AdECN Inc., a Microsoft subsidiary at the ad:tech New York conference invited advertising networks that buy and sell online advertising to join in a limited pilot of its new federated system. The federated system is an extension of AdECN’s existing exchange platform and will provide functionality not currently available in any online exchange, including the ability for ad networks to use their own proprietary technology, such as behavioral and demographic targeting, and optimization tools.

Unlike other exchanges, with the addition of the new federated system, the AdECN exchange will now allow its members to price every ad impression in the auction, so display ad impressions aren’t undervalued or overvalued. For instance, once an auction is initiated within the exchange, all of the members can bid equally for that ad impression and the highest bid wins. The exchange will also continue to provide a hosted technology service for other ad networks, brokers and agencies.

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