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Announced via a press release on the yahoo website, Yahoo! has acquired Right Media. Yahoo! invested in Right Media this past fall and obtained a 20% share in the company. The deal is for $680 million in cash and stocks and comes shortly after Google acquires DoubleClick.
The key changes will be:
- Advertisers will have greater inventory and audience options from Yahoo! and other participants in this exchange, as well as increased control and visibility into the buying process.
- Publishers will be able to bundle their own ad inventory with Yahoo!’s inventory and the exchange’s inventory - thereby boosting demand and generating the highest returns for each ad placement.
- Advertising networks will reap the same benefits as advertisers and publishers, and additionally, the exchange will benefit those ad networks with unique value propositions, giving them an opportunity to compete with the largest players, thanks to reduced friction and increased transparency.
- For Yahoo!, this more open approach will allow the company to increase liquidity, allow advertisers to more efficiently ascertain the true value of display ad inventory, and generate greater returns for Yahoo!’s own display inventory. It will give Yahoo! a new channel and inventory for excess demand and provide an opportunity to derive more value from non-premium inventory.
It is obvious the internet advertising industry is heating up and I hope there are many more good things to come.
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