San Francisco, March 26 (IANS) The novel coronavirus pandemic can wipe out more than $44 billion in global ad revenue for the tech giants Facebook and Google in 2020 as digital advertising runs dry, a new report has predicted.
According to global investment bank and financial services company Cowen & Co., Google's total net revenue is projected to be about $127.5 billion -- down $28.6 billion.
Facebook's ad revenue for 2020 is forecast at $67.8 billion -- a decrease of $15.7 billion, Variety reported on Thursday, quoting Cowen's data.
However, Facebook's advertising business is projected to "bounce back" in 2021, growing 23 per cent (year-over-year) to $83 billion, said the Cowen analyst team.
"For full-year 2020, Google will generate $54.3 billion in operating income (43 per cent adjusted EBITDA margin) and Facebook will pull in $33.7 billion (49 per cent margin)," according to Cowen's forecast.
In a separate blog post, LightShed analyst Rich Greenfield said that "digital platforms are feeling the pain soonest, given the relative ease of pulling ad spend versus mediums such as television (who are likely to experience far more pain in Q2 than Q1)".
Cowen has cut its full-year revenue forecast for Twitter by 18 per cent.
"Amazon's ad business, meanwhile, is ‘generally less exposed' to the downturn than other large digital platforms because the company's advertising is mostly related to product searches".
Facebook has admitted that its ad business has been adversely affected in countries severely hit by the novel coronavirus while non-business engagement like messaging has exploded which is affecting its services like Messenger and WhatsApp.
"Our business is being adversely affected like so many others around the world. We don't monetize many of the services where we're seeing increased engagement, and we've seen a weakening in our ads business in countries taking aggressive actions to reduce the spread of COVID-19," said Alex Schultz, VP of Analytics and Jay Parikh, VP of Engineering.
With one-fifth of the world's population now under lockdown and industries shutting operations amid global supply chain issues, the new coronavirus pandemic is set to deliver a sharp and deep economic shock, a new report has said.
According to analysts at BlackRock Investment Institute, market moves are reminiscent of the darkest days of the financial crisis, but they don't think this is a repeat of 2008.
"Stringent containment and social distancing policies will bring economic activity to a near standstill, and lead to a sharp contraction in growth for the second quarter", it said.
By Rohit Vaid
New Delhi, Jan 24 (IANS) India's civil aviation industry professionals will be considered for anti-Covid vaccination during the second stage of the national inoculation drive.
The industry has played a crucial role in evacuation of millions and re-connecting supply chains to ferry essentials during the pandemic period.
The sector is considered as crucial for fast economic recovery, as air passengers' numbers rise and markets re-open.
The industry provides the solid logistical backend in supply of vaccines to various hubs and regional centres across the country.
In this context, the Ministry of Civil Aviation has written to the Health Ministry requesting that industry professionals be considered to be inoculated in the second phase.
Civil Aviation Ministry's Joint Secretary Usha Padhee said: "We have already submitted an application and requested the Ministry of Health to consider the airline and airport staff in the second stage of vaccination."
"Since, they are involved in travel and also in the vaccine movement, we will enumerate the number of people who interact directly with the public for the vaccination. We are pursuing it," Padhee told IANS.
Besides the ministry, the demand for vaccinating aviation professionals have been raised by the industry.
India launched the biggest vaccination drive in the world on January 16.
The programme is backed up by the country's comparative advantage of having the largest vaccine manufacturing capacity in the world and a rich experience of mass inoculation drives against polio and measles.
Currently, India plans to vaccinate around 300 million of its population by July 2021.
(Rohit Vaid can be contacted at email@example.com)