Amazon Inc is planning to develop its own software for placing advertisements online, The Wall Street Journal reported, citing people with knowledge of the matter.
While the in-house platform is initially planned to replace ads supplied by Google Inc on Amazon`s own website, the new system could challenge Google and Microsoft Corp`s advertising business in the future, the newspaper cited the people as saying.
Amazon`s system would resemble Google`s AdWords, and is planned to make it easier for marketers to reach the company`s users, the newspaper reported the people as saying.
The retailer is also building a tool that would help advertising agencies buy in bulk for thousands of advertisers, the Journal said, citing the people.
Amazon is known as a sleeping giant in the ad industry because it has rich consumer data but has been tentative about using it for a lot of advertising.
The company already has an advertising service it employs chiefly on its own website.
Amazon did not immediately respond to requests for comment.