Thursday, October 4, 2007

Microsoft acquires Jellyfish shopping site

MICROSOFT has quietly acquired a comparative shopping search engine company Jellyfish.com, a start-up that seeks to give its customers a cut of retailers’ online advertising each time they make a purchase.

Microsoft announced the acquisition in a three sentence statement on its Live Search blog, and gave few details of its intentions for the Jellyfish technology.

“Jellyfish has done some really innovative work in comparative shopping engines,” the Microsoft blog said.

“We think the technology has some interesting potential applications as we continue to invest heavily in shopping and commerce as a key component of Live Search.”

The site works by advertisers nominating the level of commission it will pay Jellyfish for sales made through its site. Jellyfish then commits to rebate at least half of that commission to the customer as a rebate.

It is not clear what Microsoft will do with the Jellyfish technology. The company is known to have been working on its own comparative search for its own ecommerce offerings.

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