Devoted to online marketing, viral marketing, and web marketing

A report just released from Jordan, Edmiston Group, Inc. (JEGI) in relationship to mergers and acquisitions in the media and marketing services sectors for 2007, show that a record level of transactions took place, reaching 838 for the year, and equaling $110 billion in value.

That made transactions up by 32 percent, and value up 79 percent over 2006. The first half the year was especially busy, accounting for $75 billion of the total for the year. Things may have even been much better if it weren't for the problems connected to the credit markets.

Online Sectors

The online sector was very strongly represented, being by far the predominant category for the year, with 555 transactions, although on the value side it only accounted for $43 billion of the overall total.

The obvious deals here were those of the largest four online media companies - Microsoft (MSFT), Google (GOOG), AOL (TWX) and Yahoo (YHOO).

Microsoft led the way with their $5.7 billion purchase of aQuantive, then Google followed with their $3.1 billion offer for DoubleClick.

Both Yahoo and AOl entered the ad network bananza as well, with the acquisition of BlueLithium for $300 million and Tacoda for $275 million.

Database Sector

The deal where Thomson bought Reuters for $18 billion was the story in the database category, but so many big acquisitions followed that the story somewhat diminished as the year went on.

Later in the year Cambridge Information Group bought NavTech and All Media Guide was acquired by Macrovision.

Marketing and Interactive Services

This remained a robust sector, leading the entire media industry in the Mergers and Acquisitions market. The number of deals for the year increased by 77 percent, while also growing by 81 percent in value over 2006.

One of the more notable deals taking place in the fourth quarter was AOl's buying of Quigo Technologies for $340 million, and also Visual Sciences being bought by Omniture for $394 million.

Web Media

Media deals for the online sector also flourished in 2007, leading the way in transactions with 306 total. That grew by 69 percent over 2006, and also grew in value by 33 percent for that same time.

A few of the deals there included The Walt Disney Co. (DIS) picking up iParenting; Discovery Communications buying

HowStuffWorks; and The Generations Network being bought by Spectrum Equity Investors. In the B2B space, TechTargest picked up KnowledgeStorm for $58 million.

Your head can swim just looking at these few deals. The bigger question remains how this will overall impact the media industry going ahead.

Until things sort themselves out on the economic side of things, we'll probably see 2008, and possibly on, slow down in the M&A category. This year it should take a breather.