With internet advertising increasing rapidly, the need for a big player to step up to the plate and provide a Big Ad Lite service has become obvious, especially to users of weblog technology. Now Google is moving into this marketplace and, as with Adsense, it’s likely to set the standard.

The Wall Street Journal reports :

The biggest Internet companies, including Microsoft Corp., Google Inc. and Yahoo Inc., are focusing attention and money on the emerging business, hoping to be first with the kind of large-scale, dynamic market for the ad industry that the Nasdaq market brought to stocks. [...]

Today, online publications and Internet companies have space for display ads built into their Web sites. Typically, that space gets filled with ads either the old-fashioned way — through a salesperson — or by a mix of computers and people called an ad network that automatically sells ads for the spot. But a significant portion of the available ad space — called “inventory” — remains unsold, or is sold for next to nothing. Enter the exchanges, which use automated systems to match buyers with sellers of unsold space.

This is good news for a significant swathe of small online businesses stuck between the vast mass of “blogs” beneath and the bigco websites above.

If Google can come up with an automatic solution as simple and seller-friendly as Text Link Ads, with geo-location and other factors built in, it will take mass advertising on the net to a new level. It will also improve the bottom lines of small-business digital networks beyond recognition.

Google’s buy-out of DoubleClick provides the platform. This could be the most exciting development for online business in years, taking advertising from professional operators to ordinary publishers on the shop floor.