Is the age of the electronic ad exchange upon us? Imagine a Googleized world where advertisers bid on inventory in a system based solely on supply and demand. This would be a world without upfronts,
overpriced TV ads and ... media buyers?
Not. The initiative is orchestrated by the American Association of Advertising Agencies. Together with eBay and other technology provider
partners, the 4As showed off the so-called eBay Media Marketplace at its annual Media Conference and Tradeshow in Las Vegas on Wednesday. The organization assured its members they would not be put out
of business by allowing buyers and sellers to negotiate directly: the new system just simplifies a process.
The 4As hired a backend supplier called Arbinet to create a central database
that allows buyers and sellers to communicate over the Web. The parties may then go through ad networks, online auctions or exchanges, or even conduct face-to-face meetings to settle deals.
The 4As and eBay are trying to turn themselves into the ad industry's de fact ad network, but they're not alone. Google is jumping all over the media landscape trying to install its automated bidding
system to older media. The Web giant is now selling radio and print ads to AdWords customers -- though with mixed success.
Read the whole story at CNET News.com »