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Facebook wants to take over the display advertising on its larger-than-life social network. In the process, it will stop using Microsoft (MSFT) to display the majority of advertising at what is becoming one of the most heavily-trafficked pieces of Internet real estate globally.
Is Microsoft angry? It should be -- every time the world's largest software company crafts some small way to try and compete with Internet advertising leader Google (GOOG), the rugs gets pulled from under it.
Microsoft will still provide text-based advertising all over Facebook while further integrating its Bing search engine into the world's hottest social network. It's amazing it took Facebook this long to take over its own advertising. The amount of highly-sensitive information the majority of those Facebook members relinquish to the social network is astounding. The capability to highly target ads based on the picture this information paints about each user is lucrative. Very lucrative.
This is direct from Google's playbook, of course. The company that practically invented relevant and targeted advertising (albeit just text links) has shown that the marketing world -- regardless of medium -- is changing. Talking to potential and repeat customers about their own individual needs (and how to satisfy them) without using blanket-type of messaging is the gold crown of interactive advertising. Facebook is starting to arrive there. What company would not want to cash in on 400 million users?
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