Microsoft is acquiring ScreenTonic, a local-based ads delivery platform for mobile devices, for an undisclosed amount..
Microsoft will utilize ScreenTonic in an effort to jump start their move into mobile advertising, and ScreenTonic will also become part of Microsoft's larger Digital Advertising Solutions Group, created last fall to sell ads across several devices and sites, including the Xbox and their own network of sites. It is also expected that the deal with ScreenTonic will be integrated with Windows Live Mobile Spaces as a channel for advertisements.
Microsoft has been swift in its efforts to catch up with Google's frequent acquisitions, and aggressively revamp their own online campaign. Earlier this week we noted the rumor that Microsoft is eying 24/7 Real Media, another advertising network, as a direct response to Google's acquisition of DoubleClick and Yahoo's purchase of Right Media.
ScreenTonic will retain its founders, as Microsoft is taking a hands-off approach, allowing the founders to keep ScreenTonic on course. Many of the company's clients, including Vodafone Group, are already Mircosoft partners.