Is Google the next Microsoft? Competition, Welfare and Regulation in Internet Search

Internet search (or perhaps more accurately `web-search') has grown exponentially over the last decade at an even more rapid rate than the Internet itself. Starting from nothing in the 1990s, today search is a multi-billion dollar business. Search engine providers such as Google and Yahoo! have become household names, and the use of a search engine, like use of the Web, is now a part of everyday life. The rapid growth of online search and its growing centrality to the ecology of the Internet raise a variety of questions for economists to answer. Why is the search engine market so concentrated and will it evolve towards monopoly? What are the implications of this concentration for different `participants' (consumers, search engines, advertisers)? Does the fact that search engines act as `information gatekeepers', determining, in effect, what can be found on the web, mean that search deserves particularly close attention from policy-makers? This paper supplies empirical and theoretical material with which to examine many of these questions. In particular, we (a) show that the already large levels of concentration are likely to continue (b) identify the consequences, negative and positive, of this outcome (c) discuss the possible regulatory interventions that policy-makers could utilize to address these

Privacy in online advertising platforms

Online advertising is consistently considered as the pillar of the "free• content on the Web since it is commonly the funding source of websites. Furthermore, the option of delivering personalizad ads has tumed advertising into a really valuable service for users, who receive ads tailored to their interests. Given its success in getting paying customers, online advertising is fueling a billionaire business. The current advertising model builds upon an intricate infrastructure whose main aim is to deliver personalized ads. For this purpose, a wealth of user data is collected, aggregated, processed and traded at an unprecedented rate. However, the intrusiveness and ubiquity of these practices prorrpt serious privacy concems. In view of the inherent corrplexity behind the operation of ad platforms, privacy risks in the online advertising ecosystem could be studied from multiple perspectives. Naturally, most of the efforts unveiling these privacy issues concentrate on a specific entity, technology, behavior or context. However, such a segmented approach rright underestimate the benefits of a wider vision of a systerric problem. A lot of privacy protection echanisms have been proposed from the industry and acaderria. The most popular ones resort to radical strategies that hinder the ad distribution process, thus seriously affecting the online advertising ecosystem. Others involve significantly changing the ecosystem, which unfortunately may not be suitable in these times. Consequently, to encourage the adoption of privacy protection in this context, it is fundamental to pose mechanisms that aim at balancing the trade-off between user privacy and the web business model. First, this thesis deals with the need to have a wide perspective of the privacy risks for users within the online advertising ecosystem and the protection approaches available. We survey the online advertising infrastructure and its supporting technologies, and present a thorough overview of the undertying privacy risks and the solutions that may rritigate them. Through a systematic effort, we analyze the threats and potential privacy attackers in this scenario of online advertising.Then, we conduct a corrprehensive survey of the most relevant privacy mechanisms, and classify and con-pare them on the basis of their privacy guarantees and irrpact on the Web. Subsequently, we study the privacy risks derived from real-time bidding, a key enabling technology of modem online advertising. We experimentally explore the potential abuse of the process of user data sharing, necessary to support the auction-based system in online advertising. Accordingly, we propase a system to regula te the distribution of u ser tracking data to potentially interested entities, depending on their previous behavior.This consists in reducing the nurnber of advertising agencies receiving user data. Doing so may affect the ad platform's revenue, thus the proposed system is designed to maxirrize the revenue while the abuse