Google AOL deal is a GO

The much anticipated Google - AOL deal is a go.

Google and America Online, a wholly owned subsidiary of Time Warner Inc. announced that they are expanding their current strategic alliance.

The agreement creates a global online advertising partnership, makes more of AOL’s industry-leading content available to Google users, and includes a $1 billion investment in AOL by Google.

This strategic alliance expands on the original relationship between the two companies launched three years ago.

Under the strategic alliance, Google and AOL will continue providing search technology to AOL’s network of Internet properties worldwide. The agreement’s broad range of new features for users and advertisers include:

  • Creating an AOL Marketplace through white labeling of Google’s advertising technology - enabling AOL to sell search advertising directly to advertisers on AOL-owned properties
  • Expanding display advertising throughout the Google network
  • Making AOL content more accessible to Google Web crawlers
  • Collaborating in video search and showcasing AOL’s premium video service within Google Video
  • Enabling Google Talk and AIM instant messaging users to communicate with each other, provided certain conditions are met- and
  • Providing AOL marketing credits for its Internet properties.

AOL and Google have also agreed to extend the term of their existing European relationship, and, subject to mutual agreement, they may extend the AOL Marketplace internationally.

In addition, Google, AOL and Time Warner may choose to expand the new partnership to Time Warner’s other advertising opportunities.

Google will invest $1 billion for an effective 5% equity stake in America Online, Inc., allowing the company to participate in AOL’s future success. Google will become the only shareholder in AOL other than Time Warner

Source: TimeWarner PR

About Google Inc.
Google’s innovative search technologies connect millions of people around the world with information every day. Founded in 1998 by Stanford Ph.D. students Larry Page and Sergey Brin, Google today is a top web property in all major global markets. Google’s targeted advertising program provides businesses of all sizes with measurable results, while enhancing the overall web experience for users. Google is headquartered in Silicon Valley with offices throughout the Americas, Europe and Asia. For more information, visit www.google.com.

About America Online, Inc.
America Online, Inc. and its subsidiaries operate a leading network of Web brands and the largest Internet access subscription service in the United States. Brands include the AOL(r) service, the AOL.com(r) website, and the AIM(r), MapQuest(r), Moviefone(r), Netscape(r), CompuServe(r) and ICQ(r) services. America Online offers a range of digital services including the TotalTalk(r) voice service. The company also has operations in Canada and Europe. America Online, Inc. is based in Dulles, Virginia.

About Time Warner Inc.
Time Warner Inc. is a leading media and entertainment company, whose businesses include interactive services, cable systems, filmed entertainment, television networks and publishing.

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