SAN FRANCISCO -- US spending on Internet ads was dragged down by the dire economy in the first half of 2009, according to a report which has been released by Interactive Advertising Bureau and PricewaterhouseCoopers.
US online advertising revenue for the first six months of the year tallied 10.9 billion, a 5.3 percent drop from the same period in 2008, the IAB and PwC analysis concluded.
"We are in one of the most difficult economic slumps in decades," said Bureau chief executive Randall Rothenberg.
"Interactive is one of the advertising sectors that has been least affected."
Revenue related to Internet search advertising reportedly rose slightly to top 5.1 billion dollars in encouraging news for Google, the undisputed king of that market.
Video advertising has been surging despite tough economic conditions, according to IAB and PwC. Spending on online classified advertising and email related ads sagged, the report indicated.
Spending on display ads posted on websites dipped a "modest" 1.1 percent to nearly 3.8 billion dollars in the first half of this year, according to the report.
"In recent years the digital revolution has driven a transformation of how consumers experience advertising and media," Rothenberg said.
"As the economy improves, we're confident that brands will devote an even greater share of their budgets to reaching consumers as they make interactive media a larger part of their lives."
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