DoubleClick: Students benefit Google?

The DoubleClick merger has brought Google into display advertising market. However, profit efficiency is still a question. 

3.1 billion: The amount Google spent to buy online advertising firm DoubleClick. 

Three years ago, the search company Google (USA) has completed the largest merger of its: USD 3.1 billion acquisition of online advertising firm DoubleClick (U.S.). The goal of Google is far more active search advertising firm that dominates the market to move into a larger potential. It is a display ad (image ads that appear in web pages). Two months after the acquisition, Google shares rose to 35%, personnel at 595 USD. 

However, since then, Google stock price is stationary, while the competitive online advertising market has changed. Days ago, Yahoo was the champ. Currently, Microsoft is a formidable competitor, next to the giant Facebook. Even Apple has entered the online advertising platform with iAd program installed on your mobile device. 

However, Google still see the acquisition of DoubleClick is one of their best deals ever. 10.2010 In January, Google said advertising revenue shown to have about 2.5 billion dollars / year. 

Difficult to assess the deal is successful or not as much of $ 2.5 billion came from advertising on the website to share videos online by Google bought YouTube in 2006. Analyst Mark Mahaney of Citigroup, said that YouTube is lucrative without DoubleClick and that last year's display ad network Google has brought 1 to 1.5 billion revenue. "Clearly, Google is positioning as a platform for Internet advertising with display advertising network holding company. I do not know if that's why Google paid such a price for DoubleClick, "Mahaney said. 

After acquisition DoubleClick, ad display Google has developed services and software to help advertisers create, sell and track the effectiveness of this advertising. It also caused more controversy over privacy on the Internet. To determine how effective the advertising program must use "cookies" (small data files to track web surfers). Cookies are not anything new. Many companies are already using them and the protection of privacy rights groups have also been complaining for years about the cookies. 

However, the biggest threat to the ambitions of Google ads that show is probably Facebook. This social network will earn $ 4 billion in 2011 revenue from the ads displayed small, easily overlooked on the user pages (according to research firm eMarketer). Susan Wojcicki, Google senior vice president, who previously criticized the merger of DoubleClick, is not worried about anything. She said: "Facebook will certainly make things interesting and promising. But this market is big enough for all of us. "

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