Save 50% on a 3-month Digiday+ membership. Ends Dec 5.
Google remains the Goliath in Internet advertising. But there are signs of weakness, at least with some on Wall Street.
Stifel Nicolaus analyst Jordan Rohan’s assertion that “the center of gravity on the Internet is shifting from Google to Facebook.” Rohan stated that there is “a CMO-level push to keep growth in search budgets low in 2012, while shifting spend to social and display.” Facebook is predicted to continue as a formidable challenger in display, while “distractions”, like Google’s social, local and mobile investments threaten to diminish its market share.
Citigroup analyst Mark S. Mahaney in an interview with AllThingsD stated that Yahoo and AOL reported lower display revenue in the second quarter, “which could be signs of increased competition from ad networks and social media for premium ad dollars.” That means that greater competition in the display may be impacting the potential value investors can derive from their investments, at least in the eyes of analysts. This competitive market might be good for marketers, as companies have to fight for advertising dollars, but it makes investors nervous.
More in Media
Digiday+ Research Subscription Index 2025: Subscription strategies from Bloomberg, The New York Times, Vox and others
Digiday’s third annual Subscription Index examines and measures publishers’ subscription strategies to identify common approaches and key tactics among Bloomberg, The New York Times, Vox and others.
From lawsuits to lobbying: How publishers are fighting AI
We may be closing out 2025, but publishers aren’t retreating from the battle of AI search — some are escalating it, and they expect the fight to stretch deep into 2026.
Media Briefing: Publishers turn to vertical video to compete with creators and grow ad revenue in 2026
Publishers add vertical video feeds to their sites to boost engagement, attract video ad spend and compete with news creators.
Ad position: web_bfu