Global advertising revenue will exceed $1 trillion in 2026, growing 5.1% amid digital dominance, while Hollywood studios face exclusion from the surge.​

Ad Revenue Surge

Digital channels drive the boom, with retail media up 14.1%, online video 11.5%, and social platforms 11.4%, far outpacing traditional TV’s 2.4% gain. Tech, political, and beverage sectors lead spending increases, amplified by events like the World Cup and U.S. midterms, as programmatic ads claim over 80% of digital budgets.​

Hollywood’s Ad Struggle

Studios risk being sidelined as advertisers favor tech platforms’ AI targeting and personalization over legacy TV and broad content buys. “Feudal media” trends prioritize value-based ads for megabrands, pushing sponsored content and fragmenting Hollywood’s inventory amid AI disruptions and geopolitical risks.​

Tech Platforms Dominate

Meta, Google, and retail media networks capture gains through AR/VR immersion and real-time optimization, areas where Hollywood lags in scale. Brands seek lifestyle alignments, forcing studios to adapt creatively or lose ad dollars to algorithmic efficiency.