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Our take: The change is part of YouTube鈥檚 ongoing effort to make ads more palatable for viewers and creators it may have upset with previous updates, improving overall sentiment toward ads and, in turn, convincing more brands to invest ad dollars.

We expect the service to generate over $600 million in US ad revenues this year (see chart). Paramount+ revenues grew 16% in Q4 and 33% for the full year, cementing its role as Paramount鈥檚 most promising business. The service added 5.6 million new subscribers in Q4, reaching 77.5 million total, marking its strongest growth in two years.

Instacart projects healthy order growth thanks to Uber partnership, affordability initiatives: But profitability is under pressure as ad growth slows and basket sizes shrink.

Meta鈥檚 decision could hurt overall ad spending and how advertisers approach marketing on its platforms. While it might not have a significant impact on Meta鈥檚 massive ad revenues and enormous reach, it could make Snapchat look appealing in comparison and draw more attention to the platform, whose ad revenues are lagging behind competitors.

US apparel ecommerce sales are set to reach $263.18 billion by 2028. To take advantage of this opportunity, brands and retailers need to understand online sales trends as well as shopper behaviors and preferences.鈥�

蘑菇AV 1 in 10 US digital ad dollars will go to CTV this year, a total of $33.35 billion, per our forecasts. Of that, 15.0% will come from retail media, up from 11.9% last year. And that figure will rise in years to come. Retail media CTV ad spend is growing about three times faster than retail media search is.

Chegg is suing Google, claiming AI Overviews steal its content and cut its traffic. The case highlights fears that AI-driven search is eroding content creators鈥� business models.

NBCU and Macy鈥檚 deal highlights live events as crucial opportunities: Advertisers reach massive audiences through events like the Macy鈥檚 Thanksgiving Day Parade.

Streaming services are shifting from subscriber growth to retention, as churn rates in the US have nearly tripled to 5.5% over the past four years. With costs rising and subscriber growth slowing, reducing cancellations has become a top priority. Consumers are responding to cost savings.The Disney-WBD bundle delivers a clear financial incentive, making it an attractive long-term streaming option.

The continuing problem of made-for-advertising (MFA) sites and a number of reports from industry activist group Adalytics highlighting brand safety failures has put a spotlight on how DSPs are responding. 11% of worldwide website ad spend went to MFA sites, per a December 2024 Pixalate study.

Travel will see the fastest growth in US digital ad spending of any industry in 2023, according to our forecast. Travel, retail, healthcare and pharma, automotive, and entertainment will outpace the national digital ad spending growth rate.

US digital ad spend growth will return to double digits next year at 11.2% growth, following 2023鈥檚 slower growth of 7.8%. Growth certainly won鈥檛 return to the 37.6% growth we saw in 2021, but it will increase steadily. Come 2025, US digital ad spend will pass $300 billion and keep climbing to nearly $400 billion by the end of 2027.

Meta is way ahead of competitors in US video ad spend, with 30.1% share this year compared with YouTube鈥檚 8.3% and TikTok鈥檚 6.5%, according to our forecast. TikTok is on YouTube鈥檚 tail as it gains share, but the short video newcomer won鈥檛 surpass YouTube before the end of our forecast period in 2025.

US display ad spend will grow by 15.7% this year, reaching a total of $163.29 billion. Here are five charts that offer a closer look at what display ad spending looks like in 2023.

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Instagram introduces Testimonials: The addition to Partnership Ads lets creators get paid for sponsored comments to boost Instagram鈥檚 influencer marketing ecosystem.

Connected TV (CTV) has emerged as the fastest-growing ad channel tracked by 蘑菇AV. Its ad spend outpaced other digital ads, search, social media, and retail media in 2024.

US omnichannel retail media ad spend will hit $129.93 billion in 2028, according to our forecast, up from $54.85 billion this year.

Walmart Connect's US ad revenues grew 24%, with a 50% increase in Marketplace sellers using Walmart鈥檚 ad platform. Membership and advertising together contributed more than 25% of Q4 operating income, CFO John David Rainey said on the earnings call.

Affiliate marketing ad spend will grow by double digits this year. Advertisers and publishers will reap the rewards as retail ecommerce sales continue to climb. US retail ecommerce sales will reach nearly $1.2 trillion in 2024, per our estimates, driven in large part by existing digital buyers spending more money online.