• by July 28, 2004

More big numbers were forecasted for online advertising by JupiterResearch. The market researcher projected that online advertising will more than double over the next five years, growing from $6.6 billion in 2003 to $16.1 billion in 2009. Paid search is poised to grow 30 percent compounded annually over the next two years, while display advertising and classifieds will each grow more than 25 percent annually.

Jupiter attributes strong growth rates to improved ad targeting technologies and behavioral marketing techniques.

Meanwhile, Time Warner reported reduced profits for the second quarter. The media giant's America Online division posted a 13 percent increase in profits for the quarter, before depreciation and amortization, and saw a 23 percent jump in ad revenues. That's good news for AOL, though the unit continued to lose subscribers-another 668,000 of them during the second quarter versus the first quarter. Overall revenue for AOL during the quarter rose 10 percent to $10.9 billion.