Microsoft to expand Facebook ad pact

It bought a 1.6 percent stake in fast-growing Facebook for $240 million SAN FRANCISCO, USA: Microsoft Corp will announce plans to expand its relationship with online social network Facebook to provide web search and search advertising, a source familiar with the matter said on Thursday. The expanded deal follows Microsoft's decision not pursue a takeover of Yahoo Inc to bolster its online search and advertising business as it tries to compete with Internet leader Google Inc. Microsoft bought a 1.6 percent stake in fast-growing Facebook for $240 million in October, beating out Google in the investment. At the time, it reached an exclusive deal to sell ads on Facebook outside of the United... [read full story]