John Battelle, co-producer of the Web 2.0 conference, explains why the latest surge in Internet company valuations and the rise in user-created and user-controlled media is not a repeat of the Internet bubble of the past decade.
Increasingly, small independent agencies are accepting novel revenue sharing deals, equity stakes and profit participation in lieu of hourly compensation by clients, although ad holding companies continue to shun such practices. Kirshenbaum Bond + Partners co-chairman Jonathan Bond said, "Agencies don't have a lot of money, so we can't take a lot of risk."
As recent lobbying efforts on behalf of pending legislation to trim the taxes paid against dividend income and the Central American Free Trade Agreement illustrate, Internet advertising is a powerful tool in convincing Congress of broad, grassroots support on issues. As Washington Post columnist Jeffrey H. Birnbaum writes, interactive issue ads "create instant, ad hoc lobbying organizations that can be mobilized on every front that modern influencers utilize."