As rumored, Ask Jeeves has launched its own auction-based, pay-per-click sponsored listings product - Ask Jeeves Sponsored Listings - replacing its Premier Listings, which was sold on a pre-determined cost-per-click rate basis, reports ClickZ. The listings will appear in the top three positions above Google AdWords ads, which Jeeves (recently acquired by IAC) will continue to distribute through its current contract, which ends in 2007.

Google accounted for about 70 percent of Jeeves's revenue in 2004, writes AdWeek, adding that Ask Jeeves hopes the new automated system will expand its own advertiser relationships beyond the current number of under 500.

The Ads purchased through the new automated system will appear on Ask Jeeves search results pages and its syndication network, including some IAC properties. The listings are integrated with Atlas's bid management tool through its API, but Jeeves is in talks with other vendors to integrate with their tools as well.

IAC yesterday revealed its combined ad sales group that integrates IAC Partner Marketing with AJinteractive to form IAC Advertising Solutions. Paul Gardi, former head of AJinteractive, was named executive VP and general manager of the group, which will focus on selling IAC's search, media and performance advertising.