Microsoft looks to future of Internet advertising

Philip Lee, a research analystwith Microsoft’s adCenter Labs, demonstrates prototype “virtual product placement” advertising technology on Tuesday.

icrosoft Corp.’s online advertising researchers will spend this year teaching computers to be smart about sticking ads into video clips, and to be even smarter about targeting ads to specific Web surfers.

Microsoft showed off a handful of early-stage advertising projects at its headquarters Tuesday that may or may not turn up as part of Microsoft’s Web advertising platform.

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