003 Gator was installed on an estimated 35 million PCs.{{Cite news |last=Hagerty |first=James |date=2003-08-27 |title=A New Battleground In Web Privacy War: Ads That Can Snoop |language=en-US |work=The Wall Street Journal |url=https://www.wsj.com/articles/SB106192877175218500 |access-date=2022-10-17 |issn=0099-9660}}
Even though Gator was installed with an uninstall available via Add/Remove Programs in the Control Panel on Microsoft Windows,[http://research.sunbelt-software.com/threatdisplay.aspx?name=Claria.Gator.eWallet&threatid=3722 Claria.Gator.eWallet] {{webarchive|url=https://web.archive.org/web/20080418063741/http://research.sunbelt-software.com/threatdisplay.aspx?name=Claria.Gator.eWallet&threatid=3722 |date=2008-04-18 }} many spyware removal tools can also detect and remove it.[http://www.safer-networking.org/en/threats/201.html The home of Spybot-S&D!] {{webarchive|url=https://web.archive.org/web/20110605141701/http://www.safer-networking.org/en/threats/201.html |date=2011-06-05 }}{{cite web|url=http://www.symantec.com/security_response/writeup.jsp?docid=2003-080410-3338-99&tabid=2|archive-url=https://web.archive.org/web/20090304000103/http://www.symantec.com/security_response/writeup.jsp?docid=2003-080410-3338-99&tabid=2|url-status=dead|archive-date=March 4, 2009|title=Adware.GAIN - Symantec|author=|date=|website=Symantec|access-date=18 April 2018}} Gator's end user license agreement attempted to disallow its manual removal by prohibiting "unauthorized means" of uninstallation.
The Gator software undercut the fundamental ad-supported nature of many Internet publishers by replacing banner ads on web sites with its own, thereby depriving the content provider of the revenue necessary to continue providing that content. In June 2002 a number of large publishers, including the New York Post, The New York Times and Dow Jones & Company, sued Gator Software for its practice of replacing ads.{{cite news |title= Publishers sue Gator over pop-ups |work= cNET.com |author= Stefanie Olsen |date= June 27, 2002 |url= http://news.cnet.com/2100-1023-940072.html |accessdate=April 12, 2011 }}
Most of the lawsuits were settled out of court in February 2003.{{cite web|url=https://law.justia.com/cases/federal/district-courts/FSupp2/250/421/2381159/|title=Hertz Corp. v. the Gator Corp., 250 F. Supp. 2d 421 (D.N.J. 2003)|author=|date=|website=justia.com|accessdate=18 April 2018}}
Gator attempted to combat spyware labels with litigation. In September 2003 the company threatened sites such as PC Pitstop with libel lawsuits.{{cite news |title=See you later, anti-Gators? |work= cNET.com |author= Paul Festa |date= October 22, 2003 |url= http://news.cnet.com/2100-1032_3-5095051.html |accessdate=April 12, 2011 }}
As part of a settlement signed Sept. 30, (2003), PC Pitstop--which scans computers for hostile and otherwise undesirable code--removed pages from its Spyware Information Center with such titles as "Is Gator Spyware?" and the "Gator Boycott List."{{cite web|url=https://www.cnet.com/news/gator-foe-bitten-but-still-not-shy/|title=Gator foe bitten, but still not shy|author=|date=1 December 2003|website=cnet.com|accessdate=18 April 2018}}[http://www.pcpitstop.com/gator/default.asp Gator Information Center] {{Webarchive|url=https://web.archive.org/web/20050701080044/http://www.pcpitstop.com/gator/default.asp |date=2005-07-01 }} (Claria) - PC Pitstop
In February 2004, Gator made a confidential settlement of litigation brought against it by seven top newspaper publishers, including The Washington Post, the New York Post, The New York Times, and Dow Jones.{{cite web|url=https://www.cnet.com/news/web-publishers-settle-with-gator/|title=Web publishers settle with Gator|author=|date=7 February 2003|website=cnet.com|accessdate=18 April 2018}} The Washington Post, L.L. Bean and Extended Stay America suits were similarly settled.[http://www.oblon.com/content/uploads/2015/04/169.pdf A REVIEW OF 2 ONLINE POP-UP ADVERTISERS AND 4 INTERNET LAW DECISIONS] {{Webarchive|url=https://web.archive.org/web/20180419120507/http://www.oblon.com/content/uploads/2015/04/169.pdf |date=2018-04-19 }} Jason Allen Cody, Spring 2004, University of Pittsburgh School of Law, Journal of Technology Law and Policy "Washington Post.Newsweek Interactive Co., LLC., et al. v. The Gator Corp., 2002 WL 31356645 (E.D. Va. 2002). Following the court’s granting of the preliminary injunction, Gator settled the publishers’ lawsuit. A number of businesses (e.g., L.L. Bean, UPS, Extended Stay America, Wells Fargo, Quicken Loans and Teleflora) filed subsequent lawsuits against Gator and Claria Corporation, these suits were similarly settled."