The speed with which Google was able to earn revenue from pay-per-click ads was "a wake-up call within Microsoft", according to the company's CTO, Ray Ozzie.
Microsoft trails Google and Yahoo! in the web advertising market, with the Redmond-based desktop software maker seen as playing catch-up in web innovations.
Chris Averill takes a look at why 'more advanced' interactive TV services haven't been a bigger hit with viewers.
The Guardian is reporting today that online gambling group PartyGaming has closed its French website, without notifying investors. One shareholder has offloaded around £50m of stock in the firm.
Meanwhile, John Anderson, the former chief executive of 888 Holdings, has been summoned for interview by the French authorities, prompting speculation that French authorities are about to crackdown on online gambling.
This in itself is prompting speculation that the French and American governments actually agree on something.
MySpace is giving a big boost to British fashion retailers, with the proportion of their traffic driven from the social networking site growing fast in the last year.
Referrals from MySpace accounted for 5% of visits to Topshop.co.uk - far less than searches from either MSN or Yahoo!, according to Hitwise data.
eBay is partnering with Bebo to allow users of the social networking site to list auction items on their profiles.
The agreement will allow Bebo's 30m members to detail items they want to buy or sell. Clicking the link will take visitors directly to eBay's own pages, the Wall Street Journal said.
Nectar is the UK's largest customer loyalty programme, and since its launch in 2002, more than ten million UK households regularly collect Nectar points.
The Nectar website, which allows users to spend the points they have earned on everything from CDs and DVDs to discounts on holidays, has recently relaunched with a view to improving usability.
We caught up with Roger Sniezek of Loyalty Management Group (which owns and operates the Nectar brand) to find out more about the site's relaunch.
From next month, Google is to provide more data, as well as tools to help its pay per click advertisers detect and combat click fraud.
The online ad giant will allow PPC advertisers to specify which IP addresses will be prevented from receiving their ads, in order to stop unscrupulous rivals wasting ad budgets with repeated clicks.
This is a smart move towards the greater transparency many advertisers have been demanding.
Advent Venture Partners has announced that it has invested $5m (£2.5m) in online customer feedback provider Fizzback Group.
Formerly known as 'Instant Market Intelligence', Fizzback works with a number of companies, National Express included, to help them capture and analyse feedback from their customers.
DoubleClick has purchased rich media ad firm Tangozebra for £15m, and plans to merge both firms’ European activities.
Serial web investor
as a venture partner by London-based VC firm Index Ventures. Saul is planning to help Index spend its new technology fund and he will also work with its existing portfolio.
He spoke to us about why European start-ups need better access to experienced entrepreneurs, why he thinks social shopping is over-hyped, and what's driving the renewed interest in internet companies from investors.