Microsoft's new system for targeting Internet advertising helps target by gender and location.Microsoft on Monday unveiled an improved Internet advertising system that lets companies target a more precise audience based on sex, age and location.
The technology is now serving up ads alongside MSN search inquiries from Singapore and France. U.S. testing of what Microsoft Corp. calls adCenter begins in October, Microsoft said in a statement.
Microsoft has been using technology from rival Yahoo Inc. to place ads alongside results from using its MSN Search Web site.
It couldn't be immediately determined whether adCenter replaces Yahoo, or augments the existing arrangement. Microsoft appears to consider adCenter to be superior to the Yahoo technology, according to a report in Monday's New York Times.
Microsoft's adCenter is seen as a competitive response to Yahoo, Google Inc., Ask Jeeves Inc. and other Internet search results providers, which generate their revenues by placing ads alongside search results.
Ad battle between Google and Yahoo could benefit publishers. Click here to read more.
Nielson/NetRatings' July rankings of the search market has Google with a 46 percent share, Yahoo 23 percent, MSN 13 percent and AOL 5.4 percent.
The adCenter release also augments the argument that Microsoft now views software delivered over the Internet as key to its future. A Microsoft spokesman did not immediately return calls seeking comment.
The speculation comes as the software giant says it will realign several existing units into three core divisionsPlatforms and Services; Business; and Entertainment and Devices.