Final week, it was introduced that The Commerce Desk will be part of the S&P 500, changing ANSYS. In a LinkedIn submit, CEO Jeff Inexperienced underscored the dimensions of the achievement, stating that it was one thing he had not dared to dream about on the agency’s inception.
For many who haven’t heard, the S&P 500 is a inventory market index that tracks the efficiency of 500 of the biggest publicly traded U.S. firms, chosen based mostly on their market capitalization, liquidity, and sector illustration. Inclusion alerts monetary power and stability, boosting an organization’s popularity with buyers.
It typically results in elevated demand for shares, as many index funds and ETFs are required to purchase shares within the index. This heightened demand can drive up an organization’s inventory value and cut back volatility, providing each status and sensible monetary advantages.
For instance, The Commerce Desk noticed its inventory value rise by double-digits on the again of the information, with its market capitalization surpassing $41 billion the day earlier than its July 18 admission to the S&P 500. It’s additionally in stark distinction to the precipitous inventory value plunge following the demand-side platform’s first quarterly decline in revenues after 33 straight durations of assembly, if not surpassing, analysts’ expectations.
Nevertheless, advert tech observers can rightly ask why The Commerce Desk was inducted into the S&P 500 forward of its advert tech up to date AppLovin, which had a market capitalization of roughly $124 billion throughout the identical week.
Formally, the reply to such queries is that inclusion within the S&P 500 relies on extra than simply market capitalization.
Whereas measurement is a key issue, the index additionally considers profitability, liquidity, public float, sector illustration, and U.S. incorporation. The Commerce Desk, regardless of its smaller market cap in comparison with AppLovin, evidently met the whole set of eligibility standards, together with constant profitability and a enough share of publicly traded shares.
AppLovin, though bigger in worth, could not have met such necessities, like a historical past of constructive earnings over latest quarters or having a sufficiently broad investor base. Moreover, the S&P 500 goals for balanced sector illustration. Suppose the index committee determines that an organization higher aligns with its objectives for diversification and stability. In that case, it could be chosen over a bigger peer that has been deemed to have fallen in need of its choice standards by the powers that be.
As highlighted by Investor’s Enterprise Each day, the choice committee for the S&P 500 Index additionally handed family names, akin to Robinhood, in favor of The Commerce Desk, nevertheless it additionally asks questions of the broader sector. Nevertheless, for some, it can additionally increase questions as as to whether transparency in advert tech had something to do with it.
In any case, within the final yr, AppLovin confronted a number of aggressive short-seller assaults from Fuzzy Panda, Culper Analysis, and Muddy Waters. They accused the corporate of overstating its AI capabilities, misappropriating person knowledge, violating app retailer insurance policies, and using misleading ad-install ways, all to inflate metrics. These claims triggered vital declines in inventory costs throughout the identical interval, with some situations reaching as excessive as 23%.
Such claims led AppLovin to be hit with a class-action securities lawsuit alleging fraud and deceptive disclosures about its AI platform, AXON, and knowledge practices. The corporate responded by retaining Quinn Emanuel to research and vigorously defend its enterprise, whereas analysts debated the affect of those controversies.
Related circumstances befell fellow publicly-traded advert tech agency Zeta International within the final 12 months, and it’s additionally value noting that AppLovin’s inventory value has since began to maneuver up and to the proper.
Nevertheless, historians of the sector will observe how Rocket Gasoline’s drawn-out exit from the highs of its float on the general public markets (arguably) started with related finger-pointing. So whereas the primary advert tech agency to land on the S&P 500 is really a second to recollect, and a collective pat on the again, it’s additionally worthy of some a second for reflection that the sector as an entire must be cautious of misdeeds.
Numbers to know
- 11%: The variety of respondents planning to lower their retail media spend in H2, in keeping with MediaOcean’s newest report.
- 47%: The variety of respondents utilizing generative AI for knowledge evaluation, per the advert tech agency’s survey findings.
