The end of advertising as we know it?

Rob van den Dam, European Telecommunications Leader for the IBM Institute for Business Value, argues that the traditional TV advertising model (centrally scheduled programmes delivering real-time advertising to a large, undifferentiated passive audience) is becoming unsustainable, and that the solution lies in internet protocol television (iPTV) and advertising on mobile devices.

The end of advertising as we know it?

Rob van den Dam

New technology is disrupting traditional advertising; in its place new forms of advertising are evolving. The IBM Institute for Business Value has unveiled a report in which revenues from in-game, mobile, online and interactive TV promotions are forecast to reach US$60 billion a year – or 45% of the entire digital content market – by 2010 (see Figure 1).

Google, Yahoo! and the like have shown just how profitable online advertising can be. They have been successful at monetising their search engines by enabling them to...

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