AT&T And Verizon Decide To Suspend All Marketing Advertisements From YouTube

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Both AT&T and Verizon Communications revealed this week that they have decided to suspend their marketing campaigns on Google’s YouTube site.

The two telecom giants cited the termination was due to their ads running alongside offensive and highly controversial videos promoting adult contents, terrorism and hate speeches.

Several companies have made complaints about this, including Mercedes Benz who had its ads running with neo-Nazi ads. There are more than 250 companies now that have pulled their advertisements from YouTube for this reason.

AT&T’s and Verizon’s suspension is with all of Youtube as well as third-party websites that Google partners with and will remain this way until Google solves the problem permanently.

This could hurt hard for Google, considering that both Verizon and AT&T spent $6.6 billion in advertisement in 2015. According to Kantar Media, Verizon and AT&T were the third and fourth largest ad spenders in the U.S. last year.

Research firm eMarketer estimated that Google’s ad venues from YouTube are around $5.6 billion and has projected this figure to reach $7 billion in 2017.

Disclaimer: We have no position in AT&T Inc. (NYSE: T) nor Verizon Communications Inc. (NYSE: VZ) and Alphabet Inc Class A (NASDAQ: GOOGL) and have not been compensated for this article.