Microsoft thinks the advertising business model for traditional media - venues where advertisers still channel most of their spending - will fall apart faster in the coming five years.

Meanwhile, it's positioning itself as a prime location for the kind of interactive, targeted advertising that is defining the Web and other digital media.

Chairman Bill Gates spelled out his vision of the future of media Tuesday, in front of about 1,000 advertising professionals in Seattle for Microsoft's Strategic Account Summit of its top advertising customers.

"We're saying newspapers will go online, and there will be massive innovation that comes out of that," Gates said. "We're saying that TV, the biggest ad market in the world, will completely go online and have the kind of targeting interaction that you only get out on the Web today.

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