Marketecture Podcast Episode 110: Adalytics Finds CSAM and Ends Up in the Crosshairs
Release Date: February 14, 2025
Hosts: Ari Paparo and Eric Franchi
Guest: Christoph from Analytics
I. Introduction
In Episode 110 of the Marketecture Podcast, hosts Ari Paparo and Eric Franchi delve into a critical issue within the advertising and marketing industries: the inadvertent funding of websites hosting Child Sexual Abuse Material (CSAM) through digital ad campaigns. The episode features an in-depth conversation with Christoph from Analytics, whose recent findings have sparked congressional investigations and significant controversy in the ad tech space.
II. Main Discussion: Christoph from Analytics - CSAM Findings
A. Discovery of CSAM in Ad Campaigns (00:01 - 04:30)
Christoph recounts how, during unrelated research in January, he stumbled upon disturbing content while using URL Scan—a service that archives website snapshots. He discovered a U.S. government ad appearing adjacent to explicit CSAM content on the domain imgbb.com, a site unfamiliar to both him and many in the industry despite its substantial traffic of 41 million monthly page views.
Christoph (04:56): "When I saw that, like my eyes just went wide for like two seconds and I just knocked out of there. I just closed that link immediately."
B. Reporting and Actions Taken (04:32 - 12:37)
Realizing the gravity of the situation, Christoph promptly reported the findings to multiple authorities, including the FBI, DHS, and the National Center for Missing and Exploited Children (NCMEC). He highlighted the complexities of detecting altered CSAM images, such as deepfakes, which evade cryptographic hash matching systems used by platforms like Instagram.
Christoph (09:10): "There’s a rise in people editing photos or using AI to alter photos... it defeats the cryptographic hash matching."
C. Congressional Involvement and Reactions (12:37 - 21:06)
Following the report, Senators Marsha Blackburn and Richard Blumenthal expressed serious concerns about advertising verification and brand safety, questioning how taxpayer-funded government ads ended up on CSAM-hosting websites. Christoph explained that Analytics worked closely with advocacy groups like Fairplay to brief Congress on the systemic issues uncovered.
Ari Paparo (15:02): "Tell us how they got involved and why are they so focused on verification and not, you know, supply chain."
Christoph responded by emphasizing the urgency to halt such funding sources and the need for systemic changes in the ad supply chain.
D. DoubleVerify's Response and Industry Criticism (21:06 - 25:22)
A pivotal moment in the discussion was Christoph’s reaction to DoubleVerify’s preemptive statement criticizing Analytics’ findings. He expressed confusion over discrepancies and highlighted challenges in maintaining reproducible research when vendors attempt to destroy evidence.
Christoph (18:45): "There were some things that were in that document that were not consistent with any research we had ever undertaken or written."
Ari voiced concerns about the politicization of the issue, warning against the potential for extreme reactions from different sides.
Ari Paparo (17:27): "This is as bad as it gets and just absolutely persecute people."
E. Operations and Customer Base of Analytics (25:22 - 32:12)
Christoph clarified that Analytics exclusively serves media buyers, ensuring they act as advocates for brands struggling with supply chain transparency. He noted that brands appreciate Analytics’ work, often requesting inclusion in reports to facilitate discussions with their media partners.
Christoph (23:35): "We're pretty transparent about this... we have over 12 confirmed examples where specific things that were identified... vendors find out about it, they go to links to basically what we call destroy evidence."
He also addressed misconceptions about Analytics’ operations, confirming that they have legitimate customers who fund their investigative work.
Christoph (22:43): "We exclusively work with buyers. We work with only media buyers."
III. News Segment
A. Ad Tech Rumors and Developments (33:25 - 43:02)
The hosts discuss various rumors affecting the ad tech landscape, including:
-
Trade Desk’s Potential Ad Server: An anonymous rumor suggests Trade Desk is developing an ad server, possibly in response to MediaOcean’s acquisition of Innovid.
