Hey everyone! Today is the last edition of AdExchanger’s daily newsletter for 2024. We will send it again on January 2nd. Thank you for reading. I hope you have a wonderful, restful, and healthy holiday season!
2025 will be a year of profound change and drama. That’s what we’re here for.
new generation
Google plans to create an “AI mode” for its web search engine users. This effectively turns your search experience into a Google Gemini-generated AI chatbot. information I will report it.
Users must actively switch to AI mode via the tab option, as they do for Shopping, Images, and News. But the plan still shows the potential for significant expansion of Google’s generated AI search. Search had a somewhat rocky launch earlier this year in the form of AI Overview.
As of October, AI overview arrival According to Google, it has more than 1 billion monthly users worldwide.
For comparison, OpenAI CEO Sam Altman said that its generative AI engine currently 300 million people per week.
The creation of AI modes is another way for Google to instantly expand the distribution of AI searches it generates. YouTube places Shorts videos prominently in most people’s regular YouTube feeds, making its TikTok clone Shorts into a monster that currently receives over 70 billion views per day. May grow quickly.
Google is pulling the lever for its own reasons, but one thing is certain: developers and publishers who rely on Google Search (good old Google Search) will either be relegated further down the results page or In some cases, it may be completely removed from search results.
Do It For The Glam
“When a great thing falls, four little things rise up.”
OK, so this phrase might be a throwaway joke from an episode of “30 Rock” rather than a powerful maxim. But surely the social media vultures circling over TikTok, which is facing an impending ban, would like that to be true.
Not that TikTok’s competitors can be considered “small.” According to eMarketer, Instagram is expected to drive half of Meta’s total U.S. ad revenue in 2025, totaling $32.03 billion. ad week I will report it.
A ban could allow Instagram to capture more than a fifth of TikTok’s current $12.43 billion in ad spending, which is probably why Instagram is working hard to hire creators and roll out new features. Probably.
But even if Tiktok gets a temporary reprieve, Instagram still seems on track to gain more market share.
In fact, Instagram already generates almost twice as much ARPU as TikTok at $223 and $109. (For comparison, Facebook itself makes an average of $191 per user.)
went shopping
Shopify has reached a growth stage where it is starting to threaten the many startups that provide add-on software that Shopify provides to merchants.
This is like walking a tightrope. information Put it down.
It’s a well-known story. Big companies like Google, Snowflake, Amazon, and AWS have all experienced this.
For now, Shopify’s growth ambitions primarily impact delivery, customer service, and delivery insurance service providers. But the same can apply to ad tech and marketing services.
But for now, Shopify has taken a hands-off approach, giving large profits to a handful of partners including Google, Meta, Amazon and Criteo, but the profits are relatively small.
For example, Klaviyo is built on Shopify, and Shopify was a pilot investor in Klaviyo (and remains a large shareholder after its IPO).
Shopify risks competing with add-on services. Some big brands will prefer not to integrate, while retailers and shoppers may prefer more options, for example multiple checkout functionality.
But for Shopify, these one-time partners may soon start to look like a low-hanging fruit.
But wait! There’s more!
Uncertainty over TikTok’s future in the U.S. is creating a rift between creators and agencies. Some see this as inevitable, while others are convinced it won’t stick. (DIGIDAY)
Reporters Without Borders called on Apple to remove an AI feature that generated false headlines about the person accused of killing the CEO of United Healthcare. (BBC)
Malaysia will require social media platforms such as Facebook to obtain a domestic license by next year. (bloomberg)
Apparently, it is possible to bypass some LLM limitations by TyPiNg like SpOnGeBoB mEmE. (404 Media)
you are employed
Omnicom has appointed Katie Klein as chief investment officer. (adweek)
