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AOL to buy targeted internet advertising firm Tacoda
Internet giant AOL has agreed to buy online advertising firm Tacoda, which specialises in behavioural targeting techniques.
The move is the latest in a spate of consolidation within the Internet Advertising industry that also saw Google purchase DoubleClick for $3.1 billion. Rival search firms Yahoo and Microsoft have also made expensive acquisitions as the online ad industry hots up.
AOL's move is another step in its strategy of offering free services supported by ads, and will tap into the lucrative behaviourally targeted Marketing industry that eMarketer predicts will grow to be worth a massive $3.8 billion by 2011.
The technology allows internet marketers to deliver adverts to users based on their past visits to other relevant websites. Other companies in this sector include Revenue Science, AlmondNet and Undertone Networks.
Terms of the deal were not disclosed but reports suggest AOL may have paid $275 million for Tacoda. In May the company acquired a controlling stake in AdTech.
Meanwhile, Yahoo Microsoft and Ask.com have said they will join together to promote a set of privacy principles for companies collecting data on users.
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Search Marketing news posted on 25 July 2007
