The deal, rumored for the past few months, gives the social networking giant a tool to use the information gleaned from its users to serve up more relevant ads, while giving advertisers better data about the effectiveness of marketing campaigns.
Microsoft is not walking away from online advertising. But rather than owning a singular ad technology and tools platform, Microsoft is focusing on building devices and services--such as Windows 8, its Surface tablets, Xbox Live, and Skype, among others--that are advertising platforms.