The first-quarter estimate marks the
A bright spot in the sector includes paid search engine advertising, which accounted for 15% of online ad revenues in 2002, according to Pricewaterhouse. Paid search is expected to account for 20% to 25% of revenues in 2003.
Growing household adoption of broadband Internet is also expected to help online ad revenues. The Yankee Group estimated 16.4 million residential broadband subscribers at year-end 2002, and 48 million by 2007.
Top 15 ad sellers
Conducted by PricewaterhouseCoopers, the Internet Ad Revenue Report estimates first-quarter ad revenue by compiling first-quarter 2003 data from the top 15 online ad sellers. First-quarter results will be announced next month.