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Google logoGoogle is developing a new web product to compete against deal websites like Groupon and LivingSocial.

As reported by the Associated Press, Google is looking to further expand its marketing prowess into local advertising. Google has tried over the past few years to do this; first with looking into buying Yelp, and then a rumored failed buyout of Groupon itself.

Groupon, and its subsequent copycat sites like LivingSocial (partially owned by Amazon), are sites that offer single deals per day for very specific markets. LivingSocial had a big boost a little while back when Amazon offered to sell a 20 dollar gift card for only 10 dollars to an area in Delaware. It was a huge success that put LivingSocial on the board and will eventually get Amazon much more money than it lost in the deal.

Google's version of all this is reportedly called Google Offers, but until Google pushes it live, we don't know how they will integrate it. Currently Google has a fairly decent community in Google Places, where users can rate businesses that have posted themselves. This subsequently integrates with Google Maps to show ratings on locations on the map you might be viewing.

You can read the full AP article here.

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