Microsoft Buys AdECN

Update: Deal value was between $50-100 million.

Microsoft ADECNOur points in the wake of the Tacoda AOL deal still stand and apply to the Microsoft - AdECN deal.

Background: AdECN is a network of networks and is pre-revenue. Current exchanges focus on remnant inventory (RightMedia/YHOO, DoubleClick/AdEx/Google, MSFT/AdECN).

ContextWeb’s ADSDAQ Focuses on:

  • Premium Inventory (others focused on remnant)
  • Open to Everyone (others focused on “fat tail” only)
  • Contextual Tradable Units / proprietary technology adds value to inventory (others are transactional w no value add)
  • Price control - Long tail publishers can name their CPM price via AskPrice (others are revenue share/remnant/no price control
  • Our ADSDAQ Exchange is at scale and reaches 1 in 3 US Internet users

Editor’s note: View Jay’s post on the AOL-Tacoda deal from Tuesday which applies to today’s acquisition, too.

Related Links: Seattle Post-Intelligencer, Barron’s, Reuters, Microsoft, Silicon Alley Insider, Search Engine Watch Blog, The Wall Street Journal

-- Jay Sears



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