Ask Jeeves changes ad price program

Advertisers can now bid for placement of ads served in conjunction with specific keyword searches.

Web search company Ask Jeeves, recently acquired by InterActiveCorp, on Monday said it would let advertisers bid for ad placement, a system similar to ones used by Google and Yahoo.

Advertisers bid for placement of ads that are served when Web searchers type in keywords using an automated system. The fast-growing Internet search market is forecast to be worth at least $8 billion this year.

Ask Jeeves also partners with Google in a deal that lasts through 2007. Before its recent acquisition, Ask Jeeves had received roughly 70 percent of its revenue from its advertising relationship with Google.

The new advertising program, which will be called "Ask Jeeves Sponsored Listings," replaces its "Premier Listings" service.

The announcement comes as Microsoft, which recently launched its own Web search engine, also is building related advertising tools.