Google has been rumored to be in talks with Teracent, a company that helps advertisers improve the effectiveness of banner ads. A competitor, Tumri, is also viewed as an acquisition candidate. Teracent and Tumri declined to comment. Ads targeted toward Web-user behavior are of growing interest for Google. Media6Degrees, Lotame, and 33Across all use data obtained from the social relationships of Web users to serve them more relevant ads. For example, Google could use Lotame’s technology to help advertisers deliver ads based on interests shared on social network MySpace, owned by News Corp. (NWS). « There’s a lot of interest in this ad optimization world, » says Linda Gridley, CEO of New York investment bank Gridley & Co. « Advertisers are demanding better targeting capabilities. » Media6Degrees, Lotame, and 33Across all declined to comment on the possibility of a sale.

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