Microsoft is ready to start expanding its AdCenter engine to allow at least some publishers to include contextual advertising from Microsoft on their site.

According to a letter detailing the program and published on TechCrunch, Microsoft is doing a pilot program that allows smaller publishers to use contextual advertising from Microsoft, putting it potentially in competition with Google's AdSense and Yahoo's publisher network.

In a statement provided to CNET News on Thursday, Microsoft confirmed the trial.

"Microsoft's self-serve advertising offering for publishers is still under development and is currently in a private pilot phase, being tested by select publishers who met the participation requirements," Microsoft said. "The private pilot phase began earlier this year."

Microsoft pointed publishers interested in the pilot to sign up for the trial.

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