by advertising agencies is prevented to a large degree. Experimentally, the results of evaluation suggest that this system is able to correct rrisbehaving entities, consequently enhancing user privacy. Finally, we analyze the irrpact of online advertising and tracking from the particular perspective of lberoamerica.We study the third-party and ad tracking triggered within local websites in this heterogeneous region not previously studied. We found out that user location in this context would affect privacy since the intensity of third-party traffic, including advertising related flows of information, varies from country to country when local web traffic is simulated, although the total nurnber of entities behind this traffic seems stable. The type of content served by websites is also a parameter affecting the leve! of third-party tracking:publishers assiciated with news shopping categories generate more third-party traffic and such intensity is exarbated for top-world sitesLa publicitat en línia té un paper important a Internet que permet finançar habitualment l'operació de llocs web que ofereixen contingut lliure als usuaris. A més, la personalització dels anuncis ha tornat la publicitat en línia un servei valuós per als usuaris. Si aconseguirem que hi hagi molts compradors siguin més que possibles, es promourà un negoci milionari. El model d'anuncis vigents es basa en una infraestructura completa que lliura els anuncis personalitzats. Pera això, es pot recopilar una gran quantitat de dades d'ús, agregar, processar i vendre molt ràpidament. Malauradament, aquestes pràctiques generen riscos de privadesa. Donada la complexitat de l'operació de les plataformes d'anuncis, els riscos de privacitat es poden estudiar des de diverses perspectives. Naturalment, els esforços per desenvolupar aquests problemes de privacitat es concentren en una entitat, tecnologia, comportament o context específic. Però aquest enfocament subestima els beneficis d'una perspectiva més àmplia d'un problema integral. Molts mecanismes de protecció han estat proposats des de la indústria i l’àmbit acadèmic. Els més populars apliquen estratègies radicals que obstrueixen la distribució d'anuncis, afectant seriosament l’ecosistema d'anuncis. També es pot modificar significativament l’ecosistema, el que no és factible per la seva conflictivitat. Així, amb la finalitat de fomentar l'adopció de protecció de privacitat, és fonamental plantejar solucions orientades a equilibrar les necessitats de privacitat amb el model de negocis de la web. Inicialment, la tesi ofereix una visió amplia dels riscos de privacitat i els mecanismes de protecció a ecosistema d'anuncis en línia. Això es pot aconseguir basant-se en una revisió de la infraestructura i tecnologies subjacents en aquest context. Analitza sistemàticament les amenaces i potencies atacants. A continuació es revisa exhaustivament els mecanismes de privacitat més rellevants, i es classifica i es compara segons les garanties de privacitat que s'ofereixen i el seu possible impacte a la web. Seguidament, s'estudia els riscos de privadesa derivats de les ofertes en temps real, una tecnologia clau del sistema d'anuncis en línia modern. Experimentalment, s'inverteixen els riscos del procés de distribució de dades d'ús, part del sistema basat en licitacions de la publicitat en línia. Es proposa un sistema que regula la distribució de dades d'ús a tercers, depenent del seu comportament previ. Això consisteix en reduir el nombre d’agències anunciants que rebin dades d'ús. Per mitigar l’impacte sobre els ingressos del sistema d'anuncis, aquesta reducció és malaltia i l'objectiu de maximitzar els declaracions ingressades. Experimentalment, es troba que el sistema proposat corregir els comportaments maliciosos, millorant la privacitat dels usuaris. Finalment, s'analitza l'impacte del rastre i la publicitat en línia des de la perspectiva iberoamericana. Estudiem el rastreig de tercers i allò relacionat amb els anuncis que se generen en llocs web locals en aquesta regió heterogènia. Trobem que la ubicació de l'usuari en aquest context afecta la privacitat de l'usuari ja que aquest rastreig varia de país a país, tot i que el nombre total d'entitats darrere d'aquest transit sembla estable. El tipus de contingut afecta també el nivell de rastreig: llocs web de noticies o de compres generen més transit cap a tercers i aquesta intensitat s'exacerba en els llocs més populars

