Tags: Facebook | Microsoft | Ad | Google

Facebook Buys Microsoft Ad Tool to Counter Google

Thursday, 28 Feb 2013 04:43 PM

Facebook Inc. said it will acquire Microsoft Corp.’s Atlas Advertiser Suite business, adding tools that will help it step up competition with Google Inc. in the market for online-display advertisements.

The team from Atlas will remain in Seattle, where the business is based, Facebook said in a blog posting. Atlas tools help companies choose and place ads on websites and monitor their effectiveness.

Facebook, owner of the world’s largest social-networking service, is seeking to accelerate revenue, which is projected by analysts to slow for a fourth straight year in 2013. Atlas will help the company challenge Google Inc., which gained ad-serving technology through its $3.24 billion acquisition of DoubleClick in 2008. Google will have 18 percent of the U.S. display-ad market in 2013, compared with 15 percent for Facebook, according to EMarketer Inc.

“If marketers and agencies can get a holistic view of campaign performance, they will be able to do a much better job of making sure the right messages get in front of the right people at the right time,” Menlo Park, California-based Facebook said in a blog posting.

The deal is part of Microsoft’s effort to unwind the unsuccessful $6.3 billion 2007 purchase of AQuantive Inc., which developed Atlas. Microsoft wrote down almost the entire value of the deal last year.

Microsoft has focused more attention on building search- based advertising, at the expense of the graphical-display ad business that includes Atlas and the AQuantive assets. Still, Microsoft wants to ensure that Google has competition in display. That made Facebook, a Google rival and Microsoft partner, an attractive choice for a buyer.

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Facebook Inc. said it will acquire Microsoft Corp.'s Atlas Advertiser Suite business, adding tools that will help it step up competition with Google Inc. in the market for online-display advertisements.
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2013-43-28
Thursday, 28 Feb 2013 04:43 PM
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