Google Selling DoubleClick's Search Marketing Business

SAN FRANCISCO -- Google(GOOG Quote) plans to get rid of its recently acquired search engine marketing business in an effort to eliminate the possibility of a conflict of interest.

Performics, which Google picked up as part of its $3.2 billion acquisition of DoubleClick, allows Web sites to improve their search engine rankings, which goes against the Internet giant's own mission statement asserting that its search results be "independent of financial incentives."

"It's clear to us that we do not want to be in the search engine marketing business," wrote Tom Phillips, director of the DoubleClick integration on Google's corporate blog. "Maintaining objectivity in both search and advertising is paramount to Google's mission and core to the trust we ask from our users."

Google will not give up Performics completely, retaining some of the marketing tools in the business that provide monetization opportunities for Web site publishers.

Phillips said that although the Mountain View, Calif.-based company has not yet found a buyer for the search engine marketing portion of Performics, it has received preliminary interest. In the meantime, Google will continue to run the business as a separate entity.

Google made a bid for DoubleClick last year but it took until last month to clear all the regulatory hurdles. DoubleClick gives Google a stronger foothold in the lucrative display advertising business, where it has lagged behind competitors like Yahoo!(YHOO Quote).

As a result of the acquisition, Google is reportedly eliminating 300 jobs at DoubleClick, an unusual step for a company that has been so focused on growth. Google had alluded to the possibility of cuts last month when the DoubleClick deal was completed.

The company would not confirm the number of job cuts but put out a statement late Wednesday acknowledging them.

"Today, we are laying off some DoubleClick employees in the U.S. and placing others in transitional roles," according to the statement. "We are confident that our combined organizational structure, along with the skills and experience of our new colleagues, will allow us to continue to offer great products and services to our customers."

Shares of Google were down 1.8%, or $8.40, to $457.30 Thursday afternoon.