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Google goes on a buying spree

by Shaun Nichols

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09 Nov 2009

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Sources have revealed that Google is set to tie up the acquisitions of AdMob and Gizmo5

Google has reportedly made a pair of acquisitions worth a total of $780m.

The company confirmed that it would be putting down $750m (£447m) for mobile handset advertising specialist AdMob. The California-based firm specialises in embedded advertisement placement for mobile web pages and handset applications.

Google said that the aim of the acquisition was to supplement and strengthen its mobile reach beyond its current search ad platform.

The company envisions the combined advertising platform as a way to offer new avenues to advertisers while also helping developers supplement development costs and keep retail pricing for the applications down.

Susan Wojcicki, vice president of product management at Google, wrote in an official blog posting: "We believe that great mobile advertising products can encourage even more growth in the mobile ecosystem. That is what has us excited about this deal.

"We believe users will benefit from this deal, through more mobile content and through better mobile ads that deliver useful information."

The AdMob buy was not said to be Google's only Monday acquisition. News site TechCrunch cited multiple company sources in reporting that the company has agreed to pay some $30m to acquire telephony specialist Gizmo5.

Gizmo5 uses the SIP protocol to allow users to place calls over the internet. Reports suggest that the company's technology could be used to help build the Google Voice platform into a more robust VoIP offering.

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