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Old 07-26-2007, 06:36 PM   #1
Alex|Canep Media
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Default Microsoft Announces Acquisition of AdECN

Hello everyone,

For those of you who have not yet heard Microsoft has acquired AdECN, a neutral online advertising exchange. With Google's acquisition of DoubleClick and Yahoo's acquisition of Right Media, the three Internet giants are once again toe to toe in competition. Here is a portion of a Press Release from Microsoft:

REDMOND, Wash. — July 26, 2007 — Microsoft Corp. today announced it has agreed to acquire AdECN, Inc., an advertising exchange platform company based near Santa Barbara, Calif. AdECN’s technology serves as a hub where advertising networks can come together in a neutral, real-time auction marketplace for buying and selling display advertising. The deal is a key component of Microsoft’s strategy to develop a comprehensive search and display advertising platform helping advertisers and publishers to maximize return on investment (ROI) on their digital advertising investments. Financial terms of the deal were not disclosed.
(Source: http://www.microsoft.com/Presspass/p...#37;20Releases )

Canep Media is a full seat-holder in the AdECN Exchange, and we received a few concerned inquiries that Microsoft will take over the show, and leave other networks in AdECN high and dry. I have been assured that AdECN although working with Microsoft will retain its neutrality amongst all networks. Here is a portion of an article on the issue published by ClickZ:

Since purchasing ad firm aQuantive, which owns ad agency -- and ad buyer -- Avenue A / Razorfish, ad seller Microsoft has come under fire regarding potential conflicts of interest. The firm is taking pains to ensure conflicts don't arise as a result of the AdECN acquisition.

According to Urschel [CEO of AdECN], all members of the ad exchange, which may include Microsoft properties such as Hotmail, AdCenter and aQuantive's DrivePM, will be required to sign the same membership agreement all networks in the exchange do. The contract stipulates members agree to certain rules of conduct and pay network publishers when charged.

"[Microsoft] understands that for this to be a platform that supports the industry," there can be no competing interests, said Urschel. "They get it."
(Source: http://www.clickz.com/3626549 )

Some of you may be thinking how does this affect me? If you are an advertiser with Canep Media or another seat holding network at AdECN, you will soon have access to premium inventory on Microsoft properties. If you are a publisher, 60,000 Microsoft AdCenter advertisers will soon enter the auctions and bid against each other to purchase your inventory, ultimately increasing your earnings.

This is a very exciting time for both Canep Media and AdECN, opportunities to work with more inventory and more advertisers on such a large scale do not occur very often. Please share your opinions on the matter, as we are definitely looking for feedback from both our publishers/advertisers as well as industry professionals.

Last edited by Alex|Canep Media; 07-27-2007 at 11:21 PM.
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Old 08-01-2007, 06:57 PM   #2
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That sounds interesting
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Old 08-02-2007, 08:24 AM   #3
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I really don't know if it's a good news or bad news.
But it must be a bad news for online advertising company.
The three giants are too horrible,why the goverment not stop these purchases.
It maybe lead a monopolization.

Last edited by seoplus; 08-02-2007 at 08:47 AM.
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Old 08-06-2007, 06:57 AM   #4
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It is hardly a monopoly with 3 companies in competition, but I understand your point. However, as ling as Yahoo doesn't change Right Media Exchange and MS doesn't change AdECN from open services then I actually think this is quite a good thing as smaller networks can get involved probably with smaller setup fees than in the past.

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Old 07-30-2012, 02:24 AM   #5

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How quickly the mighty can fall in this industry. Microsoft is in the process now of writing down more then $6 BILLION from its balance sheet as a result of aQuantive becoming virtually worthless.

The team from Redmond haven't had much luck in the online media space so far. It will be interesting to see whether Windows 8 and IE10 help to change Bing's fortunes.

Read more about the aQuantive write-down here:

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Old 12-27-2012, 11:55 PM   #6
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I in fact anticipate this is absolutely a acceptable affair as abate networks can get complex apparently with abate bureaucracy fees than in the past.
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