• Reuters, Thursday, December 20, 2007 11:15 AM

The Department of Justice on Wednesday said the Web's big three--Microsoft, Google and Yahoo--agreed to a settlement worth $31.5 million for promoting illegal gambling on their sites. The Web giants were charged with selling advertising to online gambling companies promoting illegal betting from 1997 to 2007.

Per the settlement, the companies will have to devote millions to public service ads telling people that online gambling is illegal. Online gambling is illegal in the United States, but not in most of the rest of the world. In 2006, the U.S. dealt a harsh blow to offshore gaming companies by making it illegal for credit card companies to accept charges for online gambling. Since, the World Trade Organization cried foul, forcing the U.S. to compensate the European Union for closing off its market. The U.S. responded by opening its markets for courier services, storage and warehouses.

According to Reuters, Microsoft will pay $4.5 million to the U.S. government, $7.5 million to the International Center for Missing and Exploited Children, and provide $9 million worth of PSAs. Yahoo's settlement of $7.5 million includes forfeiting $3 million to the U.S. government and providing $4.5 million worth of online ads for a public service advertising campaign. Google will pay $3 million.

Read the whole story at Reuters »