Eric Franchi (34:16): "Bill and Ramsey were posting about it this morning. So now MediaOcean officially has two of the three largest buy side ad servers."
-
Google’s Antitrust Challenges: Speculation about Google potentially spinning off its network business amid antitrust pressures.
Ari Paparo (33:25): "I believe no evidence that it's delayed because behind the scenes Google is working on a plan to exit the network business."
-
YouTube’s Rebranding to Teeds: Clarification on YouTube's renaming strategy to Teeds, blending 'technology' and 'ads'.
Ari Paparo (35:45): "Teeds is a combination of the word technology and ads."
B. Super Bowl Recap (43:02 - 40:14)
The conversation shifts to the Super Bowl’s advertising highlights, noting Tubi’s standout performance as the "real winner" with high viewership and engagement. The integration of out-of-home viewing metrics by Nielsen also contributed to record-breaking viewership numbers.
Eric Franchi (37:58): "It is the most watched Super Bowl in history. 127.7 million people watched it."
C. Earnings Reports: AppLovin and Trade Desk (40:15 - 49:07)
-
AppLovin’s Impressive Growth: AppLovin saw a 30% overnight stock surge, achieving a $175 billion market cap by divesting its app business to focus solely on advertising platforms. The company reported $4.7 billion in revenue for 2024 and is expanding self-serve ad capabilities.
Eric Franchi (42:13): "By far the largest independent ad tech company."
-
Trade Desk’s Mixed Results: Trade Desk (TTD) missed earnings estimates, leading to a 27% stock drop. The company cited operational mistakes and a sales reorganization as reasons, marking its first missed earnings benchmark.
Eric Franchi (46:10): "They blamed unnamed kind of people, mistakes that they pointed to just a lot of operational stuff."
D. Connected TV (CTV) Trends (49:07 - 53:33)
-
YouTube Dominating CTV: YouTube now enjoys the highest watch time on CTV, surpassing competitors like Netflix. Hosts discuss the shifting consumption habits towards larger screens and the strategic emphasis by YouTube to capture this market.
Neil Mohan (TV Segment): "They have the largest share of CTV with 11% of market share in terms of watch time versus the next largest competitor which is Netflix at 8%."
-
Disney Plus’s Ad Strategy: Disney Plus announced a change in its terms of service to introduce ads even on paid, ad-free tiers. This move is seen as a strategy to address churn rates following a price increase that negatively impacted subscriber retention.
Eric Franchi (52:11): "Disney has a change in the terms of service allowing them to show ads even on paid ad-free tiers."
IV. Conclusion
The episode wraps up with reflections on the critical work being done by Analytics in combating CSAM within the ad ecosystem and the broader implications for ad tech companies. The hosts emphasize the ongoing challenges and necessary systemic changes to ensure brand safety and ethical advertising practices.
Christoph expressed a sense of fulfillment despite the emotional toll of reporting CSAM, highlighting the importance of his work in cleaning up the internet.
Christoph (31:44): "I'm just happy that a lot of those images are being removed and I'm happy that the authorities are currently searching for one of the missing children and hope they find them soon."
The episode underscores the intricate balance between effective advertising and maintaining ethical standards, urging industry stakeholders to adopt more transparent and accountable practices.
Notable Quotes:
- Christoph (04:56): "When I saw that, like my eyes just went wide for like two seconds and I just knocked out of there."
- Christoph (18:45): "There were some things that were in that document that were not consistent with any research we had ever undertaken or written."
- Eric Franchi (42:13): "By far the largest independent ad tech company."
- Eric Franchi (52:11): "Disney has a change in the terms of service allowing them to show ads even on paid ad-free tiers."
This detailed summary encapsulates the key discussions, insights, and conclusions from Episode 110 of the Marketecture Podcast, providing listeners with a comprehensive overview of the critical issues and developments in the advertising and marketing industries.
