NEW YORK, Dec. 9 (Xinhua) -- Omnicom Group, an American global media, marketing and corporate communications holding company based in New York City, will acquire the American publicly-traded advertising company Interpublic Group in a deal that will create the world's largest advertising business, the companies confirmed on Monday.
"A combined entity would have net revenue of more than 20 billion U.S. dollars, based on 2023 figures for each company, and include storied ad agencies such as TBWA Worldwide and McCann Worldgroup," said The Wall Street Journal in its report about the move. "Their client rosters include Amazon, AT&T, PepsiCo, Unilever and Volkswagen."
It is intended to help the combined company better compete with tech behemoths such as Google and Meta Platforms, which have emerged as dominant forces in the advertising business and stand to push even further into Madison Avenue's territory with the rise of generative AI, said the report. This technology is expected to enable them to handle more of the creative development for brands -- a cornerstone of advertising agencies.
The deal "allows us to take control of our own future, rather than wait for technology to impact it in ways that you can't anticipate today," Omnicom Chairman and Chief Executive John Wren said during a call with investors.
