With Google taking 32%-49% of ad spends [1], and perhaps even more as AdMob appears to be undisclosed (although let's assume in this range), if competition coul

With Google taking 32%-49% of ad spends [1], and perhaps even more as AdMob appears to be undisclosed (although let's assume in this range), if competition could cut this take in half while maintaining equal targeting efficiency, we might see an explosion in growth of niche businesses. If the cost reduction resulted in a 50-50 split between higher publisher revenue and decreased ad costs, then that ~12-24% higher revenue plus 9-16% advertising cost reduction would make a ton of businesses with LTV:CAC ratios on the margins vastly more profitable. Even more importantly, they would be able to reinvest earnings on a far tighter cycle back into their businesses. The vast, vast majority of young businesses do not have access to institutional capital, fueling their growth through positive unit economics. Relatively small changes in costs and revenue relative to margins can have huge effects. For example, an ad-based business with $1 CAC and $2 LTV, where 50% of the LTV is earned over the first 12 months, 25% in the first 3 months, takes a year to see it's ad spend returned and break even, at which point it can reinvest that dollar for new customers and start the cycle again. With 15% lower ad costs and 20% higher revenue, the LTV:CAC becomes $0.85:$2.40, and assuming the same earnings-curve, at three months in $0.60 has been earned, and $0.85 in under five months. That means this business, and those like it, are suddenly able to grow at over 2x the rate as they could prior to such a breakup. As much as many people hate advertising, it is still one of the primary channels for people's wants/needs (often unknown) to get matched to supply, and thus removing a monopoly and increasing the efficiency of this matchmaking could stimulate explosive growth in new and existing products and services that can't currently cost-effectively reach their customers. Ultimately, this would be a great benefit to everyone. As a final note, this is relatively loose thinking and doesn't account for second-order effects like increased ad spend competition with increased revenue, but I think still an interesting thought to get out there, as I think the gist of it still holds. [1] https://support.google.com/adsense/answer/180195?hl=en https://support.google.com/adsense/answer/180195?hl=en