Google and Yahoo Go Nuclear Against Ad-Blocking
Google and Yahoo went nuclear on ad-blockers during the Mobile World Congress as the said feature has cost companies billions of dollars. At the center of it is ad-blocking software Shine – with both search engine giants accusing the said company of destroying the relationship of advertisers and consumers. Is it the end of an era?Advertisement
Tech search engine giants, Google and Yahoo, have both went against Shine after one of its executives referred to its ad-blocking solution as a “nuclear weapon.” The MWC 2016 saw a heated debate between the executives of the said companies.
“Shine is the single biggest threat in the history of advertising…it’s a stellar opportunity to reset the relationship with consumers,” CNBC quoted Roi Carthy (CMO) of Shine Technologies. “We are not against advertising…there’s a misconception that Shine is against advertising…we do believe new rules of engagement need to come about.”
Carthy also added the advertising technology has been abusing consumers, thus the solution. However, providing such solution is costing other companies. According to Sydney Morning Herald, from 12 months to August, advertisers already lost as much as $22 billion. Ad-blocking solutions saw a rise in usage with around 198 million estimated to be using it. Google managing director of media and platforms Ben Faes and Yahoo vice president and general manager of advertising Nick Hugh expressed how such solutions threaten their businesses. Both Google and Yahoo thrive on advertising so any means to block such ads can lead to considerable losses.
“Blocking all ads I think it’s diminishing my experience of advertising and in that case we see an issue for the user themselves. More and more publishers just can’t afford to give their content for free…a user with an ad-blocker will keep running on websites who ask the user to pay for content then they unblock the ad-blocker and then see all bad ads anyway,” explained Faes. “I just don’t want to ruin that ecosystem…I’m really concerned by this black-and-white think,” the executive added.