Skip to main content

Online Advertising Market Forecast

JupiterResearch released its 2005 Online Advertising Forecast which reveals that online advertising will continue steady growth over the next five years, eventually reaching $18.9 billion in 2010, compared to $9.3 billion at the end of 2004. This growth reflects not only advertiser confidence in the medium, but also the strength of advertising on search engines in 2010. Search engine advertising will generate more revenue than standard display advertising by 2010. Compound annual growth rates tell the story: display will grow at 7 percent and search will grow at over 12 percent over the next five years. The rise of search engine marketing, however, is only one element of an overall growing online advertising market. Other areas will also experience sustained growth over the next several years. Classified advertising will grow at nearly 10 percent, reaching $4.1 billion in 2010. Advertisers will also take great advantage of the growing number of broadband connected households to field rich and streaming media advertisements. Rich media spending will grow at a 25 percent compound annual growth rate (to $3.5 billion) and streaming media will grow at a 30 percent compound annual growth rate (to $943 million) by 2010. Publishers will see revenue grow from several sources, including direct sales and network revenue-share deals. This year, the revenue of ads priced on a performance basis will surpass that of ads sold on an impression basis. Much of this performance inventory will come from network providers, which are increasing their use of targeting technology to provide better results for publishers.

Popular posts from this blog

AI Investment Drives Semiconductor Demand

The global semiconductor industry is experiencing a historic acceleration driven by surging investment in artificial intelligence (AI) infrastructure and computing power. According to the latest IDC worldwide market study, 2025 marks a defining year in which AI's pervasive impact reconfigures industry economics and propels record growth across the compute segment of the semiconductor market. Semiconductor Market Development IDC’s latest data reveals an insightful projection: The compute segment of the semiconductor market is on track to grow 36 percent in 2025, reaching $349 billion. This segment, which encompasses logic chips powering CPUs, GPUs, and AI accelerators, will sustain a robust 12 percent compound annual growth rate (CAGR) through 2030. These numbers underscore not only current momentum but a structural shift driven by large-scale adoption of AI workloads spanning cloud, edge, and on-premises deployment models. The scale of investment is unprecedented. As organizations ...