The internet's biggest ad company just got a lot bigger with the news that Google has acquired DoubleClick for $3.1 billion, according to a New York Times report.

The sale gives Google access to DoubleClick's coveted relationship with internet publishers as well as the company's ad software.

"DoubleClick’s technology is widely adopted by leading advertisers, publishers and agencies, and the combination of the two companies will accelerate the adoption of Google’s innovative advances in display advertising," Google CEO Eric Schmidt said.

DoubleClick provides displays for sites ranging from MySpace to AOL, a sought after market for Google, which has been trying to expand its presence in that market.

Founded in 1996, DoubleClick also recently launched an online marketplace for ads.

"This transaction will strengthen our advertising network by expanding our access to publisher inventory and enabling us to serve the needs of a broader set of advertisers and ad agencies," said Tim Armstrong, Google's president of advertising and commerce for North America.

News of the deal leaves Google the immediate victor in its ongoing battle with Microsoft for online advertising supremacy. Microsoft had fought hard to buy DoubleClick.

"Keeping Microsoft away from DoubleClick is worth billions to Google," RBC Capital Markets analyst Jordan Rohan said.