Digg.com no longer serving ads from Federated Media?
February 27th, 2007 — dan.linDigg.com has been using John Battelle’s Federated Media for their ad serving ever since the initial investment by Omidyar Network. Being funded by the same guy and all. But recently it looks like Digg has ditched FM in favor of their ex-ad server Google Adsense. Is it just me or has anyone else noticed this? Is there any story behind the switch? It seems that Federated Media would be able to fetch a higher CPM rate by selling ads using their sales people than the ‘we’ll make it up in volume’, notoriously under paid system Google offers. I suspect that Digg might be in talks with Google about an acquisition deal. That would explain why Digg is favoring adsense exclusively to show Google why they are worth the $150M price tag they are asking. It’s just my speculation and contribution to the Google rumor mill. Thank you very much.

