Oracle recently announced its decision to shut down its advertising business, citing a sharp decline in revenue from $2 billion in 2022 to $300 million in fiscal year 2024. The company had initially ventured into the advertising sector through a series of acquisitions of ad tech companies, such as DataLogix and Moat, in an effort to become a data platform. However, challenges arose due to cultural clashes, operational disruptions, and the evolving landscape of data privacy regulations.
Industry experts believe that Oracle’s exit from the advertising industry reflects broader trends in the martech sector, including the impact of data privacy restrictions and regulatory hurdles. The emergence of data collaboration platforms and the shift towards first-party data assets are seen as critical in navigating the changing advertising landscape.
Local customers in the APAC region are advised to focus on building robust first-party data assets, exploring alternative DMPs, digital identity services, retail media networks, and data clean rooms. Companies with strong first-party data assets are expected to have greater flexibility in adapting to the evolving advertising environment.
In conclusion, the closure of Oracle’s advertising business serves as a wakeup call for brands and companies to prioritize first-party data strategies and adapt to the shifting landscape of data privacy regulations. By embracing new approaches and technologies, organizations can position themselves for success in the post-Oracle advertising era.
Article Source
https://techwireasia.com/2024/07/experts-weigh-in-on-oracles-departure-from-adland/
