Microsoft moves into mobile display ads

by Tristan O'Carroll, Media Week 21-May-08, 12:20

LONDON - Microsoft has launched a service allowing advertisers to run display banner ads to mobile users of Windows Live Messenger and Windows Live Hotmail.

Mobile phone users in France, Spain, the UK and the US will now see the banner ads when using the Microsoft services.

Google, Yahoo, AdMob and Third Screen already offer display banner ads on mobile phones.

Chris Ward, commercial director of Microsoft Digital Advertising Solutions, said the launch of display advertising on Windows Live Mobile was an "important milestone" for Microsoft's mobile business.

He said: "With over 220.5 million mobile subscribers in Europe alone, mobile advertising is a small but rapidly growing market, and we feel there is huge potential for advertisers to reach out and engage with consumers in this space."

Microsoft said it plans to support keyword advertising on Live Search Mobile. A test version of the keyword advertising service is available in the US and Microsoft said it plans to expand its availability to other countries in the second half of the year.

Microsoft also announced a new brand, Microsoft Advertising, to house its collection of advertising assets such as Atlas, AdECN, adCenter DRIVEpm, Massive and ScreenTonic, as well as media offerings MSN, Windows Live, Xbox and Office Online.