MSN's fiscal second quarter advertising revenues increased 12 percent year over year, and Microsoft said investments in the business would continue, reports ClickZ. Though overall ad revenue, including search, was up, display ad revs were up even more - 20 percent, compared with the year-ago quarter. MSN revs, including subscriptions, were $593 million; operating income was $58 million.

Microsoft CFO Liddell Liddell is quoted as saying the company would invest in global infrastructure to support adCenter and is hiring customer service reps to deal with advertisers. In search, the company said, it would introduce new verticals and may acquire small-to-midsize firms.