How AOL and Yahoo! can survive the rise of the machines

03/23/2012 | Advertising Age (tiered subscription model)

AOL, Yahoo! and Microsoft's deal to sell one another's unsold inventory won't save them from the technological changes currently reshaping the online-advertising world, writes Joe Zawadzki. Instead of circling the wagons to defend traditional media buying, the big three should embrace automatic bidding via private exchanges. Microsoft, Yahoo! and AOL could leverage their vast trove of user data to provide a game-changing programmatic buying service, allowing them to "unlock the tremendous value their properties have in the new world," Zawadzki writes.

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