{{cite web|url=http://cyber.law.harvard.edu/people/edelman/ads/gator/|title=Documentation of Gator Advertisements and Targeting|author=|date=|website=cyber.law.harvard.edu|accessdate=18 April 2018}}{{cite web|url=http://cyber.law.harvard.edu/people/edelman/gator|title=Edelman Expert Declaration - Washington Post et al. v. the Gator Corporation|author=|date=|website=cyber.law.harvard.edu|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/news/060404-1.html|title=Dell's Spyware Puzzle – Ben Edelman|author=|date=4 June 2004|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/news/112904-1.html|title=Gator's EULA Gone Bad – Ben Edelman|author=|date=29 November 2004|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/spyware/claria-license|title=Claria License Agreement is Fifty Six Pages Long|author=|date=|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/news/010405-1.html|title=Claria's Practices Don't Meet Its Lawyers' Claims – Ben Edelman|author=|date=4 January 2005|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/spyware/p2p/|title=Comparison of Unwanted Software Installed by P2P Programs|author=|date=|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/spyware/installations/ezone-claria/|title=Claria's Misleading Installation Methods - Ezone.com|author=|date=|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/news/101805-1.html|title=Claria Shows Ads Through Exploit-Delivered Popups|author=Ben Edelman|date=18 October 2005|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=http://www.benedelman.org/news/111505-1.html|title=What Claria Doesn't Disclose (Any More)|author=Ben Edelman|date=15 November 2005|website=www.benedelman.org|accessdate=18 April 2018}}{{cite web|url=https://cyber.harvard.edu/archived_content/people/edelman/ads/|title="Adware" -- Research, Testing, and Suits|author=Ben Edelman|date=|website=cyber.harvard.edu|accessdate=18 April 2018}}{{cite news|url=https://www.theglobeandmail.com/technology/harvard-study-wrestles-with-gator/article23004897/|title=Harvard study wrestles with Gator|author=|date=22 May 2003|publisher=|accessdate=18 April 2018|newspaper=The Globe and Mail|last1=McCullagh|first1=Declan}}
= Other defunct applications =
Gator corporation released a suite of "free" Internet applications that performed various tasks.{{cite news |url=http://www.spywareloop.com/news/claria-corporation |title=Claria Corporation in SpyWareLoop.com |author=Vincentas |newspaper=Spyware Loop |date=16 July 2013 |accessdate=27 July 2013 |archive-date=16 December 2014 |archive-url=https://web.archive.org/web/20141216150853/http://www.spywareloop.com/news/claria-corporation |url-status=dead }} However, after installing the applications, a user would continually be shown ads from the Gain network, even when the programs were not running in the foreground. This suite included:
- Gator - Gator itself was initially marketed as a password keeper.
- eWallet - a program that will automatically fill in personal information on webpages from a stored set of data entered by the user.
- GotSmiley
- Dashbar - an advertisement supported search toolbar by Claria. Intrusive in that it displays pop up ads during an Internet browsing session.
- Date Manager
- Precision Time
- Screenscenes
- Weatherscope
- WebSecureAlert
While using the software, a user was shown advertisements. According to Computer Associates' spyware information center, all applications in the suite are classified as both adware and spyware, as they both display ads unrelated to the product while the primary user interface is not visible. These programs all employ the user's Internet connection to report behavior information back to Claria.Center for Democracy & Technology (2003), "[http://www.cdt.org/privacy/031100spyware.pdf Ghosts in our Machines: Background and Policy Proposals on the 'Spyware' Problem]". Footnote 3. Although the user's explicit consent is always required to install these applications, Claria took advantage of the fact that most users choose not bothering to educate themselves about what they are installing. In most cases, during the install process, users must choose whether to install the "free" version (which serves lots of ads as described above) or to pay the $30 for a version that serves no ads. Since the announcement to shut the ad network down, Claria has stopped accepting payment for "ad free" versions.eTrust Spyware Encyclopedia - claria.ewallet from Computer Associates. Accessed from http://www3.ca.com/securityadvisor/pest/pest.aspx?id=453094092 {{Webarchive|url=https://web.archive.org/web/20050831070739/http://www3.ca.com/securityadvisor/pest/pest.aspx?id=453094092 |date=2005-08-31 }}.
