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Local Online Ads to Hit $5 Billion by 2009

Local media research firm The Kelsey Group predicts yellow pages-type advertising on the internet will increase to about $5 billion in the U.S. by 2009, with most of that coming in the form of paid search. The firm said the worldwide market will reach $10.9 billion, $5.1 billion of which will be spent in the U.S. $3.4 billion in the U.S. will come from paid search. Almost two-thirds of the spending will come from national brands, according to the group. More of the billings are expected to come from the internet and less from the mobile phone market, as The Kelsey Group downgraded its previous expectations of progress in the mobile market.

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