The Google strategy to ramp up the acquisitions of smaller companies came to the fore in the company’s Monday announcement about the buyout of the online display advertising startup Teracent – a company that provides computer-constructed display ads from a collection of elements.

The Teracent acquisition, which comes at an undisclosed amount, indicates that Google, the Internet search biggie, is looking at expanding its reach in the display ads arena with automated solutions. 

Noting that the Teracent technology will further facilitate the display advertising campaigns of its advertisers, Google said in a blog post: “Teracent's technology can pick and choose from literally thousands of creative elements of a display ad in real-time — tweaking images, products, messages or colors.”

The company added that several factors - including geographic location, language, the website’s content, the time of day, and the earlier performance of different ads – help “optimize” the creative elements.

The Teracent deal, likely to close this quarter, will not only increase the profitability prospects for the publishers of the display ads, but will also bring forth more useful ads for the users.

With reference to the advantage of the Teracent technology, alongside efforts like DoubleClick Ad Exchange and Google Campaign Insights, the company said: “We've been busy releasing new features and products to help improve display advertising on the web for everyone. We believe that Teracent's technology fits neatly into these efforts.”