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Google signs pact with Daum, vows to expand operations

14 Dec 2006
00:00
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Google forged an alliance with South Korean Internet portal Daum and vowed to expand its business in the country, an AFP report said.

The AFP report said Google and Daum Communications, South Korea's second-largest Internet portal, agreed to cooperate in the online advertisement market.

Daum said it would run Google's cost-per-click (CPC) search ads from January 1 when its contract with another US portal Overture expires, the AFP report further said.

The CPC ad business is one of the fastest-growing types of Internet advertising. Clients pay search engine operators to promote their goods and for the results of Internet searches.

Google, which started its Korean-language search site in 2000, has struggled to boost its presence in South Korea. Nearly three-quarters of homes have high-speed Internet access but many prefer local services, the AFP report said.

'The company continues to hire in its research and development center and sales operations in Seoul, develop new Korean products and expand business relationships countrywide,' Google said in a statement.

Daum also welcomed the alliance with Google, saying it would improve its profitability and competitive edge.

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