’s Next Advertising Partner : Google, Yahoo or Microsoft?

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CNNMoney (via Investors Business Daily) looks at the partnership between Google AdWords and, where Google sponsored links are served as filler for Sponsored Listings across the IAC network. and Google’s ad relationship is coming to an end this year, and

According to CNNMoney, is not as important to Google as a sponsored search partner as it was four or five years ago because Google has much larger partners in MySpace and AOL now.

I disagree that is not an important advertising partner for Google. On the contrary, holds a 3% share of the entire search market, ranked forth behind Google, Yahoo and Microsoft.

Furthermore, the IAC Network is ripe for contextual advertising, which has been testing internally, along with running Google AdSense advertising.

The question as to whether or not will renew with Google is not a question of’s importance to Google. It is, on the contrary, a question of Google’s importance to

Over the past year or so, Yahoo and Microsoft have launched innovative and profitable search advertising portals in the new Yahoo Search Marketing and Microsoft adCenter. These companies have been aggressive in competing with Google to land larger partners, such as Yahoo has with the Bebo social network. & IAC now enjoy the leverage of sitting back and bouncing the offers off of each other, as that 3% search market share could mean a lot for Yahoo or Microsoft expanding their search advertising share.

Add a deal with IAC contextual advertising AND display advertising in the mix and Yahoo may have the jump on Google, with the ability to offer search ads, contextual ads, display ads and transparent behavioral targeting across the IAC network as Google and its global partners still wait for the DoubleClick deal to finalize.

Let’s also not forget that and Microsoft are already working together to offer Sponsored Listings to Microsoft advertisers. Surely this move had to lift the spirits of Microsoft while sticking it to Google. Will Microsoft be able to leverage its sales force in an effort to win the entire pie from

Loren Baker
Loren Baker is the Founder of SEJ, an Advisor at Alpha Brand Media and runs Foundation Digital, a digital marketing strategy & development agency.
Loren Baker
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  • steve

    word area

  • Ross

    VERTICALS – The future of Advertising on the Net ……??

    Verticals are the future of Advertising on the net, no doubt, IMHO…Along with Ads networks whereby advertisers not only get to “control” their own [Geo’d] targeting, [through Looksmart’s AdCenter & VertSeek] but they also have first hand knowledge of their ROI’s, in the many optional markets on offer to them.

    Further consolidation in the online advertising industry is raising questions about the future of ValueClick Inc. But there are some reservations, according to this article ……

    People are using media online in very different ways, such as blogs and social networks, which makes it more difficult to get out an advertising message, he said.

    “Online advertising is changing to figure out the right way to get sponsored messages across to consumers in these channels. This is by no means straightforward,” he wrote in an e-mail. >

    All, only an opinion of course.