Adware
Adware is for those who don’t want to purchase software.  This is also known as freeware.  Often, it can block features and functions of the software until you actually buy the full version.   Most or all aspects of the freeware will work but you will seev sponsored advertisements while using the software.  The advertisements are usually in a small section of the software interface or a pop-up advertisement box on the desktop.   Once the software stops running, you should no longer see the ads.

Spyware
A number of freeware programs with adware do track the sites you surf, in order to serve ads related to you.  It then becomes spyware,  something you should avoid.  Spyware is malicious program and similar to a Trojan Horse in that users unknowingly install the product when they install something else.  Becoming a victim of spyware is easy if you often download peer-to-peer file sharing products.

Spyware works in a similar manner to adware but is usually a separate software program that is installed unwittingly when you download another freeware type program or application.  Spyware then monitors user activity on the web and transmits the background information to someone else.  Spyware can also gather information about e-mail addresses, as well as passwords and credit card numbers.

Spyware can also keep track of your keystrokes, since it exists as independent executable programs.  It can also perform a scan of files of the hard drive, invade word processors, install additional spyware, process cookies, and change your home page.  This information is then sent back to the person who wrote the spyware.  They then use it for advertising and marketing, or the information is sold to a third party.

Licensing agreements will sometimes give you a warning about the spyware program that’s about to be installed.  Unfortunately, many users don’t read these agreements because they’re buried in the fine print.

How to Combat Spyware

If your web browser has changed without you taking action, spyware may be on your system. Other signs include pop-up ads which have nothing to do with the web site you are on.  In addition, you may get ads even when you are not on the web.  Also, some HTML links won’t work, or take you to a website you didn’t want to go to.  Your system could get sluggish and may take longer to load.

Anti-spyware software spots any spyware installed on your computer and removes it. Spyware leaves remnants of itself in the registry and  other spots on your PC. Anti-spyware software like XoftSpySE will look for evidence of these files and get rid of them.