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According to a front-page story in today's New York Times, Microsoft is again considering a new Yahoo takeover effort. Interesting statistics include that Google has 58% of the search advertising market. Microsoft's annual profit is $4.39 billion, and Google's is only one-third as much, just $1.31 billion. Microsoft's strategy to "disrupt the marketplace" seems like Goliath setting out to crush David.
May 19, 2008 NYTimes article By STEPHANIE CLIFFORD and MIGUEL HELFT details how on-line display advertising at AOL declined 18% and that large Web publishers face even more dramatic declines in on-line display advertising. PubMatics study of large ad networks show prices dropping 52% from a year ago. Text advertising, like the sponsored links that appear on Google, seem to be holding steady. This chart shows advertisers responses to online spending plans for this year.
