Microsoft Acquires Shopping Search Site Jellyfish

Microsoft has acquired Jellyfish, a comparison shopping site that launched in June with a pay-per-action ad model.

Jellyfish acts like a reverse auction through which retailers are ranked according to the amount they agree to lower their prices. The more they drop the price, the higher up in the search results advertisers appear.

On the Live Search blog, a Microsoft rep 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."

About the author

Kevin Newcomb joined ClickZ in August 2004, covering search marketing and other online marketing topics. He has been reporting on web-based businesses since 2000.

Before the bubble burst, Kevin was a marketing manager for an online computer reseller, handling copywriting, e-mail marketing, search marketing and running the affiliate program.

With a combination of real-world marketing experience and years of business journalism, Kevin brings to ClickZ a unique ability to deliver news and training materials that help online marketers do their jobs better.