JupiterResearch forecast earlier this month that spending for online display ads would reach $5.1 billion this year, up around 25 percent from last year's $4.1 billion. Other researchers and analysts anticipated even higher numbers. Goldman Sachs predicted that online advertising overall (including search) would soar by 28 percent for the year; Forrester Research predicted that all online advertising would climb by 23 percent this year; and research firm eMarketer predicted a 34 percent increase.
Data from Nielsen Monitor Plus also shows that America Online spent far and away more money on national TV advertising than rival Internet service providers. AOL paid around $153 million in the first six months of this year to advertise its service's virus safety and security features on television--including the major networks, cable, syndication, and spot TV. The second-biggest spender among ISPs was PeoplePC, which paid around $97 million to promote its $10.95 a month dial-up service on television.