This article does not report reasoning part (i.e. why the growth rates are predicted as they are). So it is of limited value.

The problem of handpicking short-form YouTube videos to place advertise on is that of transaction cost. If they choose the automated (algorithm based) ad placing , the problem is the business practice and advertisers' mindset - the level of control over contents they would like to have must be low enough to choose and stick with that option.

Hosting video competition would work for some advertisers, but it could also be a very labor intensive process to review all the videos. They of course have an option to crowdsource the reviewing process, but then again, they have to be tolerant of unpleasant surprises.

A congressional hearing prompting them for an opt-out sounds mildly good. As many commenters point out, it would result in a cookie. The result is just another form of lost privacy. The companies might possibly lose some ad revenue, but may be able to gain more audience data if they do it in a certain way..

Two big implications: 1) Nielsen might face a significant challenge. 2) Cable, with their set-top box might end up with being a very attractive venue for advertisers, as much as Google's "measurable" advertisement deals are. Who think that Google AdWords fare better than cable ads here? For one thing, Google's algorithm has often been criticized for its lack of transparency. Their over-automated customer service system is also may or may not be working well. Is cable worse than that? I don't think so.

I think it is not a huge problem if the web site pleaded visitors to unblock the ads.

Gator connection