Yandex N.V. (NASDAQ: YNDX), which operates the largest search engine in Russia, has teamed up with Google Inc. (NASDAQ: GOOG) in a strategic partnership that will allow Google’s advertising clients to gain access to the advertising inventory offered by publishers in Yandex’s advertising network, while Yandex’s advertising clients will likewise be able to bid for inventory in Google’s real-time bidding (RTB) system.

This partnership is expected to boost revenue for the most sought-after advertising spaces, Yandex said in a statement. The deal relates just to display advertising; text-based contextual advertising is not included. The integration of their RTB systems is expected to take several months.

Real-time bidding allows buyers to evaluate, bid on and purchase ad inventory on an impression-by-impression basis. Nikolay Danilov, head of Sales Technologies at Yandex, said:

The integration of the two advertising systems will undoubtedly stimulate the online advertising market. … The transparency that is characteristic of RTB systems creates new possibilities for growth. The more players, the wider range of ad inventory, the greater the competition for placement, and the higher the quality of the ads themselves. We anticipate that the partnership with Google will result in increased display advertising sales and improvements in ad quality.

This follows an agreement Yandex reached with Facebook Inc. (NASDAQ: FB) that provides access to content from some of the social networking site’s users in order to improve its search results.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.