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Google, eBay collaborate

August 31st, 2006 by Ben Flux

Shortly after entering into an advertising deal with MySpace, Google has now entered into an agreement with eBay to be the exclusive provider of its text ads on non-US eBay properties. See press release

Considering the volume of traffic that eBay’s international properties drive, this seems to be a pretty big initiative for all parties concerned (including advertisers). However, eBay says that it does not expect any material impact to its financials in this year and the next. The companies are also planning to integrate “click-to-call” functionality using both Skype and Google Talk.

As recently as May this year, eBay and Yahoo had announced plans to work together on several projects that covered some of these very aspects: advertising distribution, greater interoperability between Skype and Yahoo! Messenger and a tool bar.

I wonder how the latest announcement affects the eBay-Yahoo partnership, if at all (of course, these alliances don’t “have” to be mutually exclusive).

The other aspect I am not sure about is how Google treats “publishers” such as eBay or MySpace-do they become part of Google’s search network or the content network? The answer obviously affects advertisers..

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