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(Continued)     The RFS Newsletter, August 27, 2005. Page 7
In news on Thursday, Perfect 10 Magazine has sued Google, alleging that it is infringing on copyright laws by displaying thousands of pictures of nude women. Perfect 10 magazine said in a statement that it was seeking a preliminary injunction against Google "to enjoin Google from copying, displaying and distributing Perfect 10 copyrighted images." The magazine said it had already filed a complaint against Google in November 2004 claiming the Web giant "is displaying hundreds of thousands of adult images.

Much of Google's revenues come from so-called keyword searches that link advertisers to users by their search criteria. Perfect 10 claims that "under the guise of being a 'search engine,' Google is displaying, free of charge, thousands of copies of the best images from Perfect 10, Playboy, nude scenes from major movies, nude images of supermodels, as well as extremely explicit images of all kinds." Norm Zada, the founder of Perfect 10 magazine, claimed that most of the traffic to search engines is sex-related, and added: "Google's extraordinary gain in market cap from nothing a few years ago, to close to 80 billion dollars is more due to their massive misappropriation of intellectual property than anything else."

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