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Originally Posted by Head Boy
I'd be interested in other peoples opinions on this, as I'm not too hot on SEO.
There is talk suggesting that the reason Google became a domain registrar is to give them access to the registration details, so I guess they are trying to check on incestuous linking.
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I've heard the same thing you stated above about interlinking domains on a single IP. I've only heard it applied to Google, but what they do, the herd will surely follow.