Most people park their typo domains at a parking service like sedo.com or parked.com. The parking company optimizes the landing page (with some help from you) so it contains relevent links.
A typo of a high traffic domain can make decent money (depending on what "decent money" means to you). Even better money comes by selling the typo domain for 10-20 x monthly earnings.
Some examples
http://www.namepros.com/do
http://www.namepros.com/do
http://www.namepros.com/do
Actually just browse this
http://www.namepros.com/se
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by: jhoekmanPosted on 2008-06-05 at 13:24:28ID: 21723575
Yes, they definitely make money. There is a whole aspect of online business that generates revenue from people buying domains and then building them out with related links, etc to that domain. Mis-spellings, alternative site types such as .org versions of a .com, etc. Their goal for doing this is to put information and links on the page that would be relevant to the audience who might type that in and then click on one of the links. And they do get paid. I am not sure how well a mis-spelling would do, but I know people who make a good amount of money at buying city or state URLs, either the .com or .org or even .info version, build them out with relevant information and paid links, optimize them to come up in search results, and then reap the benefit.
And honestly, I don't see anything wrong with it. It is another way to make money. If the site that owns the correct spelling did not try to also buy common mis-spellings, that is their own fault. Same goes with alternate extensions of a site. It's just business. If it is done to damage a brand, however, then I am completely against it. But to make money? I am all about it and kudos to those that do.