NEW YORK (TheStreet) -- Microsoft Corp. (MSFT) announced on Monday that AOL Inc. (AOL) will manage and sell the tech company's display, mobile and video advertising inventory in nine key global markets and across a variety of platforms.
As part of the extended global partnership between the two companies AOL, recently purchased by Verizon (VZ) for $4.4 billion, will switch to a Bing-powered search solution beginning in January of next year. Bing is Microsoft's search engine.
"This deal is further evidence of the quality of Bing results and the performance of the Bing ads market place," Microsoft Corporate VP Rik van der Kooi said in a statement. "We will continue our focus on delivering world class consumer services and content and look forward to partnering with AOL to market them."
Shares of Microsoft are up by 0.72% to $44.69 in pre-market trading on Tuesday morning.
Separately, TheStreet Ratings team rates MICROSOFT CORP as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate MICROSOFT CORP (MSFT) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and expanding profit margins. We feel its strengths outweigh the fact that the company shows weak operating cash flow."