CTV is fueling the US TV ad industry

TV ad spending in the US will reach $68.35 billion this year, and it will fall to $64.94 billion in 2026. Even though it is dropping, the amount of money spent on linear TV and connected TV (CTV) ads together will increase from $87.24 billion this year to more than $100 billion in 2026 because CTV viewing is increasing so much.

Beyond the chart

Many networks are following the trend of moving towards digital services and investing in ad-supported video on demand (AVOD) services. This is fueling the growth of CTV advertising. Premium streaming platforms such as Disney+ and Netflix are also pushing into the AVOD space, currently dominated by Hulu in the US. With 41.6% of the population using AVOD services this year and time spent with CTVs and the like approaching 2 hours per day, expect ad dollars to flow into these formats.