Tech and Web NEWS
Microsoft Facebook marriage- search and advertising relationship alter
By Amarendra Bhushan for CEOWORLD Magazine Updated:February 7, 2010
Microsoft (MSFT, News, Press Releases: 29.63 0.00 0.00%, yield: 1.75, cap: 259.9B, 1yr target: 33.69) and Facebook announced a big change in their search and advertising partnership: that Microsoft will no longer handle display ads on Facebook. Microsoft Bing general manager Jon Tinter says we made the mutual decision that Facebook would take over responsibility for selling display advertisements on its own site…we are extending our cooperation outside the US, bringing the Bing-Facebook search integration to the more than 400 million people using Facebook around the world…
Microsoft will continue to provide search technology on Facebook, including search ads. In October 2007, Microsoft invested $240m in Facebook for a 1.6 per cent stake in the company. Facebook said it stopped displaying Microsoft banner ads in some international markets recently, and following additional talks with Microsoft, has agreed to stop running the banner ads across all of Facebook. The change will take place over the next 30 days.
Facebook, which lets users connect and share information with friends online, has emerged as one of the Internet’s most popular destinations and is increasingly challenging the Web’s established powerhouses like Yahoo Inc (YHOO, News, Press Releases: 16.50 0.00 0.00%, yield: N/A, cap: 23.103B, 1yr target: 19.22) and Google Inc (GOOG, News, Press Releases: 565.56 0.00 0.00%, yield: N/A, cap: 179.8B, 1yr target: 671.81).
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