Last updated with Warner Bros. Discovery earnings on February 27, 2026.

Macro Lessons from Q4

• Ad revenues for the advertising triopoly of Meta, Amazon, and Google all grew by double digits YoY. But while their total ad revenues are rising, Google’s share of overall digital ad revenues is trending slightly downward as secondary players gain momentum. Amazon and Meta are slated to gain share through 2027.
• Reddit’s ad revenues soared 75% YoY, reflecting its rapid rise as an ad vehicle—though it’s worth noting that Reddit still accounts for only 0.5% of overall 2026 digital ad revenues, according to our forecast.
• While the triopoly remains dominant, Reddit’s growth shows that advertisers have interest in smaller social platforms that inform search, chatbot prompts, and product discovery.
• This broad-based strength suggests the digital ad market not only weathered recent headwinds like tariffs but entered 2026 with significant momentum.
• Live sports proved its position as a key growth driver for companies like Disney and NBCUniversal. Premium live moments draw audiences en masse and attract advertiser investment, even as other business segments soften.
• Short-form video remains paramount for social platforms trying to compete in a period of fragmented attention. Platforms like LinkedIn are making notable gains from short video alone.
• Q4 2025 earnings from major digital advertising players indicate the industry’s health. Many companies beat expectations in ad revenue growth, signaling that advertiser demand carried momentum during the holiday quarter. Meta and Amazon in particular posted standout results, with both companies’ ad revenues surging over 20% YoY.