According to this news report on PC World, Yahoo (NASDAQ: YHOO) Labs has formed a team to improve the targeting and effectiveness of online advertising. According to the company, Yahoo AdLabs aims to help advertisers get more out of their marketing dollars by combining research and data mining with watching how users interact with ads.
"The group has been operating quietly within Yahoo Labs for about six months. It has a relatively small staff today but is looking to hire more 'top talent,' said Ken Mallon, the Yahoo vice president in charge of AdLabs. He declined to reveal the group's budget."