Google Buys DoubleClick for $3.1 Billion

Google has bought DoubleClick for a breathtaking $3.1 billion in a transaction that is expected to find regulatory approval after a hard slog.

With DoubleClick's huge display ad serving business, it made sense for mighty Google to swing for the fences in that Google's display business is almost non-existent. The DART ad serving system will be a jewel for Google that is to be envied by other players such as Yahoo! and Microsoft.

In addition, DoubleClick's new advertising exchange business will likely provide a platform upon which Google can leverage its existing AdSense/AdWords network and move toward the next generation of online advertising. It is believed that the acquisition price bloomed as the advertising exchange became seen as a "must-have" at Google.

Some agree with Google's blog post about the acquisition that DoubleClick gives Google important agency relationships. This appears true - though Google's still going to have a lot of hands to hold once this transaction is complete.

DART is used by just about every agency - the same agencies that control the majority of big ad dollars, especially brand dollars - and could be the keys to the online advertising kingdom.

Whether brand dollars are ready to come the online advertising exchange platform, we shall see.

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