New York Times has reported that Yahoo is planning to buy Right Media, which owns an online advertising marketplace, for $680 mn -
Google and Yahoo each dominate one segment of the online advertising market. Google is best at selling text ads that appear alongside search results and on other websites. Yahoo, which has lagged Google in search, is a leader in selling graphical ads, mostly on its own sites.
With Google’s acquisition of DoubleClick and Yahoo’s acquisition of Right Media, both Google and Yahoo have moved beyond their traditional strengths and are now pitched squarely against each other in the battle to dominate online advertising.