Artificial Intelligence Meets AdTech: Digital Disruption, Data Privacy And Future Perspectives

Author:Mr Giangiacomo Olivi
Profession:Dentons
 
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Artificial Intelligence (AI) is reaching out with nearly every sector today: from retail to banking, from agriculture to healthcare, from finance to media and in other areas. In fact, it comes with no surprise that emerging Advertising Technologies (AdTech) are also joining forces with AI to keep up with the recent hype.

AdTech is a relatively new field, which developed as fast as the World Wide Web started spreading from the mid-nineties on, thanks to the growing demand for online marketing content. For instance, that period saw the first appearance of cookies, ad networks and targeted banner ads.

Actually, AdTech revolutionized the way brands connect with their audiences and the way advertisers (demand side) and publishers (supply side) interact with each other for the instant buy/sell of ad spaces and ad campaigns.

Ever since the nineties, advertisers, publishers and marketers started focusing more and more on the intersection between big data and customers' behavior. This in order to lay the foundations for the development of future online advertising techniques. Consequently, new technologies, analytics and data science became the three key components at the very center of any AdTech endeavor.

Regulators also had to adapt to the rapid shift change brought by AdTech and placed at the crossroad between data privacy, consumer protection and IT law. Especially in the EU, this led to the rise of laws and regulations specifically addressing data privacy in the online world, such as the ePrivacy and eCommerce Directive, GDPR and the future ePrivacy Regulation.

AI will boost AdTech one-step further and introduce scenarios that will challenge current legal and industry standards, while requesting new and more dynamic approaches to online advertising. So, how is this going to happen and at what future perspectives should we expect?

According to recent reports, the use of AI in AdTech is set to increase exponentially in the coming years. This is mainly because of companies' appetite for ever-more precise predictive analytics, consumer-centric algorithms and effective online behavioral advertising campaigns.

As of today, we already have practical examples of AI-powered tools applied to AdTech, such as ad network mediation, ads positioning and hyper-personalization of online contents, as well as automated programmatic. The amount of data currently available both online and offline makes all this possible and is going to be more and more crucial...

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