Microsoft said Thursday that it has landed a deal to help NBC Universal sell television ads.
Starting this fall, NBC will make some of its national and cable advertising inventory available for Microsoft to sell via its Admira system, which uses demographic data to help ad buyers reach the market segments they are seeking.
The two companies did not disclose the financial terms of the deal. The TV ad market is yet another area where Microsoft finds itself in competition with Google, although both are upstarts trying to shake up the traditional means of buying and selling television ads. Internet auction site eBay also tried its hand in this market, but decided to focus its resources elsewhere.
NBC had been kicking the tires on Admira since March, using it to sell ads in the Los Angeles area.
"Our initial test of the system in L.A. is off to a great start," NBC local media executive Frank Comerford said in a statement. "Admira provides us with the potential to help attract an entirely new segment of advertisers to the local marketplace, particularly small and mid-size businesses that might not otherwise be able to buy local television station advertising, which is a huge leap forward."
Microsoft got into the TV ad-selling business with last year's purchase of Navic Networks.
The Microsoft-NBC deal was reported earlier by The Wall Street Journal.
Microsoft said late Tuesday that it has bought Navic Networks, a company that helps television advertisers manage their ad campaigns.
The move will gives Microsoft a broader reach into the spot where advertisers spend the most.
"Television media represents the largest percentage of advertisers and agencies' media budget today," Microsoft Senior Vice President Brian McAndrews said in a statement. "Together, Navic and Microsoft will deliver addressable television advertising solutions to help our partners better manage media spend by increasing advertiser reach and ROI, and maximizing publisher yield on television advertising."
The move comes just six days after the company failed to reach an accord with Yahoo, leading the Internet giant to strike an ad deal with Google instead.
Based in Waltham, Mass., Navic has raised $43 million in three rounds of funding, according to its Web site. Investors include: Pilot House Associates, Highland Capital Partners, Himalaya Capital Ventures, and Pequot Ventures.
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