Google finally released their IP exclusion list!
IP address exclusion enables advertisers an additional method to control ad placement by specifying IP addresses where you don't want your ads to appear.
Advertisers can exclude up to 20 IP addresses, or ranges of addresses, per campaign.
Ads will not be displayed to users with the IP addresses you specify.
IMPORTANT: You need to understand that large Internet Service Providers (ISPs) use a range of IP addresses for all their users and members. If you exclude an IP address that is a proxy for many users (which means the IP address is assigned dynamically and could be used by hundreds or thousands of users or members), you could accidently block a large amount of legitimate, and potentially profitable traffic.
Using the free reports from the Click Fraud Network, you can easily see which IP addresses are clicking on your ads, review the quality and traffic received from these IP addresses, and quickly make a decision on which IPs may need to be blocked using this new tool.
How do I exclude IP addresses from viewing my ad?
Login to your adwords account and click on TOOLS, then IP Exclusion. You may enter up to 20 IP addresses or blocks of addresses using the wildcard as the last 3 digits.
Examples:
123.4.5.67
123.4.5.*
123.45.167.1