NEW YORK AOL continued its drive to build its ad network businesses with the purchase of Quigo, a contextual ad network.
Quigo works with publishers to offer alternatives to big contextual ad networks like Google's AdSense. Instead of having advertisers go through Google, Quigo partners include AOL sibling company Time, ESPN.com and Forbes.com. Advertisers can specify the sites and pages where they want ads to appear.
Financial terms were not disclosed. It was widely reported AOL would pay up to $300 million for the New York-based company.
Quigo will operate as part of Platform-A, the group AOL set up in September to house its network businesses. The unit also includes Advertising.com, Tacoda, Lightningcast and Third Screen Media.
AOL is in the midst of shifting its business from a subscription-based service and a Web portal to a fully ad-supported model that combines the reach on its own sites with a network that targets ads based on a range of criteria on third-party venues.
"With Quigo, we're putting the final pieces of Platform-A in place," said AOL CEO Randy Falco, in a statement. "We will be able to offer advertisers and publishers the most advanced set of tools, including contextual and behavioral targeting, superior analytics, and access to the largest display advertising network in the marketplace."
AOL plans to use Quigo on its own Web pages; that could displace Google, AOL's longtime search partner, which also owns 5 percent of the company.