Internet ad revenue estimated at $16.8 billion for 2006

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New York—The Interactive Advertising Bureau and PricewaterhouseCoopers Wednesday released a report showing that Internet advertising revenue for 2006 was estimated at $16.8 billion, a 34% increase from $12.5 billion in 2005. Fourth-quarter revenue totaled just under $4.8 billion, the highest quarter ever and a 32% increase from the same period in 2005.

“The maturation of the Internet as an effective advertising medium is directly tied to its ability to deliver qualified audiences to marketers,” said Peter Petrusky, director of PwC’s Entertainment, Media & Communications Practice, in a statement.

The fourth-quarter and full-year figures were estimated by aggregating data from the top 15 online ad sellers. PwC said the results were then extrapolated to calculate the total estimated industry revenue figures. Actual third- and fourth-quarter results will be reported in the final 2006 Internet Advertising Revenue Report, expected to be released in April.

The IAB sponsors the Internet Advertising Revenue Report, which is prepared independently by PwC.

—Carol Krol

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