AdStar and CityXpress will offer technology that will allow newspapers to more effectively compete with eBay, Craigslist and others, the companies announced. The two companies will partner to offer a complete solution to help newspapers "ecommerce-enable" their online classified ads.

Advertisers that have created, scheduled and paid for their classified ads using AdStar's Web-based ad transaction technology will have the ability to enhance their online ads with ecommerce transaction capabilities. Using the new technology, newspaper advertisers will be able to sell their merchandise for a fixed price or accept a best offer from an online buyer. Buyers can complete the transaction online using CityXpress Fulfillment, paying for their purchases with a credit card, debit card or an electronic check through AdStar's EdgCapture online payment software.

"Working together, we can allow newspapers to integrate a new buying and selling channel for advertisers, by converting classified ads into dynamic marketplaces that are trusted and user-friendly," said Phil Dubois, president and CEO of CityXpress