Sunday, September 09, 2007


Another online advertising firm bought out

This time it was Yahoo, which bought the US's #5 online advertiser, a company called BlueLithium. The cost was about $300 million. BlueLithium rents ad space on Web publishers and packages and resells it to advertisers. It is particularly strong on medium-circulation sites, an increasingly important area for advertising. It is also a player in so-called "performance advertising," meaning it gets revenue based on click-throughs, an area where Yahoo needs to catch up to Google. BlueLithium also is player in behavior-based marketing, where ads appear to a user based on his or her actions.

It's just the latest gold rush the few remaining innovative firms who built up the online ad agency business. The competitors are, along with Yahoo, arch-competitors Google and Microsoft, along with tope traditional advertising agency groups. They have been steadily picking up the pioneers in the online ad agency business, in an increasing battle of who gets to control the ad clicks on the Web.

  • In April 2007, Yahoo bought ad exchange Right Media for $640 million.
  • In April 2007, Google bought DoubleClick for $3.1 million
  • In May 2007, Microsoft bought internet ad firm aQuantive for $6 billion.
  • In May 2007, UK-based advtertising conglomerate WPP Group bought 24/7 Real Media (Razor fish) for $649 million. 
  • In January 2007, France-based ad and P.R. firm Publicist Group bought online ad agency Digitas for $1.3 billion.
  • In July 2007, Time-Warner (AOL) bought ad agency Tacode this summer for $275 million.

8:57:10 PM    
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