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In news on Friday, David Karnstedt, general manager of direct business at Overture, said the paid search provider's focus is not on rising competition from Google but following its parent company's lead and luring money from traditional direct marketers.

After building its advertiser base with small businesses, Yahoo's Overture Services sees its biggest growth opportunity from large, traditional direct response advertisers. "Our real challenge is not necessarily the other people that participating in the search space but shifting dollars from other direct response advertisers, like direct mail and yellow pages," he said at yesterday's Piper Jaffray Technology Conference in New York.

To end the news on the week, in an attempt to cut down on misbehaving adware and spyware, Google has released a set of guidelines for software makers to follow when writing programs that embed themselves on Internet users' PCs. Google's software principles come as interest is growing at the state and federal level in regulating and perhaps even banning adware and spyware. Utah has already enacted such a law, and the U.S. House of Representatives and the Federal Trade Commission have convened hearings on the issue in the last few weeks.

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