Utah Bans Keyword Advertising 271
Eric Goldman writes "Last month, Utah passed a law banning keyword advertising. Rep. Dan Eastman, the Utah legislator who sponsored the law, believes competitive keyword advertising is the equivalent of corporate identity theft, causing searchers to be (in his words) 'carjacked' and 'shanghaied' by advertisers. He also takes a swipe at the EFF, dismissing its critique of the law as 'criticism from the fringes.'"
Re:Damn Straight! (Score:5, Informative)
http://senatesite.com/blog/2007/04/guest-blog-uta
http://senatesite.com/blog/2007/04/constitutional
This issue isn't as simple as the Slashdot hordes may make it seem.
FTC Doesn't Have Problem With This (Score:2, Informative)
Searching on a term that brings up a competitor's product isn't a problem, it's just an extension of the example I mentioned.
Eastman sounds like the kind of politician Ed Markey, from my home state of Massachusetts is - utterly clueless. Markey is the chairman of the House Subcommitte on telecommunications and the internet but he's as dopey as Eastman - trying to regulate something he has little knowledge of.
Re:bullshit (Score:4, Informative)
But even if you want to discourage one business freeloading off of the commercial reputation that another business has laboriously established, and even if you want to ensure that like-branded goods are of like quality so that consumer expectations will be met, this does not mean that competitors cannot use each others' trademarks under the right circumstances! This is still a stupid law in that it is tragically short-sighted.
For example, suppose I grow corn, and unlike my competitors, I still use the time-tested method of waiting to harvest until I can rent an elephant and verify that the corn reaches eye-height. It is not an infringement or dilution for me to advertise that I do this and that my competitors, who I mention by name, do not. You see this all the time in product comparisons where actual products are mentioned instead of silly workarounds like 'Brand X' or whatever. It's called a nominative use, and it is legal.
But apparently not under this law! Utah doesn't think that if someone searches for Del Monte that Green Giant cannot leap into the fray and claim (if it's true) that their corn is better. Likewise, a grocery store can't advertise that they carry Del Monte, which is kind of important given that they don't seem to distribute directly from the canning plant to the dinner table. That's another nominative use.
There may also be difficulties with trademark fair use (which is a confusingly named but totally separate doctrine from the more well-known copyright fair use doctrine) which permits everyone to use words which happen to be trademarks in their non-trademarked capacity. For example, Apple is a trademark for computers, but apple is not a trademark for the fruit of the same name. If you search for 'apple,' and Google ignores case as pretty much everyone on the Internet must, then there's nothing wrong with the apple farmers buying up all the ads. But would this be allowed under this law? I'd be worried about it, and that alone isn't very good. Particularly given that if everyone passes or doesn't pass, their own version of this, it creates a patchwork of regulation and now I have to check all over the place.
Frankly, aside from not surviving on its merits, I predict that the Interstate Commerce Clause will kill this in court since it makes it too difficult for businesses to engage in commerce nationwide. If people really want this -- and I think it's not a very good idea -- then it would be more appropriate to get Congress to do it. States should not.
Re:Damn Straight! (Score:3, Informative)
Re:Because illiterate tools are what /. is all abo (Score:5, Informative)
Re:Damn Straight! (Score:1, Informative)
Google has already stopped doing this in other countries because they were sued and lost.
Re:Wait a minute...! (Score:2, Informative)
I think it was a while before they were honored for having the best state government web portal in the US by the Center for Digital Government. Sure, Utah has some beautiful wilderness areas, including numerous well-known national parks like Arches National Park, Bryce Canyon, Zion National Park, part of Grand Canyon National Park, etc.; great rock climbing, skiing, and a lot more stuff like that, but there's plenty of high-tech there too -- perhaps you've heard of Novell, WordPerfect, Iomega, AuthorizeNet...?
Seriously, who's the dope who wasted their moderator points modding the parent post "funny"? Oh yeah, this is Slashdot.
Re:Thanks! (Score:1, Informative)
Re:Damn Straight! (Score:3, Informative)
Ummm, more than one firm can have keyword ads associated with a given keyword. Google for something fairly generic, like say music [google.com] and look at the list of "Sponsored Links" on the right hand side of the page. Additionally note that if you repeat the search numerous times, the list of "Sponsored Links" keeps changing to include ads you didn't see before. So what we actually see is that a LOT of firms can buy ads based on a given keyword, and if more buy than can fit on a single page, they're displayed based on some algorithm Now I don't know what the algorithm is; maybe it's round-robin, maybe it's pseudo-random, who knows? But it doesn't really matter. The point is, it appears that everybody will get their ad displayed eventually. So the idea that your competition can "buy those search terms from Google" and completely lock you out of advertising on those terms, is false.