Roger Lynch, the low-profile CEO of Condé Nast, has become the second major publishing executive in a week to call for the government to rein in Facebook and Google.
In a talk with CNBC’s Julia Boorstin Wednesday, Lynch indicated he is unhappy about all the digital ad dollars flowing to the two titans of tech — while publishers create much of the content that attracts the ads.
“I think there are real issues that need to be looked at, given the dominance of these companies and the impact, and maybe unintended impact, it has on other industries,” he said.
“From a publishing standpoint or content standpoint, when you have two companies that are taking 90% of the growth in digital advertising and other companies are doing 100% of the content creation and production, there’s a little bit that’s out of balance there.”
Time magazine co-owner Marc Benioff said last week he thought the two tech giants should be busted for antitrust reasons.
Google will draw $48.69 billion in US digital ad revenue in 2019, or 37.7% of the market, while Facebook will capture $29.92 billion for 23.2% of the market, according to research firm eMarketer. Amazon will snag 7.6%, for $9.85 billion.
On Thursday, Condé Nast unveiled a new management shake-up designed to capture a little more of the ad dollars. The shake-up will see the exit of respected veteran Chris Mitchell, chief business officer of the culture group and a one-time publisher of Wired, GQ and Vanity Fair.
Vanity Fair, which was once in his group, gets shifted over to Susan Plagemann’s style group, which will now include the beauty and fashion categories, responsible for revenue in Allure, Glamour, GQ and Vogue.