Google announced today (http://www.google.com/press/pressrel/advertising.html) a "content-targeted advertising" service which proposes to replace general website ads with "relevant sponsored links" similar to those displayed in its own search engine, and in the search pages of its affiliates.
Here's how "content-targeted advertising" by Google appears to work:
- Google's proprietary classification engines identify "the meaning of a web page"
- Based on that, and presuming a 3-way arrangement between Advertisers - Google - Websites, Google then automatically serves "relevant" ads from its stable of participating advertisers
- Relevance to a website is [apparently] based on Google's classification scheme, and the order of relevant ads served is [apparently] based on Google-measured click-through response rates [now competing with Double-Click and others].
Here's a link to a Motley Fool article about this: Google's Banner Day. The search king moves into third-party advertising. [The Motley Fool] and another in Wired News: http://www.wired.com/news/business/0,1367,57900,00.html
4:04:09 PM 
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