“In a deal that will reshape the advertising and communications industry, Omnicom has completed its $13 billion deal for Interpublic, creating a marketing behemoth that will seek to leverage its scale and generative artificial intelligence to reimagine the sector. “This is a defining moment for our company and our industry,” said John Wren, chairman and”, — write: www.hollywoodreporter.com
“This is a defining moment for our company and our industry,” said John Wren, chairman and CEO of Omnicom, in a statement Wednesday. “With the completion of the deal, Omnicom is setting a new standard for modern marketing and sales leadership — creating stronger brands, delivering superior business outcomes, and driving sustainable growth. We’re excited about this next chapter. I want to thank our people, clients, and shareholders for the trust they have placed in us.”
Omnicom and IPG first announced their deal a year ago, ultimately securing FTC approval after agreeing to a consent decree focused on “collusion” between the companies, with a particular focus on the companies colluding to withhold ad dollars from media outlets or social platforms based on their political views or ideology. The EU signed off on the deal earlier this month, clearing the way for it to close.
Of course, the political undertones are nothing compared to the threat and opportunity posed by AI. The combined company will be “poised to accelerate innovation and harness the significant opportunities created by new technologies in this era of exponential change,” Wren said when announcing the deal. Indeed, AI is set to disrupt almost every part of the ad business, from ideation and creation to deployment and targeting.
The combined company will also have more scale as it negotiates with media companies and entertainment giants, who are both clients and partners.
The combined company will also be a PR power player, with firms like Weber Shandwick, Golin, Fleishman Hillard, Ketchum, and Porter Novelli. IPG recently disbanded R&CPMK, with most of its staff, including CEO Cindi Berger, joining Michael Nyman’s Acceleration Community of Companies.