Yahoo Inc buys 35 pc stake in Tyroo

New Delhi, July 18 (UNI) Leading Internet company Yahoo Inc today said it has acquired between 35 to 50 per cent stake in Tyroo Media Pvt Ltd, a self-serve advertising network for an undisclosed amount.

''The stake varies in the range of 35-50 per cent. The cash infusion by Yahoo will be used to invest aggressively in technology and sales network to reach out to a number of small and medium-sized advertisers and publishers in the country,'' said Yahoo India Managing Director George Zacharias.

Through this investment, Yahoo will act as a catalyst for the entire ad-network industry in India signifying our increasing focus in Indian online advertising networks, he added.

He further said that the advertisement revenues have soared over the last two years and this year, we expect it to be double.

Yahoo had started its search-based advertising business in the country about eight months ago. The deal will allow Yahoo to grow its business with third-party publishers in the country while it prepares to bring its revamped advertising system, Panama, into the country in some time, along with technology it acquired from Right Media Inc.

Yahoo had acquired Right Media completely in April this year.

Speaking about the influence of Yahoo's already established ad network, Smile Group Chief Executive Officer Mr Bahl said the management of both the companies will remain at arm's length and not influence the other's working.

Tyroo is the country's largest self-serve advertising network with 20 per cent market share. It places advertisements on a network of about 1,200 websites. Suitable for smaller businesses, it allows them to design graphic or text-based ads and choose the sites that will bring them a targeted audience. It also boasts of a userbase comprising 32 million users.

Smile Interactive Technologies Group was started in 1999 and provides Internet Business solutions.

Online advertising in India is growing at 60 per cent annually and is projected to touch Rs 550 crore in 2007-08.

UNI