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Yahoo Acquires Ad Company Dapper

Yahoo has announced the acquisition of online display ad start-up Dapper.

Dapper specialises in dynamic display ads and a display ad bidding platform.

The financial details of the deal were not disclosed, but industry insiders are pegging the deal anywhere between $20 million and $30 million.

Yahoo said in a press release: “Dapper’s capabilities, combined with Yahoo!’s already deep consumer insights, will help Yahoo! more efficiently deliver dynamic and personalised ads for customers across more of our network and will accelerate the adoption of Yahoo! Smart Ads.”

The company said it expected the acquisition to be completed in the fourth quarter of 2010.

Dapper was founded by Eran Shir and Jon Aizen in 2006 and offers contextual display ads which are based on the content on a website. It also offers technology which allows advertisers to update their ads in real-time.

Display ads are becoming increasingly popular in the online advertising market. Even Google, which has made a fortune using text based online ads, is planning to venture into the lucrative market.