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Old 06-30-2005, 08:24 PM   #5

Join Date: Aug 1999
Location: Gold Coast, Queensland, Australia
Posts: 9,507

The concluding paragraphs from that article are most interesting, in regards to what perception this deal will convey to the marketplace.

I'm already angry enough that the likes of ClickZ and a number of online advertising associations have indirectly helped to legitimize Claria/Gator's behaviour through their acceptance of sponsorship by Claria and the company's presence at industry-leading trade shows. By revealing to the market that the company is valued in the 100s of millions and that even the world's best known software producer and distributor of one of the most popular anti-spyware tools could be interested in purchasing an adware/spyware player is certain to encourage others to enter the space.

This is like the old days of hacking/phreaking, where stories about the best of the best being hired as consultants for major security firms or being recruited to intelligence agency ranks encouraged other script kiddies to engage in criminal activity in the hopes that their actions would eventually be interpreted in a positive light.

Hopefully, then, if the deal fails to get off the ground, the market will receive the opposite message; that spyware players who use controversial application delivery methods are considered untouchable as acquisition prospects. Taking away the promise of a clean and profitable exit strategy would dissuade other investors and entrepreneurs from entering the market.

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