Next in Media: Episode Summary Release Date: May 19, 2025

Host Mike Shields and his regular guest, ad industry consultant Emily Riley, delve deep into the shifting landscape of media, marketing, and advertising in this episode. Titled "Mike and Emily do a post upfront breakdown, mourning Xandr while debating whether Amazon is out ad teching Google," the conversation navigates through significant industry changes influenced by technology and data advancements.

1. Microsoft’s Shutdown of Xandr and Its Implications

The episode opens with Mike expressing frustration over Microsoft's decision to discontinue Xandr, a major player in the ad tech space.

• Mike Shields [00:40]:
  “Microsoft is once again making a huge acquisition and then backing off it in ad tech. I wonder about their commitment to advertising.”

• Emily Riley [01:38]:
  “There are some really big DSPs and SSPs out there that apparently don't seem like they need to exist anymore for programmatic to keep going.”

Discussion Highlights:

• Strategic Missteps: Mike questions whether Microsoft's exit from ad tech signals a lack of commitment or a strategic pivot towards AI-driven advertising.

• Market Dynamics: Emily suggests that the shutdown indicates consolidation and curation trends within the industry, reducing the need for multiple DSPs (Demand-Side Platforms) and SSPs (Supply-Side Platforms).

• Legacy of AppNexus: Mike reflects on the lingering impact and minimal presence of AppNexus, previously acquired by Microsoft, suggesting a failure to capitalize on the investment.

2. The Evolution and Impact of AI in Advertising

AI's role in transforming advertising technology is a central theme, with both hosts contemplating its long-term effects.

• Mike Shields [03:41]:
  “I wonder if the push towards AI-driven advertising is a role or what we need, will that further limit the need for all these DSPs or not?”

• Emily Riley [04:07]:
  “AI decision making has to be connected to some kind of platform still. And whichever company does that the best, they're going to be the one to pull in the agencies.”

Discussion Highlights:

• Integration of AI: Emily emphasizes that AI must be integrated into robust platforms to manage inventory and buyer connections effectively.

• Agency Dependence: The success of AI-driven advertising relies on platforms that offer transparency, control, and comprehensive data to agency teams for servicing brands.

• Data Quality: Both Mike and Emily highlight the necessity of high-quality data to train AI systems, making platforms with extensive business activities more valuable.

3. The Upfront Season and CTV Trends

Mike and Emily provide a critical analysis of the recent upfront season, focusing on the performance and strategies of major players like Disney, YouTube, and Amazon.

• Mike Shields [06:01]:
  “It's kind of wild, the show of force that some of the big players are still determined to do at this time of year.”

• Emily Riley [10:15]:
  “Emarketer is showing a decline in the amount of money that's being committed each year. This year was particularly kind of murky because of all the political monkeying with the economy.”

Discussion Highlights:

• Celebrity-Centric Events: Mike critiques the upfront events for their outdated formats, likening them to old Bob Hope specials, emphasizing the over-reliance on star power rather than substantive content.

• Divergent Strategies:

  • Disney and NBC: Focus on premium content like sports and first-run movies, leveraging star power to secure top-tier sponsorships.
  • YouTube: Attempts to balance social engagement and influencer-driven content with traditional advertising approaches, struggling to align with media buying expectations.
  • Amazon: Combines commerce with advertising tech, offering measurable and data-driven solutions that appeal to brands seeking comprehensive campaign outcomes.

• CTV Overload: Both hosts express fatigue over the pervasive push for Connected TV (CTV), noting that recent events and pricing models have led to an exhaustion of CTV narratives without delivering the expected capabilities.

4. Local Content and the Charter-Cox Merger

The conversation shifts to the recent merger between Charter and Cox, exploring its strategic significance in the evolving media landscape.

• Mike Shields [12:13]:
  “But at the same time, hopefully they figure it out because local content is still watched by a ton of people.”

• Emily Riley [13:19]:
  “Local news, local sports, radio, all that kind of stuff that unfortunately has just not caught up with digital programmatic, CTV.”

Discussion Highlights:

• Strategic Objectives: The merger aims to bolster local content offerings on CTV platforms, addressing declining viewership in local broadcasts and enhancing ad sales mechanisms.

• Challenges in Transition: Traditional local ad sales teams struggle to adapt to digital programmatic and CTV, facing difficulties in translating local viewership data into effective digital advertising strategies.

• Potential Solutions: The hosts speculate on the emergence of new platforms tailored to service local advertisers, offering better targeting and measurable outcomes compared to existing Fast App Streaming (FAST) services.

5. Advertisers' Responses to Twitter and Elon Musk

Toward the end of the episode, Mike shares his surprise at advertisers collectively standing up against Elon Musk's management of Twitter.

• Mike Shields [18:01]:
  “I would not have bet that advertisers would show more courage than like the biggest law firms in the world.”

• Emily Riley [19:12]:
  “Advertisers are allowed to decide for themselves where they advertise, and there's nothing you can do about it.”

Discussion Highlights:

• Unexpected Resistance: Contrary to Mike’s expectations, major advertisers are pushing back against perceived instability and changing policies under Musk’s leadership at Twitter.

• Brand Autonomy: Emily underscores the principle that advertisers have the autonomy to choose their advertising platforms, reinforcing the separation of business decisions from content management.

• Market Dynamics: The declining influence and fading star power of Musk within professional circles contribute to advertisers feeling more empowered to withdraw support without significant repercussions.

6. Final Thoughts and Industry Outlook

Wrapping up, the hosts reflect on the broader implications of their discussions.

• Mike Shields [15:26]:
  “It's an underexploited area by the broader digital media landscape.”

• Emily Riley [18:32]:
  “The democratization of content and publishing on digital created a whole bunch of crappy content. We did a bad job.”

Summary Insights:

• Content Quality: The proliferation of digital content has led to a saturation of low-quality offerings, challenging platforms and advertisers to identify and invest in genuinely engaging content.

• Industry Consolidation: Mergers like Charter and Cox, along with Microsoft's exit from Xandr, indicate a trend towards consolidation, aiming to streamline operations and enhance adaptability in a rapidly changing market.

• Future of CTV: While CTV remains a critical area of growth, the current challenges around pricing, inventory performance, and integration with traditional media models suggest a need for innovation and more refined strategies to realize its full potential.

Conclusion: Mike Shields and Emily Riley provide a comprehensive examination of the current state of the media and advertising industries, highlighting significant shifts driven by technological advancements and strategic realignments among major players. From Microsoft's strategic withdrawal to the complexities of CTV and the unexpected unity among advertisers in defending their platform choices, the episode offers valuable insights for industry stakeholders navigating an era of constant change.