Online Ad Sales Drop but May Be Stabilizing

Online advertising revenue continued to decline during the third quarter, according to a report released by the Internet Advertising Bureau, but analysts said the sector could be stabilizing.

The trade group said third-quarter revenue totaled $1.79 billion, down from $1.97 billion a year earlier and $1.87 billion in the second quarter.

Year-to-date online advertising spending stands at $5.55 billion, down 8.4% from the first three quarters of 2000.

“We’re looking at online being flat for the year, and up 10% next year, against a decline in the overall advertising market,” said Jack Myers, chief executive of research firm Meyers Report.