August 9th, 2006
Categories: Internet Advertising, Online Marketing Analysis, Search Engine Optimization, Web Analytics
GigaOM has a good look at the reasoning behind the Fox/Google deal announced this week. Om examins the benefits to both sides while shedding some insight into the impetus for the deal in the first place.
From the article:
The $900 million deal between News Corp. and Google might seem to be all about MySpace, but in reality its all about other Fox Interactive properties, such as IGN. It is also a tactical admission by News Corp., that when it comes to running big ad networks, it doesn’t have the in house expertise, and Google is the current master of the online advertising.
Under the terms of the agreement, Google starts making minimum payments starting first quarter of 2007 through the second quarter of 2010. That works out to about $20 million a month for 45 months.
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