Internet ad spending to increase 10%-14%

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New York—Online ad spending will rise by as much as 13.9% this year, to a record $25.8 billion, and will continue to grow strongly through 2014, according to a new report from marketing consultancy eMarketer.

The company predicts that Internet ad spending will enjoy double-digit growth in each of the following four years, passing $30 billion in 2012, breaking the $40 billion barrier in 2014 and outstripping all other major ad mediums, according to eMarketer. The company predicts that ad dollars in all major channels will experience an average annual growth rate of 2.9% through 2014.

A slightly less robust forecast was released by S&P Equity Research, the analytics division of Standard & Poor's Financial Services, which predicts that U.S. online ad revenue will rise 10% this year.

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