Feeds

Internet advertising shoots past estimates

US spend reaches $7.9bn

High performance access to file storage

Predictions are rarely low in the high technology business, but consistently the targets set for internet advertising are over achieved by reality. This week the Interactive Advertising Bureau and PricewaterhouseCoopers released their half year figures for 2006, and it totalled up to a $7.9bn spend in the US.

At the end of last year these same two forecast a $15bn market for US advertising and last quarter gave a heads up that it had already reached $3.9bn, growing at 38 per cent, rather than the 30 per cent plus that was originally forecast.

This quarter took it beyond $4bn up 36 per cent and the likely result for the year end is going to be closer to $16.5bn, perhaps higher.

"The latest results reaffirm the internet's growing importance for marketers to integrate online advertising into their overall media plans," said David Silverman, Partner, Entertainment and Media Practice, PricewaterhouseCoopers.

"While search advertising remains the largest format in terms of revenues, we expect to see new formats like video ads to continue to emerge as advertisers seek to leverage the branding opportunities afforded by the growing installed base of broadband users."

The implication that video advertising has yet to make a dent in these figures is all important. Video advertising is rising exponentially, but is still a fraction of the internet advertising that's already there. Once it begins to make up a significant proportion of advertising, it's likely that the internet advertising spend will increase further, rather than slow down.

Copyright © 2006, Faultline

Faultline is published by Rethink Research, a London-based publishing and consulting firm. This weekly newsletter is an assessment of the impact of the week's events in the world of digital media. Faultline is where media meets technology. Subscription details here.

High performance access to file storage

More from The Register

next story
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
HP ArcSight ESM solution helps Finansbank
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.