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Yahoo! Spends $680M To Acquire Right Media

Written on
May 8, 2007 
Author
Sarah Novotny  |
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Yahoo! Spends $680M To Acquire Right Media

$680,000,000 in cash and stock gives Yahoo! power over the advertisng auction site Right Media.

This deal provides Yahoo! with the remaining 80% of the ad company which has access to more than 20,000 buyers and sellers in the online advertising industry.

Yahoo! is obviously seeking to fortify its already precarious position with rival Google, which recently bought Double Click.

Yahoo! CEO praised Right Media calling the company a “very vibrant market place,” during a recent conference call.

Charlene Li of the Forrester Research group wrote in her blog that Yahoo’s actions represent a significant offensive move, despite the perceived defensive stance.

“Yahoo is putting a stake in the ground that the future for online display advertising lays in efficient, easy-to-use marketplaces, and it wants to be the trusted intermediary for that future,” Li wrote. “The acquisition makes it difficult for Google/DoubleClick to start its own ad exchange, which DoubleClick announced earlier this month. Right Media has been running its ad exchange for over two years, giving it the management and technical experience to run a successful exchange. But more importantly, I believe the acquisition puts pressure on Google’s AdSense network to be more transparent.”
The battle rages on, as the online ad industry pursues the coveted aliances with the internet’s titans.





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