> the issue is personalized ads. It shouldn't exist
Why shouldn't personalized ads exist?
> advertisers would make just as much money without it if it were illegal
It depends very much on the advertiser. Advertisers with broad interest or close matches to specific publication types, sure, but that's not everyone. One way to think of this would be to imagine a world in which advertisers couldn't even choose where their ad appeared -- they would make less money then, without the ability to target contextually, right? There are many valuable transactions that only happen because the right information is given to the right person, and the less well-targeted ads are the more of those you lose.
The story is even worse for publishers. There are major kinds of publishing with negligible commercial tie-in. Historically, the expense of producing a newspaper or magazine meant that you were never holding a single article, and it could be treated essentially as one unit for advertising purposes. But now it is very common for articles to be shared in isolation, which means this cross-subsidy disappears.
Why shouldn't personalized ads exist?
> advertisers would make just as much money without it if it were illegal
It depends very much on the advertiser. Advertisers with broad interest or close matches to specific publication types, sure, but that's not everyone. One way to think of this would be to imagine a world in which advertisers couldn't even choose where their ad appeared -- they would make less money then, without the ability to target contextually, right? There are many valuable transactions that only happen because the right information is given to the right person, and the less well-targeted ads are the more of those you lose.
The story is even worse for publishers. There are major kinds of publishing with negligible commercial tie-in. Historically, the expense of producing a newspaper or magazine meant that you were never holding a single article, and it could be treated essentially as one unit for advertising purposes. But now it is very common for articles to be shared in isolation, which means this cross-subsidy disappears.