Microsoft is aiming to become the new king of online advertising

It is reported in Google News today that Microsoft is paying Facebook premium to get at Google.  Google managed to buy YouTube and is in the process of buying DoubleClick and we know that Microsoft wants its share of the pie in the online advertising business.  Microsoft is trying to aim for a big piece of the pie because we all know that Google is currently the king of online advertising.

Microsoft acquires minority stake in Facebook

Microsoft had it up its sleeve on how to overcome the intense rivalry over online advertising with Google and Yahoo.  Microsoft went ahead with a deal with Facebook, the social-networking business and acquired a minority stake in Facebook.  Microsoft announced that it will pay $240 million for a 1.6% stake in Facebook, a 3-year old company based in Palo Alto.

Microsoft secured U.S. rights to sell banner ads and sponsered links on Facebook in August 2006.  This new deal between Microsoft and Facebook will expand the agreement, hopefully allowing Microsoft to thrive in the online advertising business.

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