Oct 28, 2010 16:20 GMT  ·  By

Google has settled with the French authorities in a case concerning its policy of blocking certain keywords somewhat arbitrarily. Google has agreed to notify account owners three months in advance when it plans to block keywords, but only in France and only for companies selling devices aimed at drivers trying to avoid speed traps and radars.

The settlement follows a complaint from Navx, maker of a number of online and mobile apps which pinpoint the locations of speed cameras to alert drivers, which accused Google of abusing its dominant status.

Google had suspended Navx's AdWords account about a year ago since it believed that this type of applications were illegal in France. Navx argued that because of Google's de facto monopoly position, the search engine controls about 90 percent of the search market in France, the company's decision would greatly affect its possibility to market and sell its applications.

Navx's AdWords account was restored last summer after the French competition authority mandated that Navx be allowed to advertise its products pending investigation.

Now the parties involved have settled, with Google making several concessions. Google was quick to point out that the French authorities made it clear that Google did not abuse its position.

Google will also be able to institute the policies it wants regarding the keywords it will allow in AdWords. However, the company will have to be forthcoming about this and make it clear to advertisers what those policies are. The interesting thing is that Google has agreed to do this worldwide.

Both parties are trying to label this as a win, as is usually the case in this type of matters, but, from the looks of it, the authorities reached a middle ground that would satisfy everyone.

Google will be allowed to institute the policies it wants, but it will be required to be more transparent about them.