Privacy in online advertising platforms

Online advertising is consistently considered as the pillar of the "free• content on the Web since it is commonly the funding source of websites. Furthermore, the option of delivering personalizad ads has tumed advertising into a really valuable service for users, who receive ads tailored to their interests. Given its success in getting paying customers, online advertising is fueling a billionaire business. The current advertising model builds upon an intricate infrastructure whose main aim is to deliver personalized ads. For this purpose, a wealth of user data is collected, aggregated, processed and traded at an unprecedented rate. However, the intrusiveness and ubiquity of these practices prorrpt serious privacy concems. In view of the inherent corrplexity behind the operation of ad platforms, privacy risks in the online advertising ecosystem could be studied from multiple perspectives. Naturally, most of the efforts unveiling these privacy issues concentrate on a specific entity, technology, behavior or context. However, such a segmented approach rright underestimate the benefits of a wider vision of a systerric problem. A lot of privacy protection echanisms have been proposed from the industry and acaderria. The most popular ones resort to radical strategies that hinder the ad distribution process, thus seriously affecting the online advertising ecosystem. Others involve significantly changing the ecosystem, which unfortunately may not be suitable in these times. Consequently, to encourage the adoption of privacy protection in this context, it is fundamental to pose mechanisms that aim at balancing the trade-off between user privacy and the web business model. First, this thesis deals with the need to have a wide perspective of the privacy risks for users within the online advertising ecosystem and the protection approaches available. We survey the online advertising infrastructure and its supporting technologies, and present a thorough overview of the undertying privacy risks and the solutions that may rritigate them. Through a systematic effort, we analyze the threats and potential privacy attackers in this scenario of online advertising.Then, we conduct a corrprehensive survey of the most relevant privacy mechanisms, and classify and con-pare them on the basis of their privacy guarantees and irrpact on the Web. Subsequently, we study the privacy risks derived from real-time bidding, a key enabling technology of modem online advertising. We experimentally explore the potential abuse of the process of user data sharing, necessary to support the auction-based system in online advertising. Accordingly, we propase a system to regula te the distribution of u ser tracking data to potentially interested entities, depending on their previous behavior.This consists in reducing the nurnber of advertising agencies receiving user data. Doing so may affect the ad platform's revenue, thus the proposed system is designed to maxirrize the revenue while the abuse by advertising agencies is prevented to a large degree. Experimentally, the results of evaluation suggest that this system is able to correct rrisbehaving entities, consequently enhancing user privacy. Finally, we analyze the irrpact of online advertising and tracking from the particular perspective of lberoamerica.We study the third-party and ad tracking triggered within local websites in this heterogeneous region not previously studied. We found out that user location in this context would affect privacy since the intensity of third-party traffic, including advertising related flows of information, varies from country to country when local web traffic is simulated, although the total nurnber of entities behind this traffic seems stable. The type of content served by websites is also a parameter affecting the leve! of third-party tracking:publishers assiciated with news shopping categories generate more third-party traffic and such intensity is exarbated for top-world sitesLa publicitat en línia té un paper important a Internet que permet finançar habitualment l'operació de llocs web que ofereixen contingut lliure als usuaris. A més, la personalització dels anuncis ha tornat la publicitat en línia un servei valuós per als usuaris. Si aconseguirem que hi hagi molts compradors siguin més que possibles, es promourà un negoci milionari. El model d'anuncis vigents es basa en una infraestructura completa que lliura els anuncis personalitzats. Pera això, es pot recopilar una gran quantitat de dades d'ús, agregar, processar i vendre molt ràpidament. Malauradament, aquestes pràctiques generen riscos de privadesa. Donada la complexitat de l'operació de les plataformes d'anuncis, els riscos de privacitat es poden estudiar des de diverses perspectives. Naturalment, els esforços per desenvolupar aquests problemes de privacitat es concentren en una entitat, tecnologia, comportament o context específic. Però aquest enfocament subestima els beneficis d'una perspectiva més àmplia d'un problema integral. Molts mecanismes de protecció han estat proposats des de la indústria i l’àmbit acadèmic. Els més populars apliquen estratègies radicals que obstrueixen la distribució d'anuncis, afectant seriosament l’ecosistema d'anuncis. També es pot modificar significativament l’ecosistema, el que no és factible per la seva conflictivitat. Així, amb la finalitat de fomentar l'adopció de protecció de privacitat, és fonamental plantejar solucions orientades a equilibrar les necessitats de privacitat amb el model de negocis de la web. Inicialment, la tesi ofereix una visió amplia dels riscos de privacitat i els mecanismes de protecció a ecosistema d'anuncis en línia. Això es pot aconseguir basant-se en una revisió de la infraestructura i tecnologies subjacents en aquest context. Analitza sistemàticament les amenaces i potencies atacants. A continuació es revisa exhaustivament els mecanismes de privacitat més rellevants, i es classifica i es compara segons les garanties de privacitat que s'ofereixen i el seu possible impacte a la web. Seguidament, s'estudia els riscos de privadesa derivats de les ofertes en temps real, una tecnologia clau del sistema d'anuncis en línia modern. Experimentalment, s'inverteixen els riscos del procés de distribució de dades d'ús, part del sistema basat en licitacions de la publicitat en línia. Es proposa un sistema que regula la distribució de dades d'ús a tercers, depenent del seu comportament previ. Això consisteix en reduir el nombre d’agències anunciants que rebin dades d'ús. Per mitigar l’impacte sobre els ingressos del sistema d'anuncis, aquesta reducció és malaltia i l'objectiu de maximitzar els declaracions ingressades. Experimentalment, es troba que el sistema proposat corregir els comportaments maliciosos, millorant la privacitat dels usuaris. Finalment, s'analitza l'impacte del rastre i la publicitat en línia des de la perspectiva iberoamericana. Estudiem el rastreig de tercers i allò relacionat amb els anuncis que se generen en llocs web locals en aquesta regió heterogènia. Trobem que la ubicació de l'usuari en aquest context afecta la privacitat de l'usuari ja que aquest rastreig varia de país a país, tot i que el nombre total d'entitats darrere d'aquest transit sembla estable. El tipus de contingut afecta també el nivell de rastreig: llocs web de noticies o de compres generen més transit cap a tercers i aquesta intensitat s'exacerba en els llocs més populars.Postprint (published version

