Skip to main content

Internet Ad Spending Booms by 54 Percent

Advertising for the Internet segment sizzled and national cable networks chalked up healthy increases in Q1 2006 vs. Q1 2005, according to a Kagan Research survey that also found growth in local cable underwhelming.

Internet advertising posted a hefty 54 percent increase in ad revenue in the January-March period, according to the Quarterly Barometer survey in Kagan newsletter Broadband Advertising. That's off slightly from 56 percent growth in Q4 '05, as the accompanying table indicates.

"With over 50 percent year-on-year growth in both quarters, I don't think one could say there's any deceleration yet," says Erik Brannon, associate analyst at Kagan Research. "The real question mark is how long it can keep going at this red-hot pace before it settles into a more traditional growth pattern like the one national cable networks are in now."

Internet leader Google chalked up a 79 percent gain in Q1 ads, though the biggest percentage gain came from Barry Diller led-IAC Interactive registering a 1,208 percetn hike from just $9 million in Q1 '05 to $117.6 in Q1 '06. IAC advertising bulked up from the acquisition of search engine Ask.com (formerly Ask Jeeves) in 2Q '05, which was revamped and heavily promoted.

The national cable network category chalked up an 11 percent gain in Q1 '06, which Brannon feels is a solid and stable showing. Among the leaders, News Corp. registered the biggest increase as ad revenue at its eight channels � which include Fox News Channel and FX � jumped 32.5 percent.

Local cable advertising mustered just a 3 percent increase in Q1 '05, which is anemic though better than its 2 percent decline in Q4 '05. Brannon feels this sector will boom eventually, but there are few indications it will happen soon. The lackluster local cable ad category is still sizeable at $646 million in Q1 '06, based on a survey of seven of the top eight cablers.

Popular posts from this blog

Wireless Solutions Advance Work from Home Trends

Despite a challenging backdrop from the ongoing effects of the global COVID-19 pandemic, the negative impact on fifth-generation (5G) wireless supply chains has been minimal compared to the wider mobile smartphone market. This led to 5G mobile devices becoming more diverse, brought to market quickly at a variety of price points, thereby accelerating affordability and adoption. The mobile market is transitioning to 5G and many leading vendors are now exploring the low-priced 5G smartphone segment. According to the latest worldwide market study by ABI Research, 681 million 5G handsets will be shipped in 2022. Therefore, the race is on for OEMs to find that all-important level of differentiation in their flagship portfolios to help boost margins and improve market share. 5G Wireless Market Development Vendors continue to drive the adoption of new product designs, screen technology, chipsets, and camera setups -- notably within the flagship smartphone segment. Meanwhile, the leaders seek a

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of