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Google VP Says Online Ad Spends Budgeted

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Another line item on the corporate advertising budget for media has increasingly been devoted to online ad spending.

With the online advertising market racing toward $15 billion according to Jupiter Research, Google’s North American ad sales VP Tim Armstrong told Reuters that 2005 was the turning point for online advertising:

“There is robust interest in online advertising and that interest is now turning into real dollars,” Armstrong said, noting that market analysts are predicting a banner 2005 year with forecasts ranging from $10 billion to $15 billion.

“The experimenting and testing phase begun in the 1990s has ended. Corporate ad buyers are investing now,” he said.


Google and others in the online advertising field have been getting a boost from ad agencies, as Armstrong noted in the report that Madison Avenue ad execs have been encouraging clients to spend more money online.

“Some are putting 10 percent or even more than 10 percent of their 2006 budgets into online,” Armstrong said. Also, video advertising will play a role (we speculated about video ads in November.)

David Utter is a staff writer for WebProNews covering technology and business. Email him here.

Google VP Says Online Ad Spends Budgeted
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