Google office 311.
(photo credit: Courtesy)
Google Inc., the US multinational public corporation invested in Internet
search, cloud computing and advertising technologies, will pay Israeli
researchers to conduct some 20 research projects relating to opportunities in
the Internet economy, with a particular focus on the fundamentals of online
The deal’s signing by the Hebrew University of Jerusalem’s
Yissum Research Development Company Ltd., Tel Aviv University’s Ramot Ltd.
technologytransfer company and the Technion Research and Development Foundation
(TRDF Ltd.) was announced Wednesday.
The past two decades have seen the
Internet grow from a scientific network to an economic force that spurs the
global economy. E-commerce, online advertising, social networks and other new
business models present the traditional economy with fascinating questions,
which could have a profound impact, the companies said.
unlike in TV advertising, where the advertiser buys a fixed number of
commercials, online systems such as Google’s AdWords use a computerized auction
in which advertisers determine how much they are willing to pay. Other relevance
signals then contribute to an algorithm determining the online selection and
rank of a particular ad. These auction systems involve complex computations and
result in more relevant and effective ads.
To date, these auctions have
been developed mainly by the Internet industry. Academic research in such
disciplines as algorithmic game theory and algorithmic mechanism design could
greatly benefit from insights learned from the practice of the new industry and
may be able to help improve online advertising auctions and create more
opportunities for advertisers, users and the online economy at large, the
Google will support a cluster of research projects that
explore the basic questions lying at the heart of this new economy. Such
questions include the economic effects of viral networking, the dynamics of
electronic markets and new formats of selling advertisements, which could be
beneficial to the user and the advertisers.
The research projects will be
conducted by experts in many fields, including computer science, statistics and
game theory, artificial intelligence and social sciences. This interdisciplinary
and large-scale approach is necessary to tackle these challenges, the companies
“The field of electronic auctions and markets has grown
tremendously over the past decade and has become a significant factor in the
Internet industry and economy,” said Prof. Yossi Matias, managing director of
Google’s Israel R&D center.
“Google is proud to support open academic
research that will advance the fundamental research in this evolving discipline.
Israel boasts unusual academic excellence in the interdisciplinary foundations
of electronic auctions and markets.”