Ad Networks Headed for Doomsville
ADOTAS – The Wall Street Journal weighed in today with a juicy take on the whole “uh oh, the online ad network world may be screwed” theory that’s been bandied about for weeks now.
Noting the presence of more than 300 online networks, the Journal rakes through the muck to extract some key nuggets:
Targeting network JellyCloud died this month (after raising $11.5 million this year).
Targeting network Adzilla also went to the big data cloud in the sky.
AdBrite has slashed 40% of its workforce in a bid to become profitable (it has raised a total of $35 million).
AOL is getting slammed in several major verticals, including autos, financial, telecommunications, travel and on ads it sells to third-party sites.
ValueClick may be in trouble: analysts have said that declines of 2% for the entire fiscal year of 2008 should be expected; in 2009, the declines may reach 7%.
Burst Media and Collective Media are actively seeking buyers.
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