Microsoft continues Online Advertising War. Acquires AdECN

By Ekalavya B • July 30, 2007

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Microsoft announced plans to acquire online advertising exchange AdECN - its latest move in an aggressive strategy to build out its advertising platform.

Although the financial terms of the deal haven’t been disclosed, "all of the shareholders are extremely, extremely happy with the deal and acquisition price," Henry Wong, an AdECN board member and lead investor in the firm, told the E-Commerce Times.

Microsoft intends to complete the purchase in the first half of its current fiscal year.

Last month we blogged about the future of advertising being online –

First Google acquired DoubleClick for $3.1 billion. Then Yahoo and Microsoft jumped in. Yahoo purchasing 80% of Right Media which it didn’t already own for $680 million and Microsoft buying aQuantive for $6 billion. This was followed by Ad firm WPP getting 24/7 Real Media for $649 million!

They were all online advertising companies of course.

Yahoo looked at increasing it’s presence in the online advertising space in India by picking up stake in Tyroo. Read more about the acquisition here.

Other pending deals in the online ad frenzy include AOL’s planned purchase of online behavioral targeting advertising network Tacoda and online ad-serving company AdTech.

So what is AdECN?

“It works much like a stock exchange. A member of the AdECN Exchange buys on the exchange for its advertisers and sells on the exchange for its publishers. This guarantees members the best possible liquidity – fewer campaigns go unfilled, less inventory goes unsold – and more liquidity means higher revenues.The member’s advertisers and publishers benefit, too, from the extreme targeting and impression-based pricing in the AdECN Exchange, which helps members attract and retain the best clients.” [AdECN]

Founded in 2003, and with nearly 30 employees, AdECN brings new capabilities and expertise to Microsoft’s online advertising network AdCenter.

Sure seems to be the best time to be in the Online Advertising biz.

Via: EnBite

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