Facebook devising new advertising system: report

A screengrab of www.facebook.com is seen August 22, 2007. Social networking Website Facebook is working on an advertising system to allow marketers to target users with ads based on the information people reveal about themselves on the site, the Wall Street Journal reported in its online edition early on Thursday.

NEW YORK (Reuters) - Social networking Website Facebook is working on an advertising system to allow marketers to target users with ads based on the information people reveal about themselves on the site, the Wall Street Journal reported in its online edition early on Thursday.

The advertising plan is the company's top priority, the Journal reported, citing people familiar with the matter. The company plans to unveil a basic version late this fall, although the plan is at an early stage, according to the report.

A Facebook spokeswoman acknowledged to the Journal that the company is working on an advertising system, but declined to provide details. A Facebook spokesperson declined to comment to Reuters.

According to the Journal, people familiar with the plan say Facebook is seeking to do what Google Inc (GOOG.O) did with AdWords, which allows anyone to place ads next to search results by buying "keywords" online.

(Reporting by Lewis Krauskopf)