- 45%: The variety of executives citing “conversions” as essentially the most crucial metric when evaluating CTV/reside sports activities buys.
- 52%: The variety of executives citing fragmented measurement as the crucial problem to measuring attain and frequency.
What we’ve heard
“Amazon DSP is a really completely different competitor than Google… if the Amazon DSP tech finally matches their aggression, Amazon and The Commerce Desk can be an actual match.”
— Daniel Salmon, an equities analyst specializing in advert tech at NewStreet Analysis, displays on latest conferences charting the rise of Amazon’s demand-side platform, and the way it’s leveraging wider Amazon capabilities, akin to free clear room companies from AWS, as a part of the continued DSP wars.
What we’ve coated:
Streaming is reaching 50% of all upfront {dollars}
Streaming is ready to dominate the 2025 upfronts, with as much as 50% of commitments shifting from linear TV. Patrons are consolidating DSP companions — favoring Amazon, Google, or The Commerce Desk — making programmatic a “purchaser’s market.” But transparency stays a sticking level, with unclear CPMs and ROI metrics. Advertisers demand higher knowledge to justify larger prices, however many nonetheless face challenges in proving CTV’s worth and navigating advanced pricing constructions. The transition is actual however gradual, with belief and readability lagging behind spend.
CMOs could be pushing forward on AI, however lack of measurement’s holding them again
Generative AI is broadly adopted in advertising and marketing, however clear ROI stays elusive. Entrepreneurs observe time saved and effectivity positive factors, but standardized metrics are missing. Whereas some report price financial savings and productiveness boosts, many stay cautious. With out clear benchmarks, full-scale adoption and company substitute are restricted — AI’s worth nonetheless is dependent upon evolving instruments and expectations.
What we’re studying
Accenture and WPP have mentioned potential M&A deal
Marketing campaign’s Gideon Spanier and Bärbel Egli-Unckrich report that senior executives from each Accenture and WPP have held a number of conferences discussing a possible union by way of company improvement. Representatives of each side declined to remark, however this comes as incoming CEO Cidy Rose prepares to take the reins on the holding firm, with Digiday sources not ruling out the prospect of a possible WPP breakup.
Agentic advert tech agency Clinch scraps CPMs for month-to-month subscription pricing
Adweek’s Trishla Ostwal reveals how Clinch is choosing a flat month-to-month pricing mannequin — Limitless Advert Serving — for advertisers, changing impression-based CPM charges. This SaaS strategy provides limitless cross-channel advert serving, interesting to main manufacturers like Coca-Cola and Hyundai in search of price predictability. Clinch claims shoppers save 30–50% versus CPM pricing. Its AI-powered platform automates artistic and efficiency optimization, difficult conventional adtech monetization and attracting 10 new Fortune 500 shoppers in 2025.
OpenX’s curation software improves buy-side management – nevertheless it doesn’t wish to substitute DSPs
AdExchanger stories how OpenX has launched OpenXSelect, a curated provide platform aimed toward giving advertisers larger transparency and management. Although nonetheless firmly figuring out as a sell-side platform, OpenX is leaning into buy-side wants by enabling exact viewers and contextual concentrating on. Powered by its AI suite, Outcomes by OpenX, the platform helps manufacturers navigate considerations over provide high quality and advert placement, whereas delivering tailor-made deal IDs for environment friendly, outcome-focused media shopping for.
Advertising and marketing budgets bounce again: IPA Bellwether Q2 2025
ExchangeWire examines attitudes in the direction of IPA figures, suggesting that U.Okay. advertising and marketing budgets rebounded in Q2 2025, rising on the quickest fee in a yr, per the commerce org’s newest Bellwether Report. A web 5.5% of companies elevated spend, pushed by digital, direct advertising and marketing, and gross sales promotions. Regardless of financial headwinds, tactical investments returned. Market analysis and “different” classes had been the one areas to see finances cuts.
