Today Google has confirmed ad exchange could go ahead.

This mornings news has confirmed that Google is to go ahead with its Ad Exchange programme.

This spells more bad news for small media companies that rely on display advertising to operate.

Google chief executive, Eric Schmidt, has hinted that the internet giant is planning to launch an ad exchange allowing brands to bid for display inventory across YouTube and other sites in the Google Content Network.

Display ads have already been delivered on ad sense - and this platform could be potentially used to roll out the ad exchange programme.

If the revenue generating model is similar this will present a problem for small media and specialist media publishers that rely on display advertising. 

Their specialist niches simply do not generate the massive amounts of page views that are required to make Google adsense campaigns viable regardless of them being able to deliver a targeted audience.

The ad exchange programme would present advertisers a cheaper option when displaying their ads - earlier this year, David Rosenblatt, president of Display Advertising for Google, said that in the future he sees 95 per cent of ads being sold through an ad exchange.


 

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