AOL Coaxes Google to Try Busier Ads - New York Times

Users of Google's search engine will soon see something they are not used to on the notoriously spare site: advertising with logos and graphics. And the advertisers will not be limited to America Online, whose talks with Google prompted the change in policy, according to two executives close to the companies' negotiations.

As part of their deal, which is expected to be formally announced this afternoon, Google is providing AOL with $300 million worth of advertising on Google's Web sites, intended to use to draw Google search users to related content on AOL's sites, the executives said. That sum is on top of the $1 billion in cash that Google is to invest to buy a 5 percent stake in AOL.

Google could see just how easily people can desert it if it stays on this course.