Limelight Inc.’s annual ad network report hails digital marketing’s “great survivors”
White paper considers the current challenges and opportunities for the sector, amid great leaps in AI and first-party data use
London, UK - 3rd December 2024 - Ad networks face a broad range of challenges in 2025 as they grapple with privacy concerns, regulatory issues and a $50bn ad fraud threat. But the opportunities presented by new technology, contextual targeting and growth potential in emerging markets offer the promise of a bright future for those with the ability to evolve.
The latest annual report from programmatic enabler Limelight Inc., Progress & Possibility: Ad networks in 2025, examines the current ad network ecosystem in 2025 and draws on insights from Limelight and its ad network partners. It takes a hard look at key trends shaping the sector, including the rapid growth of CTV and the increasing influence of AI.
The report also considers key challenges such as ad fraud - which the World Federation of Advertisers estimates could surpass $50bn globally next year - as well as the rising use of ad blockers and the ongoing challenge of stringent data privacy regulations.
But technology offers numerous paths forward for ad networks, as they move past the era of third-party cookies with major investments in first-party data and privacy-friendly contextual targeting, plus enhanced measurement and attribution, including multi-touch. Emerging markets such as India, Indonesia, Brazil and Mexico also represent attractive opportunities for growth, while white-label platforms offer rapid, off-the-shelf technological upgrades.
“Ad networks are the great survivors of the digital marketing industry,” said Limelight Inc. Co-founder and CEO David Nelson. “They have been around since the dawn of digital advertising, and have survived by constant shapeshifting and evolution to meet the needs of a market that moves at breakneck speed. Whether you were there for the first 25 years or not, our white paper offers a ton of useful insights and advice to ad networks looking to get through the next 25.”
The digital ad industry’s to-do list, meanwhile, includes the need for robust positions on adtech innovations such as blockchain and augmented reality, as well as a mature plan for greater sustainability and a road map for responsible AI use.
Despite the pace of change in the digital advertising sector, the report concludes, ad networks remain a vibrant and important part of the ecosystem, connecting advertisers with publishers to facilitate the effective and efficient buying and selling of ad inventory.
Originally published in Martech Record.
