The market is being "reset" says Microsoft CEO: get with the program

The chief executive of Microsoft, Steve Ballmer, says that the global advertising market is not in recession, it is in what he called "reset". Media companies should not plan for revenues to bounce back to pre-recession levels, he said (as reported by the Guardian), speaking at the Cannes Lions International Advertising Festival.

He argued that traditional broadcast and print media would have to plan business models around a smaller share of the advertising market, as revenues continue to move to digital outlets.

"I don't think we are in a recession, I think we have reset," he said. "A recession implies recovery [to pre-recession levels] and for planning purposes I don't think we will. We have reset and won't rebound and re-grow."

He reiterated a self-serving point he has made many times that within 10 years all traditional content will be digital and yet publishers are failing to generate serious digital revenues.

"All content consumed will be digital, we can [only] debate if that may be in one, two, five or 10 years," added Ballmer."There won't be [only traditional] newspapers, magazines and TV programmes. There won't be [only] personal, social communications offline and separate. In 10 years it will all be online. Static content won't cut it in the future," he added.