Google strikes advertising deal with XM SatelliteI think with the downtrend of the market this week that this news will push SIRI back down below 4 today, perhaps setting up nicely for a 5% flipper
Google strikes advertising deal with XM Satellite
Wed Aug 2, 2006 7:25am ET
NEW YORK, Aug 2 (Reuters) - Google Inc. (GOOG.O: Quote, Profile, Research) on Wednesday said it struck a deal with XM Satellite Radio Holdings Inc. (XMSR.O: Quote, Profile, Research) to help the search engine's advertisers automatically insert ads on XM's nonmusic radio channels.
The deal would give Google advertisers a way to reach XM's subscriber base of more than 7 million people as they tune in to talk-based offerings such as Major League Baseball and an Oprah Winfrey channel.
It also could allow XM to increase revenue with new advertisers while lowering the costs related to processing ads, the two companies said.
Web search leader Google has been testing ways to apply its technology for selling Internet search listings to more traditional forms of media, from magazines to video.
Under the XM deal, Google's AdWords customers would be able to place terrestrial and satellite radio spots through the search engine's dMarc media network, the companies said.
Mountain View, California-based Google plans to integrate dMarc, which it bought early this year, into AdWords in the fourth quarter, it said.
Officials at Google and XM were not immediately available for comment.
The deal comes a week after Washington, D.C.-based XM cut its subscriber forecast for the year and said its quarterly net loss grew because of higher spending to attract new users.