After unprecedented revenue growth last year, digital platforms including Alphabet Inc., Meta Platforms Inc., Snap Inc., and Twitter Inc. now face a sobering reality as pandemic-driven advertising trends dissipate, according to an analyst report on Thursday.
Research firm MoffettNathanson cut its 2025 revenue estimates for each of the four companies by double-digit percentages.
U.S. digital ad spending surged 38 percent in 2021 over the previous year. Alphabet, the largest digital advertising platform in the world, posted record revenue of $257 billion that year.
While the companies have warned of pressure from inflation, the Ukraine war, and the end of a COVID-induced lift to advertising, the report estimates for the first time the potential impact to revenue over the next few years….