Supply Side Optimisation in Online Display Advertising

On the Internet there are publishers (the supply side) who provide free contents (e.g., news) and services (e.g., email) to attract users. Publishers get paid by selling ad displaying opportunities (i.e., impressions) to advertisers. Advertisers then sell products to users who are converted by ads. Better supply side revenue allows more free content and services to be created, thus, benefiting the entire online advertising ecosystem. This thesis addresses several optimisation problems for the supply side. When a publisher creates an ad-supported website, he needs to decide the percentage of ads first. The thesis reports a large-scale empirical study of Internet ad density over past seven years, then presents a model that includes many factors, especially the competition among similar publishers, and gives an optimal dynamic ad density that generates the maximum revenue over time. This study also unveils the tragedy of the commons in online advertising where users' attention has been overgrazed which results in a global sub-optimum. After deciding the ad density, the publisher retrieves ads from various sources, including contracts, ad networks, and ad exchanges. This forms an exploration-exploitation problem when ad sources are typically unknown before trail. This problem is modelled using Partially Observable Markov Decision Process (POMDP), and the exploration efficiency is increased by utilising the correlation of ads. The proposed method reports 23.4% better than the best performing baseline in the real-world data based experiments. Since some ad networks allow (or expect) an input of keywords, the thesis also presents an adaptive keyword extraction system using BM25F algorithm and the multi-armed bandits model. This system has been tested by a domain service provider in crowdsourcing based experiments. If the publisher selects a Real-Time Bidding (RTB) ad source, he can use reserve price to manipulate auctions for better payoff. This thesis proposes a simplified game model that considers the competition between seller and buyer to be one-shot instead of repeated and gives heuristics that can be easily implemented. The model has been evaluated in a production environment and reported 12.3% average increase of revenue. The documentation of a prototype system for reserve price optimisation is also presented in the appendix of the thesis

Detecting Fraudsters in Online Auction Using Variations of Neighbor Diversity

Inflated reputation fraud is a serious problem in online auction. Recent work suggested that neighbor diversity is an effective feature for discerning fraudsters from normal users. However, there exist many different methods to quantify diversity in the literature. This raises the problem of finding the most suitable method to calculate neighbor diversity for detecting fraudsters. We collect four different methods to quantify diversity, and apply them to calculate neighbor diversity. We then use these various neighbor diversities for fraudster detection. Experimental results on a real-world dataset demonstrate that, although these diversities were calculated differently, their performances on fraudster detection are similar. This finding reflects the robustness of neighbor diversity, regardless of how the diversity is calculated