Follow Us

We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message

Google to buy $1 billion AOL stake

All part of the online ad battle with Microsoft.

Article comments

Google will pay $1 billion for a five percent stake in AOL, according to The Wall Street Journal. The report appears at the same as the news that Google and AOL are in talks over an advertising partnership.

AOL has spent months in discussions with several companies over possible tie-ups. Recently discussions with Yahoo broke down by the giant ISP has continued meetings with Microsoft and Google, among others.

AOL has long paid to carry paid search ads from the Google network, and split the revenue with Google.

Microsoft has reportedly been pursuing AOL to move the ads business over to the new Microsoft MSN Internet division and drop Google's search engine in favor of MSN Search.

AOL head Jonathan Miller declined to comment about the rumored negotiations but acknowledged AOL is a "swing voter" in the market for sponsored search ads, because of its traffic volume.

"AOL is the leader in various technologies and services in which Google isn’t a significant player," said Guzman financial analyst Philip Remek. "Just by working [more closely] with AOL in this fashion Google will learn and gain capabilities that would have been more difficult to develop on its own."

Becoming an AOL stakeholder might also lead AOL to help Google further develop its Google Talk instant messaging service and Gmail Web mail service.


More from Techworld

More relevant IT news


Send to a friend

Email this article to a friend or colleague:

PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.

Techworld White Papers

Choose – and Choose Wisely – the Right MSP for Your SMB

End users need a technology partner that provides transparency, enables productivity, delivers...

Download Whitepaper

10 Effective Habits of Indispensable IT Departments

It’s no secret that responsibilities are growing while budgets continue to shrink. Download this...

Download Whitepaper

Gartner Magic Quadrant for Enterprise Information Archiving

Enterprise information archiving is contributing to organisational needs for e-discovery and...

Download Whitepaper

Advancing the state of virtualised backups

Dell Software’s vRanger is a veteran of the virtualisation specific backup market. It was the...

Download Whitepaper

Techworld UK - Technology - Business

Innovation, productivity, agility and profit

Watch this on demand webinar which explores IT innovation, managed print services and business agility.

Techworld Mobile Site

Access Techworld's content on the move

Get the latest news, product reviews and downloads on your mobile device with Techworld's mobile site.

Find out more...

From Wow to How : Making mobile and cloud work for you

On demand Biztech Briefing - Learn how to effectively deliver mobile work styles and cloud services together.

Watch now...

Site Map

* *