Bits & Bytes

Internet ad revenue down in Q1. Internet ad revenue saw its first year-over-year decline in Q1 2009, falling 5% over the previous year. Based on a study by PricewaterhouseCoopers LLP on behalf of the Interactive Advertising Bureau, internet-based advertising revenue was estimated at $5.5 billion for the first quarter of 2009; analysts are confident online ad spend will improve as the economy emerges from the current recession. For more information, visit The Associated Press.

Meebo offers engagment pricing option to advertisers. Meebo, a web-based chat integration service that lets customers access all of their messengers in one web interface, is adding an option for advertisers to pay for ads only when ads generate user interaction. The move is an attempt to differentiate the service from other display ads in an environment where unit prices are dropping due to oversupply. Advertisers utilizing the service will pay an average of $1 when users expand ads that appear at the bottom of chat sessions. For more information, read the full story at AdWeek.com.