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Digital advertising faces a $5 billion downgrade in 2023
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We cut $5.51 billion from our US digital ad spending forecast for 2023, due to the fallout from Apple’s privacy changes, Google’s deprecation of third-party cookies, and a stricter regulatory environment. Along with inflation and a potential recession, these challenges will depress spending until 2025, when it should return to previously projected levels.
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Beyond the chart: The biggest hit will be to social networks, which will bring in $16.21 billion less in US ad revenues during 2023 than our prior estimate. Conversely, we upgraded our outlook for connected TV ad spending by $3.02 billion.
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