This is a bit hard to believe. The famous social news bookmarking website Digg.com has struck an advertising deal with Microsoft to display ads on its website that gets 17 million unique monthly visitors. It’s a 3-year deal.
Most of its users will term this deal as a “deal with the Devil”. Digg used to display the Google ad network’s ads prior to this. Microsoft struck a similar advertising agreement with the social networking website Facebook last year.
I think it’s not a loss for Google, but a definite gain for Microsoft. I’ve never considered the Digg audience as a serious audience, although Digg can be a good source of accidental traffic surges, especially if you run a technology, web designing or blogging related blog. They act like a herd, and most of the digging is controlled by the top 100 diggers. So I wonder how much ad revenue Google is going to lose by not being able to display its ads there.
For Microsoft it’s a new entry into the Web 2.0 world (it never actually hit the Web 1.0 world). Compared to Google advertising network, Microsoft’s advertising network is a tiny one, so it is a significant stride for Microsoft.
[tags]digg, google, microsoft, online advertising, google ads[/tags]