And Rajeev Goel is 100% correct in his saying this is so. It is also true in his saying that . Few publishers make money from search. But how does he come up with or, feel there's a Vibrant Ecosystem around display advertising?
Surely he's getting a little ahead of himself, no?
I mean .... This is "vibrant"?
In an interview at AdExchanger today, Pubmatic's CEO really makes no bones (at all) about his very strong feelings on the Google $400M acquisition of AdMeld. [Read his entire view @ AdExchanger.com].
I have taken the following from his 'no-holds-barred' account, to make my own comment on, below it.
< Google owns not only a DSP but also an ad server, ad exchange, an ad network, and now an SSP. In addition, they are one of the largest media companies in the world with YouTube, Gmail, Maps, and a myriad of publishing properties.
Their [Google's] vision, as I understand it, is to create an end-to-end monetization pipe for display advertising.
They are doing this under the mantra of simplifying display for publishers and advertisers. However, if there’s one thing we know about Google from their success in search, it’s that the benefits of that approach are going to disproportionately flow to Google.
There’s no vibrant ecosystem around search. Few publishers make money from search. There’s a reason why the LUMAscape for Display has 10 times as many logos as the LUMAscape for Search. >
So what gives? Hey ....
It is because of Google's stranglehold on search, that a new revolution has taken place in display and Google is full aware of what lies ahead.
The more 'territory' (publisher sites/inventory) that Google can own or, control is now all about, securing Google's own future ahead.
There's a radical change of power that's approaching and it will be provided through a much 'fairer to all' and far more efficient (global) display ecosystem to come over the days, months and years ahead.
In a future for digital media buys that won't just involve the buying and selling of display Ads on the web.
It's a future that will get to see a 'one-stop-shop' for many forms of advertising that will include OOH (out of home) digital bill-boards, the targeting of individual users/select audiences in their homes (watching digital TV) and naturally, that constant reach out to consumers on all hand-held digital devices. Location based Ads will be prominent (on hand helds), for nearby 'local' business advertisers to capture eyeballs and potential custom.
Google ultimately WILL have created an end-to-end montetisation pipe (a small ecosystem) but not only for display advertising, as it will also include access to all of the above (in time), for their many/any advertisers. - Google simply see the future, so well.
They (Google) are resigned to what now becomes a 'next step', & that's where ALL (that's both publishers and advertisers) can/are soon to be provided with access to each other, in a one big auction based marketplace.
They ALL now, have what is their (own), 'small ecosystem'.
Google had previously acquired Invite Media. - - Microsoft has it's own 'interest in' and will use AppNexus.- - And Yahoo have recently bought "5to1". - - Other huge portals/media Co's have already made their own arrangements for them to (also) gain a much needed (own Data) protected access to that (my) predicted, one big marketplace. ALL ensuring protection of their own prized 'user data', in their doing so.
So, how can they all go on accessing each other's advertisers/inventory (that they control) in such a hap-hazzard manner as they currently do?
It's back to being about "Eye-Balls", with CPV and CPA marketing.
And, without so much as even a murmor (of late), for the need of an "independent" inter-connector or, that provider of inter-operability between them all?
Pubmatic's CEO Rajeev Goel points out that Google have now become one of the largest media companies in the world with YouTube, Gmail, Maps and a myriad of publishing properties, and that now, will also include a certain control over AdMeld's own stable of sites.
All of the above-mentioned (Google, Microsoft, Yahoo) all have very extensive control of sites/inventory. The question in the comment section (to the article) asking .."does that mean Pubmatic is not for sale to either MSFT or YHOO?" ... is not (at all), that unreasonable of a question to have been asked.
But, with no interest from those two (and apart from a 'cap-in-hand' approach that can be made to Google), Pubmatic (itself - and along with many others), may start to all feel like being, well (kind of), 'left out in the cold'. For Pubmatic, that won't need to happen!
For it still remains "the silly season" where all sorts of claims & crazy comments (like Rajeev Goel's own, on Google), are made by those that know better or, should know better! - As I had pointed out before, that (& through Trigget), Pubmatic has already ensured its own entry into the OPEN marketplace ecosystem. - tinyurl.com/5uer6wk
An instapost where I again strongly make a point - that there are many who are 'private labeling' the Looksmart 'inter-connector' technology, for both advertiser and publisher solutions.
And (so far), we haven't even considered publishers like the giant social sites, in Facebook, Linkedin or, Twitter ...
Or, all the others like Amazon, who will all, NOT be entrusting the likes of Google, Microsoft or, Yahoo with their own precious data, in a - that one huge global marketplace. And that IS a certain!
The question still remains:
Exactly who will it be or, who will they ALL then get to use, that will then enable them to all then 'play' (or, be inter-connected) together, in what is (or, becomes), a quickly growing, global ecosystem?
All, only an opinion.