We will be covering the proposed takeover, from both the online advertising business and privacy side. Here’s a revealing tidbit from BusinessWeek on what Microsoft hopes to achieve from a deal: “What’s more, the company is hoping to bring together Yahoo’s research and development staff, who’ve done innovative work in online advertising auction theory and data-mining, with its own online lab.”
Yes, a key to analyzing this deal–if it happens–is what are the consequences when Microsoft’s adCenter merges with Yahoo!’s Panama and other data mining assets. That’s why it’s important to keep a spotlight on what Google and Microsoft, among others, plan to do. Here’s an example of where we are headed, courtesy of Microsoft’s adLab demonstration this week [via Clickz]: “Online advertising has been centered around keywords for too long,” said Tarek Najm, an engineer for Microsoft’s advertising and business intelligence systems, adding the “next wave of advertising is going to use new algorithms and technologies” that display ads based on consumer intent.”
