news.google.co.uk front page and search do not appear to show any adverts.
They show a summary of the story, along with the a link to the article on the website of the content publisher and followed by the name of the publisher.
Anyone want to bet that the news summary comes from metadata that the publishers put there for "Search Engine Optimisation"?
While there are adverts on the main search results page, most people when searching for news are probably more interested in the results than the adverts ("Buy your Diana inquest from eBay").
Again, these link to the main publisher, where the publisher is free to make money from their own advertising.
Perhaps Google should get a referral fee for advertising revenue from the publishers?
Also, guess who provides the search capability for the telegraph.co.uk site.
Google do not publish the entire news article, they do not copy and pass off the content, they may get some ad revenue as a side benefit of listing the stories.
The Telegraph or whoever do not have to pay to list their content, do not have to pay a referral fee, do not have to develop their own search engine, are free to make money from their own web pages through whatever mechanism they like.
Delist the Telegraph stories (then they have no copyright complaint), this will have the added bonus of forcing the Telegraph to source an alternative search engine for their website (no content listed on google). Not that anyone will care because they won't be able to find the site any more.