A new study released by the Internet Advertising Bureau shows that the sales of Internet advertisements were up by 25 percent to $5.1 billion from the same period last year.
Conducted by the New Media Group of PricewaterhouseCoopers on an ongoing basis, the report (pdf) showed that sales for the first half of this year stand at a record $10 billion for the first half of this year alone. This is up 26 percent from the first half of last year.
There has been some concern that the country's mortgage crisis would hurt the online sales industry, given that lenders and other financial services firms are big online advertisers. But so far, we're not really seeing that. Financial services ads were the second strongest in second-quarter sales at 15 percent of the total, down only 1 percent from same period a year ago.
This must be excellent news to the increasing number of Web concerns that rely exclusively on advertisement to fund their operations. Last month, The New York Times ended its paid subscription service in favor of a pure Internet advertising model.
Still, with the number of companies rushing headlong into providing free (or extremely cheap) Web-hosted services, it remains to be seen if there is enough revenue to go around in the long run.
Paul Mah is a writer and blogger who lives in Singapore, where he has worked for a number of years in various capacities within the IT industry. Paul enjoys tinkering with tech gadgets, smartphones, and networking devices.