Google's Mad Dash

The end result would benefit all parties. Advertising agencies would be able to sell both types of ads to their clients, which Schmidt claims they're clamoring for. "This allows agencies to offer the integration of search and display, Schmidt said. "That integration is something people have been asking us for a very long time."

Advertisers would benefit by having more options in terms of placing their ads, targeting audiences better and measuring their overall efforts on one platform. Users, meanwhile, "benefit from more targeted ads," Schmidt said. "They don't waste their time looking at ads that are not relevant."

The beneficiary of this new virtuous circle, of course, would be Google. And more so than any financial metric, the opportunity to make more money by linking the search and display businesses is what compelled Google to put the hefty price tag on DoubleClick.

"We looked at a variety of financial ratios on a standalone basis, but -- as Eric pointed out -- what we looked at most was the overall revenue opportunity here," said Google Senior Vice President David Drummond. "[We looked at] the complement this brings to our brand advertising business, and the other ways this transaction will complement our core business, and based our value of the business on that."