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Google will pull all YouTube Ad inventory from Ad Exchange

Google has announced that it is going to pull all YouTube Ad inventory from Ad Exchange, early next year. Moving forward, it will only be possible to buy YouTube inventory through Google’s own buy side tools; AdWords & DoubleClick Bid Manager (DBM). This means that non-Google Demand Side Platforms (DSPs) will no longer have programmatic access to YouTube Ad inventory. This move will strengthen Google’s DBM position by default, over its rivals in the DSP market.

As posted on the DoubleClick Advertising Blog, Neal Mohan VP, Display & Video Advertising at Google explained,

Google has announced that it is going to pull all YouTube Ad inventory from Ad Exchange and elaborated officially on the subject: ‘To continue improving the YouTube advertising experience for as many of our clients as possible, we’ll be focusing our future development efforts on the formats and channels used by most of our partners. To enable that, as of the end of the year, we’ll no longer support the small amount of YouTube buying happening on the DoubleClick Ad Exchange.’

While many will label YouTube’s move as being a regressive one, it could also be reasoned that Google is simply responding to changing conditions. By this, I mean the rise of Facebook video offering, who have been taking a similar approach in building its own walled garden.

It is going to be interesting to see how multichannel networks (MCNs) and video creators will feel about Google turning away demand from companies like YuMe, Videology, AOL, TubeMogul, BrightRoll, etc…

For advertisers, “One ring to rule them all” will no longer be the case, as they won’t be able to sit down at a single DSP that’s capable of buying all of their media. Buyers will now have to occupy a series of different DSP seats to combine media, technology and data.

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