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ESPN Abandons Ad Networks

The Walt Disney Co.'s ESPN has taken a bold stance against ad networks that rely heavily on arbitrage and algorithms to place ads on Web sites, having recently cut ties with Specific Media and other ad networks. ESPN is trying to galvanize other publishers to take a similar stand. Of course, ESPN is a seller of premium inventory; smaller sites with smaller sales forces depend on ad networks for monetization.

In the wake of the famous warning that publishers should not sell Web ads like "pork bellies," issued last month by Martha Stewart Living Omnimedia President Wenda Harris Millard, two sides have emerged: those who support the traditional, direct way of selling content and those who favor using algorithms and data.

In an interview, Millard worries that "we haven't even established the value of our medium, and all of a sudden, it's about price. That is very bothersome to people who are brand stewards."

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