ClickZ: Jupiter: Online Ad Market to Reach $16.1B

JupiterResearch analysts predict that online ad markets will exceed $16 billion by 2010, about two and a half times what Jupiter says the current market supports and about twice what the Interactive Advertising Bureau says is currently spent. The spending would, at that point, exceed the spending on print magazines. Already, by some estimates, online media is bigger than radio and outdoor advertising.

JupiterResearch attributes the rise to increased advertiser sophistication and appreciation of online media, allowing web firms to charge higher rates to an increasing pool of advertisers.

Most interestingly, the report states that search advertising - the big growth engine in the past two years - will increase its share of the online pie, but not in the share gobbling bites it has recently taken. Instead, online display advertising will grow about roughly the same rate as search media.