Backers
Despite its unpopular reputation, Claria Corporation received backing from major venture capital firms, including Greylock, Technology Crossover Ventures, and U.S. Venture Partners. Andy Bechtolsheim was an early investor.{{cite news |title= Barbarians at the Digital Gate |newspaper=The New York Times |author= Timothy L. O'Brien and Saul Hansell |date= September 20, 2004 |url= https://www.nytimes.com/learning/teachers/featured_articles/20040920monday.html |accessdate=April 12, 2011 }}
They filed for a $150 million IPO in April 2004, stating income of $35 million on revenues of $90 million in 2003.{{cite news |title= Gator mutation Claria files for IPO |work= cNET.com |author= Stefanie Olsen |date= April 8, 2004 |url= http://news.cnet.com/Gator-mutation-Claria-files-for-IPO/2100-1030_3-5187747.html |accessdate=April 12, 2011 }}
Investors were concerned that its practices might be illegal, at least in Utah at the time.{{cite news |title= Claria: The Napster Of Pop-Up Advertising |work= Bloomberg Businessweek |date= June 28, 2004 |url= http://www.businessweek.com/magazine/content/04_26/b3889102_mz063.htm |archive-url= https://web.archive.org/web/20040623150451/http://www.businessweek.com/magazine/content/04_26/b3889102_mz063.htm |url-status= dead |archive-date= June 23, 2004 |accessdate=April 12, 2011 }}
Another concern was that most revenue came from one partner: Yahoo Overture.
Claria withdrew the filing in August 2004.{{cite news |title= Adware anxiety gives Claria cold feet |work= cNET.com |author= Stefanie Olsen |date= August 12, 2004 |url= http://news.cnet.com/Adware-anxiety-gives-Claria-cold-feet/2100-1024_3-5307545.html |accessdate=April 12, 2011 }}
Recent news
In July 2005, Microsoft Corporation came under fire when it revealed that their anti-spyware product would no longer quarantine Claria software as "spyware" (though it still offered users the option to remove the software). Microsoft was reportedly contemplating the purchase of Claria, which many consumers felt to be a conflict of interest.{{cite news |title=Microsoft denies its antispyware favors Claria |work= cNET.com |author= Stefanie Olsen |date= July 11, 2005|url= http://news.cnet.com/Microsoft-denies-its-antispyware-favors-Claria/2100-1029_3-5782848.html |accessdate=April 12, 2011 }} Other spyware-reporting agencies, such as Computer Associates and Panda Software's TruPrevent Technologies, still label Claria products as both adware and spyware.
In March 2006, Claria claimed that it would be exiting the adware business and focusing on personalized search technology.{{cite news |title=Claria to exit adware business |work= cNET.com |author= Candace Lombardi
|date= March 22, 2006 |url= http://news.cnet.com/2100-1024_3-6052623.html|accessdate=April 12, 2011 }}
On July 1, 2006, Claria ceased displaying pop-up ads. Around this time, a new company NebuAd was formed with some former Claria employees with another approach to targeted advertisements.{{cite news |title= NebuAd looks to 'spyware' firm for recruits: 'Typical of the Valley' |work= The Register |author= Cade Metz |date= June 20, 2008 |url= https://www.theregister.co.uk/2008/06/20/nebuad_claria/ |accessdate=April 12, 2011 }} On April 21, 2008, Claria sold the gator.com domain.
In October 2008, rebranded as Jelly Cloud, the company quietly shut down.{{cite news |title= Controversial ad company Jellycloud shuts down |work=Venture Beat |author= Matt Marshall |date= October 6, 2008 |url= https://venturebeat.com/2008/10/06/controversial-ad-company-jellycloud-shuts-down-citing-industry-consolidation/ |accessdate=April 12, 2011 }}{{cite news |title= Name Change Didn't Help: Jellycloud Defunct; $50M In Funding Down The Drain, 36 Staffers |newspaper= The Washington Post |author= David Kaplan |date= October 6, 2008 |url= https://www.washingtonpost.com/wp-dyn/content/article/2008/10/06/AR2008100601526.html |accessdate=April 12, 2011 }}
References
{{Reflist|2}}
External links
- [https://web.archive.org/web/20050701080044/http://www.pcpitstop.com/gator/default.asp Gator Information Center] (Claria) - PC Pitstop
- [http://www.siteadvisor.com/sites/claria.com claria.com - Web Safety Rating] from McAfee
Category:1998 establishments in California
Category:2008 disestablishments in California