Digg buries Google, unearths Microsoft

26 Jul 2007

In a surprise move, popular user-voted news site Digg has decided to end its partnership with Google Inc. Google AdSense has provided the site with its embedded personalised ad service up until now.

Over the coming weeks Digg will be making the move to advertising provided by Microsoft’s adCenter after the two companies yesterday made public their agreement to work together.

This new deal places Microsoft as the exclusive provider of both display and contextual advertising on Digg.com for the next three years. It also opens a channel for future collaboration on new innovative advertising projects.

Although online advertising juggernaut Google may have seemed like the obvious choice of partner for Digg into the future, Jay Adelson, CEO of Digg referred to Microsoft’s online advertising division as a young, innovative ad service “willing to work with us on the cutting edge”.

“We’re now positioned to provide a world-class advertising solution that builds upon Digg’s philosophy of providing a great experience for users and advertisers,” said Adelson.

“As the Digg audience continues to grow and diversify, we believe that this initiative with Microsoft, and the resources that it provides, will enable us to focus less on developing an advertising infrastructure and more on developing new and innovative features for the site.”

Digg is the second biggest customer that Microsoft’s relatively new adCenter platform has netted since its partnership with Facebook in August of last year, and the first since the Redmond company acquired huge advertising network aQuantive for US$6bn in May of this year.

By Marie Boran