Podcast Summary: The Digiday Podcast – "Late night TV's shakeup, OpenAI's agentic AI tool, plus Walton Isaacson’s Albert Thompson on CTV’s ad product predicament"

Release Date: July 22, 2025
Host: Kamika McCoy
Co-host: Sarah Durdy
Guest: Albert Thompson, Head of Digital Innovation at Walton Isaacson

I. Introduction

In this episode of The Digiday Podcast, Kamika McCoy and co-host Sarah Durdy delve into significant shifts within the media landscape, including the cancellation of a major late-night TV show, legal battles involving high-profile figures, funding cuts to public broadcasting, and the transformative impact of artificial intelligence (AI) on marketing. The discussion culminates with insights from Albert Thompson on the evolving strategies in Connected TV (CTV) advertising.

II. Media Industry Developments

A. CBS Cancels 'The Late Show with Stephen Colbert'

At the outset, Tim Peterson highlights CBS's announcement that "The Late Show with Stephen Colbert" will conclude in May 2026, marking the end of a franchise that has been on air since 1993. Peterson notes, “The franchise as a whole...is ending” (00:10).

B. Trump's Defamation Lawsuit Against Wall Street Journal

The podcast also covers former President Donald Trump's lawsuit against The Wall Street Journal, alleging defamation over an article about a purported letter to Jeffrey Epstein in 2003 containing "a drawing of a naked woman." Trump is seeking $10 billion in damages, asserting the letter's inexistence (01:00).

C. Congressional Cuts to Public Broadcasting Funding

Furthermore, Congress has voted to eliminate over $1 billion in funding for the Corporation for Public Broadcasting, impacting NPR, PBS, and their member stations. This move threatens the financial stability of these longstanding public media institutions (01:00).

III. Shifts in News Consumption

Sarah Durdy discusses a pivotal change in how consumers engage with news. Citing a Reuters digital news report, she explains that "for the first time ever, consumers are not turning to local news outlets...instead favoring what I personally like to and am comfortable referring to as 'news influencers'" (02:20). These influencers, often non-journalists, deliver news updates via social media platforms like TikTok, signaling a decline in traditional news consumption.

Durdy emphasizes the broader implication of CBS canceling Colbert’s show, suggesting that "news consumers are no longer really interested in seeing clips from late night shows to get their news" (02:20), reflecting a fundamental shift in audience preferences.

IV. Financial Dynamics of Late-Night TV

A. Declining Ad Revenues for Late Night Shows

The financial viability of late-night television is scrutinized as Peterson reveals a stark decline in ad revenues. Late-night shows on major networks generated "$439 million in ad revenue in 2018," which plummeted to "$220 million last year" (05:00). This substantial reduction underscores the changing viewership and advertising landscape.

B. Fragmented Viewership and Advertising Challenges

Durdy attributes the decline to a "fragmented society" where algorithms dictate content consumption, making it challenging for a single show or personality to maintain broad appeal. She notes, “what is funny anymore?...we're living in these sort of despondent times” (06:22), highlighting the difficulties in maintaining audience engagement amidst diverse and segmented viewer bases.

V. The Role and Impact of AI in Marketing

A. OpenAI's Agentic AI Tool Launch

A significant portion of the discussion centers on the introduction of OpenAI’s agentic AI tool, described as a "chat GPT agent" capable of handling comprehensive workflows, including scheduling, creating slide decks, drafting emails, and navigating websites (13:43). This advancement represents a step towards the "uncanny valley," where AI begins to emulate human-like assistance in professional settings.

B. Impact on Staffing and Job Roles

Durdy and Peterson explore the ramifications of AI integration in marketing. Durdy expresses caution, stating, “AI is not going to relay an email or write an email, like I'm going to write an email for the better” (12:37). Peterson echoes concerns about the future of junior roles, questioning, “what then happens to the junior copywriters...if that [grunt work] is then taken over by AI?” (16:29).

C. Ethical Considerations and Consumer Perception

The conversation also touches on ethical issues, such as consumer trust and the environmental impact of AI. Durdy asserts that brands "are really going to have to reckon with their AI use when it comes to climate change," noting that marketers often overlook the environmental consequences of powering AI tools (20:41).

VI. CTV Advertising Strategies Discussion with Albert Thompson

The latter part of the episode features a conversation with Albert Thompson, focusing on the challenges and opportunities within CTV advertising.

A. Limitations of Traditional TV Ads on CTV

Thompson criticizes the tendency to repurpose traditional TV ads for CTV without adapting to the platform's unique engagement rules. He states, "Everybody missed that part" (24:54), emphasizing that "digital’s reward was always depth over everything else" and that linear TV strategies do not translate effectively to CTV environments.

B. Importance of Native Ad Formats

Kamika McCoy and Thompson discuss the inefficacy of QR codes in CTV ads, highlighting their transient on-screen presence as a barrier to user engagement. McCoy argues for longer ad durations and better integration of interactive elements to enhance usability and effectiveness (27:38). Thompson advocates for "native ad products" that align with CTV’s interactive capabilities, allowing for more meaningful consumer interactions.

C. Strategies for Effective CTV Advertising Campaigns

Thompson underscores the need for a holistic approach to CTV advertising, where different ad formats work in synergy to guide consumers through the user journey—from exposure to transaction. He cites Unilever's successful integration of native ads within Love Island as a model for immersive and effective CTV campaigns (33:34).

Durdy adds that brands should "recreate some of the moments" seen in high-budget campaigns within their own budgets, utilizing platforms like Rembrandt, Myriad, and Riff for dynamic ad placements (34:59).

VII. Conclusion

The episode concludes with a reflection on the rapidly evolving media and marketing landscapes. Durdy and Peterson emphasize the necessity for brands and marketers to adapt to changing consumer behaviors and technological advancements. As AI continues to reshape job roles and advertising platforms like CTV demand more sophisticated strategies, industry stakeholders must prioritize innovation and consumer-centric approaches to stay relevant and effective.

Notable Quotes:

• Sarah Durdy (02:20): “News consumers are no longer really interested in seeing clips from late night shows to get their news.”
• Kamika McCoy (05:00): “The late night genre as a whole is not profitable as it used to be.”
• Albert Thompson (24:54): “Everybody missed that part. Digital’s reward was always depth over everything else.”
• Sarah Durdy (20:41): “Brands are unabashedly pursuing AI and emerging tech despite the resources that are required to power these tools.”

This comprehensive summary encapsulates the key discussions and insights from the episode, providing a clear overview for those who haven't listened to the podcast.