Within this landscape, online advertising stands out not only for its size but for its momentum. Traditional media, particularly linear television, shows limited and often irregular growth, influenced by cyclical factors such as major political events, while digital continues to expand at a much faster pace. Social media, in particular, represents the most dynamic segment, attracting an increasing share of advertising investment. Yet this growth is far from evenly distributed. A small number of global platforms—Facebook, Instagram, YouTube and TikTok—capture around 90% of social media advertising revenues, with Meta alone holding a dominant position. This concentration highlights a structural imbalance in the market, where scale and data create significant barriers to entry for smaller players.
At the same time, the rise of social video is redefining the broader media ecosystem. When considering total TV and media revenues, social video is expected to account for a substantial share of future growth, becoming one of the main drivers of the industry between 2025 and 2030. This shift is directly affecting traditional broadcasters, which are facing a gradual erosion of both audiences and advertising income. In response, many are increasingly entering into partnerships with global platforms such as YouTube, Netflix and Prime Video in order to expand their reach and remain competitive. These collaborations, however, raise strategic questions, particularly for European players operating in a fragmented market, where stronger regional alliances could represent an alternative to growing dependence on US-based tech giants.
Another major area of change is connected TV, which is rapidly emerging as a key segment of the advertising market. As linear television continues to decline, connected TV advertising is growing quickly and is expected to overtake traditional TV advertising revenues in the near future. The United States currently dominates this space, accounting for the majority of global revenues, but the expansion of connected TV is creating opportunities for new entrants, including technology companies and device manufacturers, further increasing competition and complexity within the ecosystem.
These developments are closely linked to evolving consumption habits. Viewing is no longer tied to a single screen, and audiences increasingly move seamlessly between devices. In the United States, more than half of viewers aged 45 to 54 now watch video content on their smartphones, while platforms such as YouTube are gaining significant traction on television screens. At the same time, smart TVs are becoming a central hub for content consumption, accessed multiple times a day and reinforcing their role as a key environment for advertising. This convergence of screens means that platforms are no longer defined by a single device, but compete across the entire viewing ecosystem.
The technological infrastructure behind this shift is equally dynamic. The smart TV operating system market is highly fragmented, with Android leading globally, followed by players such as Samsung, while Chinese manufacturers are rapidly gaining ground and reshaping competitive dynamics. Positions in this market can change quickly, reflecting a broader trend in the media industry where technological advantage and distribution scale can rapidly alter the balance of power.
Artificial intelligence is set to accelerate these transformations even further. From programmatic advertising to content creation and placement, AI is expected to automate and optimise many aspects of the value chain, making advertising more targeted and efficient. At the same time, AI-driven commerce is beginning to reshape how consumers discover and purchase products, potentially reducing the role of traditional search and retail platforms and opening new opportunities for brands to reach audiences in more direct and personalised ways.
Despite the strong growth of advertising, consumer behaviour reveals an underlying tension between ad-supported and subscription models. While many users initially engage with free, ad-supported services, a significant proportion eventually move to paid, ad-free tiers due to dissatisfaction with excessive advertising. This dynamic highlights the delicate balance that platforms must manage between monetisation and user experience, as the risk of overexposure to advertising can drive audiences away.
Overall, the picture that emerges is one of an industry being reshaped by a combination of platform dominance, technological innovation and changing viewing habits. Social media and digital platforms are driving growth, connected TV is redefining the role of television in the advertising ecosystem, and artificial intelligence is introducing new levels of automation and personalisation. For broadcasters and media companies, the challenge is to adapt to this new environment, finding ways to remain relevant while navigating an increasingly complex and competitive landscape.
