Yahoo Is Not the Only Item on Microsoft’s Shopping List

Yahoo is not, even by far, the only item on Microsoft’s shopping list. Microsoft Chairman Bill Gates made it clear that, although he gave his blessing for the acquisition of Yahoo, a strategy cooked by Chief Executive Officer Steve Ballmer, the Sunnyvale Internet giant wouldn't become the company's exclusive focus in its race after Google. And while Yahoo will undoubtedly shorten the distance which separates Microsoft from the incontestable leader of the search engine and online advertising markets, by a consistent share, the Redmond company continues to climb its way toward Google slowly, through its own efforts, but also via additional acquisitions.

Of course that in comparison with the $44.6 billion price tag that Microsoft stuck to Yahoo, all other take-overs seem anodyne. Case in point: YaData, a developer of tools designed to identify unique customer segments. The financial details of the acquisition have not been made public, but it is reported that Microsoft paid between $20 and $30 million.

"The purchase of YaData brings the Israeli R&D center into the field of online advertising, which is undoubtedly one of Microsoft’s most strategic fields," said Moshe Lichtman, President of the Microsoft Israel R&D Center. "This is a great example of how Israeli technology has considerable value that is contributing to our most important areas of development. In recent months, I have become familiar with YaData's top quality personnel, and I am convinced that their contribution to the Israeli R&D center and to Microsoft globally will be significant."

Microsoft's Israel R&D center in Herzliya will grow with the addition of the YaData team, and the technology will be added to the Microsoft’s Advertiser and Publisher Solutions group. "YaData fully believes in the potential of behavioral targeting to enhance the value of online advertising for publishers, advertisers and users," said Amir Peleg, chief executive officer of YaData. "Microsoft has the resources to unlock the potential in YaData’s technology and create a truly innovative online advertising solution. We’re excited to see what the future holds."

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