Facebook’s reign as the leader in display ad revenue may be short lived. The social networking giant passed Yahoo last year in U.S. display ad revenues, but the company is facing stiff competition with Google at its heels.
In 2011 Google display advertising revenues reached £1.07bn, not far away from Facebook’s £1.08bn.
Both companies are expected to see U.S display ad growth of around 48% year over year, with Facebook estimated to earn £1.62bn in revenue, compared to Google’s £1.60bn, according to the report.
According to a report by emarketer, Google is expected to edge past Facebook in 2013, when the company’s US display revenues will grow 45.3% to £2.32bn, while revenues at Facebook will only grow 27.6% to £2.07bn in the same year.
Combined display ad revenues of Google and Facebook’s will account for 33.3% of total display ad spending in 2012, which may rise to 38.8% in 2012, eMarketer forecasts.
The research firm, however, estimates Yahoo will see its share of the US display ad market plummet to 9.1% this year, down from 10.8% in 2011.
Microsoft’s share of display revenues are also expected fall to 4.4% this year compared to 4.5% in 2011.
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