Display ad firm acquired by search giant previously partnered with rival

Google deal scuppers Yahoo’s plans

Google has acquired display advertising firm Teracent, in a move seemingly aimed at blocking the Sillicon Valley start-up’s collaboration with rival search engine Yahoo.

Teracent’s technology uses machine-learning algorithms to customise banner adverts based on who is looking at them. Aspects including images, products, messages or colours can be tweaked depending on factors like the viewer’s geographic location or language, the content of the website or even the time of day.

Teracent teamed up with Yahoo earlier this year as part of the search company’s ‘Smart Ads’ program to provide targeted advertising to PC and mobile advertisers.

Terms of Google’s acquisition have not been disclosed, however, the deal will probably mean an end to Teracent’s collaboration with the rival firm.

“This technology can help advertisers get better results from their display ad campaigns. In turn, this enables publishers to make more money from their ad space and delivers web users better ads and more ad-funded web content,” Google’s vice president of product management Neal Mohan and engineering director Joerg Heilig wrote in a blog.

Teracent wrote in a statement: “The infrastructure, opportunities and technical depth that Google will provide for Teracent customers means a future of product innovation for Teracent’s dynamic ad optimisation platform.”

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