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Google is said to be considering DoubleClick for $2 billion

When Google decided to push forward into expanding its advertising portfolio, it definitely wasn't just testing the waters. Today reports surfaced around the Internet that Google is in talks with long time online advertisement house DoubleClick. What makes the talks between Google and DoubleClick more critical is that Google isn't just the only one with its eyes on the advertising firm. According to several reports, AOL, Microsoft and Yahoo are also in talks with DoubleClick's top management.

DailyTech last reported that Google announced its official push into video game advertising with the purchase of Adscape. The company launched a campaign to start pushing its AdSense and AdWords programs into video games.

With online games being released on consoles on an increasing basis, this also would make it easier for Google to approach console developers. Gamers have voiced their opinions about in-game advertising before and indicated that they were displeased with the movement, saying it detracts from the "reality" of the game.

Analysts are expecting the selling price for DoubleClick to reach as high as $2 billion USD with Google in the talks. Industry insiders indicated that Google is still developing its own advertising services, but said that Google would not stand to let Microsoft take over control of one of the oldest and widely used advertising firms.

According to search engine expert John Battelle, Microsoft is a big threat to Google's advertising space. "It's a major risk to [Google's] business to force advertisers to change behavior -- it needs a third-party ad serving solution."



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RE: Another expensive buy
By iNGEN on 4/6/2007 1:49:37 PM , Rating: 2
Even assuming there is zero revenue growth in online advertising, I think you just answered your own question.


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