WPP, the British advertising giant, is considering a £300 million pound bid for internet advertising firm 24/7 Real Media. The possible move, which represents the latest step in an escalating battle for control of the online advertising market, was reported by newspapers on both sides of the Atlantic.
WPP were one of the losing bidders in the chase to acquire internet advertising experts DoubleClick earlier this month.
DoubleClick was eventually captured by Google for $3.1 billion and analysts say that WPP is keen not to lose out a second time.
Martin Sorrell, the chief executive of WPP, had last week described 24/7 Real Media as "very pricey".
"I think buyers are more likely to come from the technology and media spaces" rather than the advertising sector, he commented.
Now, however, Mr Sorrell is rumoured to have changed his tune.
A source familiar with the negotiations told the New York Post that WPP's strategy had been affected by the recent $1.3 billion acquisition of internet advertising firm Digitas by French rival Publicis Groupe.
"Sorrell wants to look like he has a digital strategy," the Post reported the source as saying.
With recent figures from comScore suggesting that search engines receive 7.3 billion hits each month in the US alone, the online advertising market is becoming increasingly ferocious.
April alone has seen Ask launch a new advertising network, Google acquire DoubleClick and rumours of possible legal action against Google by Microsoft and AT&T.
