AdTechGod Pod Summary: "The Refresh News: June 30 - FTC Cracks Down, CTV Prices Dip, and Cannes Faces Accountability"

Release Date: June 30, 2025

Introduction

In this episode of the AdTechGod Pod, host Kate from Merchitecture delivers the latest updates and insights from the advertising technology landscape. Titled "The Refresh News: June 30 - FTC Cracks Down, CTV Prices Dip, and Cannes Faces Accountability," the episode delves into significant industry developments, including the Federal Trade Commission's (FTC) approval of the Omnicom-IPG merger, shifts in Connected TV (CTV) advertising metrics, and ongoing accountability issues at the Cannes Lions Festival.

1. FTC Approves Omnicom-IPG Merger

Merger Overview and Historical Scrutiny

The episode opens with a detailed analysis of the FTC's recent greenlighting of the $13.5 billion merger between Omnicom and IPG, two of the four largest advertising holding companies. Initially, the FTC's scrutiny focused on traditional antitrust concerns. However, the conversation quickly shifts to politically motivated antitrust issues.

Kate explains:

“The merger could undermine competition in terms of where media dollars were being invested and as a result, which publications were being funded.” ([03:15])

Consent Decree Details

The FTC's approval comes with a consent decree, a legally binding agreement that outlines specific conditions Omnicom and IPG must adhere to, including:

• No Coordinated Ad Boycotts: The merged entity cannot collaborate with other ad agencies to boycott media platforms based on political or ideological content. However, individual client choices remain unaffected.

• Prohibition of Third-Party Exclusion Lists: The use of exclusion lists based on political or ideological viewpoints is banned, though clients may create their own lists independently.

• Removal from Ongoing Investigations: Omnicom and IPG are excluded from the FTC's broader investigations into industry-wide ad boycotts.

Kate highlights potential challenges:

“A lot of the text of the consent order seems a little murky, especially when it comes to how political or ideological content would be defined.” ([08:47])

Compliance Implications

Compliance with the consent decree may present challenges due to its vague language regarding political and ideological definitions. Kate suggests that companies may need to implement robust internal processes to ensure adherence, such as:

• Explicit Client Communication: Ensuring clients understand their autonomy in media investment decisions.

• Justification of Media Choices: Media teams may need to provide detailed reasons for excluding certain publications.

Future Outlook

While the FTC's approval is provisional, subject to a 30-day public comment period and final commission vote, Kate notes that regulatory bodies in the UK and Australia are also reviewing the merger for potential legal conflicts.

“John Wren and Philippe Krakowski seem to think that this is a small price to pay.” ([16:10])

2. CTV Advertising Trends: CPMs Dip

Current Market Dynamics

The discussion transitions to the state of Connected TV (CTV) advertising, where Cost Per Mille (CPM) rates have seen a significant decline of 10% to 30% year-over-year. This marks the first notable drop since major streaming platforms like Netflix and Disney entered the ad market.

“CTV is evolving into a full funnel cross platform workhorse that allows advertisers to assign and achieve valuable performance outcomes.” ([22:35])

Factors Contributing to CPM Drop

Several factors have contributed to the decrease in CPMs:

• Increased Inventory Supply: Major players have reduced barriers to premium inventory access, leading to supply exceeding demand.

• Programmatic Inventory: The shift towards programmatic buying offers more dynamic and efficient pricing models.

• Data Partnerships and Clean Rooms: Enhanced precision in targeting through data integrations has empowered advertisers to make more informed purchasing decisions.

• Entry of Streaming Giants: Amazon's rollout of ads to all Prime Video subscribers in January 2024, followed by Netflix and Disney's similar initiatives, have massively increased available ad inventory.

Market Predictions

Kate anticipates a future pricing divide between low-quality, mass-reach inventory and premium, data-driven inventory. She also predicts a shift towards valuing inventory based on the actual performance outcomes it delivers, rather than its perceived premium status.

“We may also see a different pricing model emerge for TV entirely, one that's based less on inventory's face value and more on inventory's intrinsic value.” ([28:50])

Investment Strategy

For advertisers contemplating whether to invest despite the dip, Kate advises caution, emphasizing the importance of recognizing rising costs in high-value opportunities and the adage, “you always get what you pay for” in digital media.

3. Cannes Lions Festival: Accountability and Harassment Issues

Ongoing Harassment Concerns

The final segment addresses the Cannes Lions Festival's persistent issues with harassment, especially sexual misconduct. Multiple reports from students and industry professionals have highlighted the festival's problematic environment.

“The festival's darker reputation and the harmful behaviors that characterize it have persisted.” ([35:20])

Implemented Safeguards

In response to these issues, the festival organizers have introduced several measures to enhance attendee safety:

• Safe Zones: Three dedicated areas staffed by trained professionals for confidential support.

• Local Alert Buttons: Panic alarms installed throughout Cannes that directly connect to police authorities.

• Anti-Harassment Campaigns: Enhanced visibility and bystander intervention training initiatives.

Despite these efforts, Kate notes that combating harassment at such large-scale events requires more comprehensive strategies.

Community Response and Advocacy

The podcast emphasizes the importance of community vigilance and support for victims. Attendees have used platforms like LinkedIn to raise awareness and commend individuals like Brian O. Kelly, Mike Brooks, and Emily Roberts for their courage in speaking out.

Emily Roberts has initiated a petition for change at Cannes, accessible via her LinkedIn profile, signaling a push for more substantial reforms.

“We have got to go to bat for each other, especially for those who are in positions of vulnerability.” ([42:10])

Personal Reflections and Call to Action

Kate shares her personal apprehensions about addressing such sensitive topics but underscores the necessity of open dialogue within workplaces and communities to foster a safer environment.

“A rising tide lifts all boats and that will never be more true than in this scenario.” ([45:00])

Conclusion

In "The Refresh News: June 30," the AdTechGod Pod provides a comprehensive overview of pivotal events shaping the advertising technology industry. From the FTC-approved Omnicom-IPG merger and its intricate compliance landscape to the evolving dynamics of CTV advertising and the pressing accountability issues at Cannes Lions, host Kate offers insightful analysis and forward-looking perspectives. This episode not only informs listeners of current trends but also encourages proactive engagement and reflection on critical industry challenges.

For more detailed discussions and insights, consider listening to the full episode of AdTechGod Pod.