AI is reshaping digital advertising, but not always for the better. Industry leaders warn of major risks as autonomous systems take control. Recent algorithm failures show what’s at stake. The future of ad revenue may depend on new safeguards.
For anyone relying on digital advertising to drive revenue, the rapid advance of agentic AI is both a promise and a warning. As autonomous systems begin to influence pricing, yield, and campaign decisions, the stakes for publishers and ad tech companies have never been higher. The industry is now grappling with the reality that AI can make commercial calls without clear oversight, raising urgent questions about accountability and risk.
James Deaker, who leads consultancy Korukea Media, has been closely analysing how AI could reshape the economics of digital ads. His recent commentary in AdExchanger and appearances at events like the Programmatic AI conference have sparked debate about the potential for AI-driven systems to spiral out of control. Deaker’s perspective is rooted in real-world examples: from Zillow’s abrupt shutdown of its AI-powered home buying service, to Amazon sellers facing millions in losses after pricing algorithms malfunctioned. These incidents highlight how quickly things can unravel when algorithms operate without human checks.
Alongside AI reporter Joanna Gerber, Deaker is urging the industry to think several moves ahead. The conversation is shifting from excitement over AI’s efficiency to a sober assessment of what happens when no one is clearly responsible for the outcomes. As more companies embrace AI to optimise ad revenue, the risk of catastrophic errors grows—potentially threatening entire business models. The message is clear: innovation must be balanced with robust guardrails, or the next algorithmic misstep could be devastating.
Korukea Media, under James Deaker’s leadership, has become a key voice in the debate over AI’s role in digital advertising. The consultancy is known for its focus on yield optimisation and its willingness to challenge industry assumptions. Deaker’s background spans both the buy and sell sides of programmatic advertising, giving him a unique vantage point on the risks and rewards of automation. His YouTube series, The Yield Doctor, has attracted a following among ad ops professionals seeking practical insights into the evolving landscape. As AI continues to disrupt established practices, Deaker’s nuanced approach is shaping how publishers and platforms prepare for an uncertain future.