Google’s DoubleClick Must Operate Independently to Continue Growth

For Internet users, the deal means more advertising tailored to their online habits, as DoubleClick and Google combine some of their huge databases to direct specific ads to different Web surfers’ tastes.

Google has taken steps in the last year to enter display advertising by expanding its AdSense program but has not faired well.DoubleClick’s strength lies in flashy banner ads and, video ads that are more like high-end magazine or television ads.The deal thus thrusts Google where it wants to be in display advertising.

DoubleClick’s role as Switzerland must be upheld.DoubleClick’s Clients are buying relationships and those relationships must be preserved. Google must manage its existing business and that of the new DoubleClick unit while avoiding conflicts of interest. DoubleClick’s clients will need to be reassured that Google is not using DoubleClick’s relationships to further its own ad network while shunning clients existing outlets, otherwise many clients may decide to go direct.

Of Course the growing unease among consumer privacy advocates over Google's proposed acquisition of DoubleClick is another concern that must be dealt with before this merger can move forward.