The Steep Cost of Google's Illegal Pharmacy Advertisements

More

In one of the largest forfeitures in U.S. history, Google agreed to pay $500 million to settle a dispute with the Justice Department Wednesday for displaying ads for Canadian companies that sell illegal pharmaceuticals in the U.S. As CNET's Jay Greene explains, the settlement "covers the gross revenue received by Google as a result of Canadian pharmacies advertising through Google's AdWords program, and the gross revenue made by those pharmacies from their sales to U.S. consumers." Here's why the settlement is about more than just the money:

The cash itself  Ryan Singel at Wired notes that the $500 million price tag represents over 20 percent of the company's profits from the first quarter of this year. Still, the settlement won't come as a huge surprise to investors. "The announcement was widely expected as Google mentioned in an SEC filing in May it was setting aside half a billion to pay a fine."

Read the full story at The Atlantic Wire.

Jump to comments
Presented by

The Atlantic Wire is your authoritative guide to the news and ideas that matter most right now.

Get Today's Top Stories in Your Inbox (preview)

Juice Cleanses: The Worst Diet

A doctor tries the ever-popular Master Cleanse. Sort of.


Elsewhere on the web

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register. blog comments powered by Disqus

Video

Juice Cleanses: The Worst Diet

A doctor tries the ever-popular Master Cleanse. Sort of.

Video

Why Did I Study Physics?

Using hand-drawn cartoons to explain an academic passion

Video

What If Emoji Lived Among Us?

A whimsical ad imagines what life would be like if emoji were real.

Video

Living Alone on a Sailboat

"If you think I'm a dirtbag, then you don't understand the lifestyle."

Feature

The Future of Iced Coffee

Are artisan businesses like Blue Bottle doomed to fail when they go mainstream?

Writers

Up
Down

More in Technology

Just In