Oracle has opted to close its advertising division, leaving several hundred employees without jobs. The layoffs were carried out abruptly, without much notice to the affected workers. There were even reports of job offers being made during the Cannes Lions festival. The closure of Oracle’s advertising division leaves a void in the market, which companies like Integral Ad Science are looking to fill by reaching out to the displaced executives.
The decision to close the advertising division comes as no surprise, as the division was struggling despite raising $2 billion just a couple of years earlier. Industry experts believe that finding a buyer would have been challenging due to privacy concerns associated with the data assets, especially in the wake of the Cambridge Analytica scandal. Additionally, with the growing complexity of privacy regulations in the U.S., companies are being forced to reevaluate how they handle data and what products they provide.
Despite the challenges faced by Oracle’s advertising division, other companies in the industry see the closure as an opportunity to expand their operations. CEOs at companies like Integral Ad Science are already looking at ways to fill the gap left by Oracle’s exit from the market. While the closure may be a setback for Oracle, it opens up opportunities for others in the industry to grow their business and gain more market share.
The fate of Oracle’s advertising division serves as a cautionary tale for other companies in the industry. As privacy regulations become more stringent and consumers become more aware of how their data is being used, companies must adapt to remain compliant and protect their brand reputation. Oracle’s missteps in managing its advertising division highlight the importance of staying up to date with industry trends and regulations to avoid similar pitfalls.
Ultimately, Oracle’s decision to close its advertising division reflects the evolving landscape of the industry and the challenges that companies face in navigating privacy concerns and regulatory requirements. As the industry continues to evolve, companies will need to stay vigilant and adapt to ensure their long-term success.
Article Source
https://digiday.com/marketing/as-oracles-ad-business-collapses-layoffs-and-uncertainty-ripple-through-the-industry/