Digital Envoy Inc., v. Google Inc.,

Filing 192

Digital Envoy Inc., v. Google Inc.,

Doc. 192

Case 5:04-cv-01497-RS

Document 192

Filed 06/08/2005

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1 P. CRAIG CARDON, Cal. Bar No. 168646

BRIAN R. BLACKMAN, Cal. Bar No. 196996 2 KENDALL M. BURTON, Cal. Bar No. 228720 SHEPPARD, MULLIN, RICHTER & HAMPTON LLP 3 Four Embarcadero Center, 17th Floor San Francisco, California 94111-4106 4 Telephone: [phone] Facsimile: 415-434-3947

5 6 TIMOTHY H. KRATZ (Admitted Pro Hac Vice)
LUKE ANDERSON (Admitted Pro Hac Vice) 7 MCGUIRE WOODS, L.L.P 1170 Peachtree Street, N.E., Suite 2100 8 Atlanta, Georgia 30309 Telephone: [phone] Facsimile: 404.443.5751

10 Attorneys for DIGITAL ENVOY, INC. 11 12 13 14 DIGITAL ENVOY, INC., 15 16
v. Plaintiff/Counterdefendant, UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA SAN JOSE DIVISION Case No. C 04 01497 RS DECLARATION OF ROBERT FRIEDMAN IN SUPPORT OF DIGITAL ENVOY'S MOTION TO COMPEL FURTHER RESPONSES TO DIGITAL ENVOY'S REQUESTS FOR PRODUCTION OF DOCUMENTS NOS. 3, 14, 18, 19, and 26 The Honorable Richard Seeborg

17 GOOGLE, INC., 18 19 20 21 22 23 24 25 26 27 28
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Defendant/Counterclaimant.

DEC. OF ROBERT FRIEDMAN I/S/O MTN. TO COMPEL RESPONSES TO DOCUMENT REQUESTS Dockets.Justia.com

Case 5:04-cv-01497-RS

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I, Robert Friedman, declare as follows: 1. I am Executive Vice-President and General Counsel for Digital Envoy, Inc. I am

3 over twenty-one years of age and not under any legal disability. I have personal knowledge of all 4 facts set forth herein. 5
2. Digital Envoy has many web site customers who have built their own

6 infrastructures. 7
3. Google itself built its own ad infrastructure solely for use on www.google.com

8 before it considered the idea of third-party advertising and licensed Digital Envoy's technology to 9 geo-target advertisements on Google.com. 10
4. AdSense is deployed on 60% of the Top 100 properties on the Internet, properties

11 that typically license Digital Envoy's technology for thousands or tens of thousands of dollars per 12 month each. See the Corporate Information page of Google's web site, located at 13 http://www.google.com/corporate/facts.html. 14
5. DoubleClick and Accipter deploy enterprise ad servers to web sites so that those

15 web sites can serve ads to their users. 16
6. Digital Envoy has contractual relationships with various companies who pay

17 Digital Envoy when customers of those companies use geo-targeting. Digital Envoy receives 18 revenue for the use of Digital Envoy's technology in geo-targeting, sometimes as much as 72% 19 and up to tens-of-thousands of dollars per year per web site. 20
7. For some ad networks with which Digital Envoy has ongoing relationships or has

21 had relationships, Digital Envoy receives $0.10 per CPM ("cost per 1,000 impressions"), $500 per 22 million lookups, $750.00 per 250,000 lookups, and $4,000.00 per billion lookups of IP addresses. 23
8. Ask Jeeves, a Digital Envoy customer, has stated "Just by virtue of our relationship

24 with Google, we benefit from their improvements with AdWords in the local space," said 25 Lanzone. "They've done a lot of work in geotargeting, and we are recipients of that." Under Ask 26 Jeeves' license agreement, it is only entitled to use Digital Envoy's technology for limited 27 purposes (and specifically not for ad targeting, typically the most lucrative use). The Ask Jeeves 28 deal alone was valued at $100 million by Google according to its public statements and Digital
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1 Envoy received $0 as a result of this relationship and, in fact, Digital Envoy believes that its 2 prospects were damaged through its lost business opportunity. See ClickZ News article "Yahoo!, 3 Ask Jeeves Bow Local Search Tools" dated August 3, 2004, a true copy of which is attached 4 hereto as Exhibit B. 5
9. In many cases, Digital Envoy supplies geo-targeting directly to individual web sites

6 (its customers include many of the largest properties on the Internet ­ such as AOL, CNN.com, 7 InfoSpace, CNet, Disney.com, ESPN.com, ABCNews.com, Guardian UK), many of whom have 8 developed their own internal ad networks. 9
10. Google's SEC filings indicate that their AdSense program is an important part of

10 their revenue stream. See, e.g., Amendment No. 2 to Form S-1 Registration Statement filed June 11 21, 2004, a true copy of which is attached as Exhibit A. 12
11. Google has admitted that it "licenses" AdSense to third parties. See April 3, 2003

13 Google Press Release, a true copy of which is attached hereto as Exhibit C. 14
I declare these things under penalty of perjury and under the laws of the United States of

15 America. Executed on June 8, 2005, at Atlanta, Georgia. 16 17 18 19 20 21 22 23 24 25 26 27 28
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/s/ Robert Friedman Robert Friedman

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CERTIFICATION I, Brian Blackman, am the ECF User whose identification and password are being used to

3 file this Declaration Of Robert Friedman In Support Of Digital Envoy's Motion To Compel 4 Further Responses To Digital Envoy's Requests For Production Of Documents Nos. 3, 14, 18, 19, 5 and 26. In compliance with General Order 45.X.B., I hereby attest that Robert Friedman has 6 concurred in this filing. 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28
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DATED: June 8, 2005 SHEPPARD, MULLIN, RICHTER & HAMPTON LLP

By

/s/ Brian Blackman P. CRAIG CARDON BRIAN R. BLACKMAN TIMOTHY H. KRATZ (Admitted Pro Hac Vice) MCGUIRE WOODS, L.L.P 1170 Peachtree Street, N.E., Suite 2100 Atlanta, Georgia 30309 Telephone: [phone] Facsimile: 404.443.5751 Attorneys for DIGITAL ENVOY, INC.

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DEC. OF ROBERT FRIEDMAN I/S/O MTN. TO COMPEL RESPONSES TO DOCUMENT REQUESTS