"Matt Wasserlauf, CEO, BlockboardThere is no bigger buzzword in the world than AI. Right now, investments in the hundreds of billions of dollars are rolling in to pay for chips, data centers and people to build out artificial intelligence. NVIDIA, the leading AI chip-maker, just became the first five trillion-dollar company. Many on Wall Street are calling this development a bubble that could take down the entire economy. The stakes are very high."
"At a time when every wasted dollar can significantly impact revenue and growth, marketers continue to grapple with invalid traffic, opaque supply paths and platform fees and other forms of performance dilution and fraud. According to the Association of National Marketers, buyers still incur $26.8 billion in wasteful spending in their programmatic media buying alone. This waste has an even larger impact on small and mid-sized advertisers, i.e., local advertisers, who have tighter budgets and fewer resources."
Massive capital is flowing into AI, fueling chipmakers and infrastructure growth while raising concerns about a possible market bubble. Marketers are evaluating whether AI will measurably improve advertising performance or simply scale existing inefficiencies. Digital advertising still suffers from invalid traffic, opaque supply chains, platform fees and performance dilution. Programmatic media buying incurs roughly $26.8 billion in waste, with small and mid-sized local advertisers bearing a larger share due to tighter budgets. Increasing automation raises transparency concerns, exemplified by platform automation and legal scrutiny over generative AI forecasting tools.
Read at Digiday
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