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Thursday, July 26, 2007

Microsoft Buys Ad Exchange AdECN

Microsoft is getting into the advertising auction biz with its purchase of AdECN. This puts them in competition with Google/DoubleClick, which is creating its own exchange, and Yahoo, which bought Right Media.

Ad exchanges directly connect advertisers with publishers who have available impressions to sell. Available impressions go to the highest bidder and can be instantly made live sans any lengthy agreements and insertion orders. Some big names (Washington Post) use exchanges and get much higher CPMs than some of the low-hanging fruit networks such as Blue Lithium.

Now that three of the big 4 have exchanges, you can bet that the ad networks and agencies are creating plans on how to compete since they can be cut out of the equation.

Source: Seattle P/I

By John Gartner at 06:38 PM | Comments (0)

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