Magnite is adding DSP-like features to help publishers and advertisers plan and optimize campaigns. The company aims to democratize access to data and inventory, but says it will not replace DSPs. Revenue and CTV growth highlight the shift.
Magnite is moving deeper into the ad tech decisioning layer, introducing new tools that let publishers and advertisers plan, activate, and optimize campaigns-capabilities traditionally handled by demand-side platforms. The company’s latest earnings call revealed a strategy focused on giving both buyers and sellers more direct access to data and inventory, while maintaining its position as a supply-side platform rather than a DSP.
CEO Michael Barrett said Magnite is leveraging SpringServe to help advertisers not only serve ads, but also package inventory and audiences, and manage optimization decisions. These functions, once exclusive to the buy side, are now shifting toward the supply side as publishers and buyers gain access to richer first-party data, commerce signals, AI, and pricing intelligence. Barrett emphasized that Magnite’s technology and relationships position it to benefit from this shift, but made clear the company does not intend to replace DSPs. He stated that while Magnite is introducing DSP-like products, it is not trying to become a DSP and expects DSPs to remain important in the ecosystem.
Magnite’s financial results reflect this evolution. In the second quarter, total revenue reached $193 million, up 11% year-over-year, with revenue excluding traffic acquisition costs at $190 million, a 17% increase. Connected TV (CTV) contributed $97 million in revenue ex-TAC, marking a 36% year-over-year rise. The company raised its outlook for 2026 and expects further margin expansion. More notably, Magnite is now handling tasks such as audience packaging, demand routing, and AI-driven impression allocation-roles that previously belonged to the buy side.
Commerce media is a key area of focus. Companies like Fanatics, CVS Media Exchange, Best Buy, and PayPal Ads are using Magnite to integrate their first-party data into CTV and open internet campaigns. Walmart Connect is combining Walmart’s commerce data with Vizio’s inventory through Magnite to support off-site campaigns and provide closed-loop measurement for buyers. This approach aims to ensure that no single DSP has privileged access to data and inventory. Barrett said Magnite’s goal is to democratize access to underlying data and supply across multiple DSPs, not just the one where the data originates.
Barrett described these changes as part of a broader transformation in digital advertising, where audience enablement and decisioning are moving from the buy side to the sell side as publishers and advertisers rely more on their own data and AI. He predicted that buyer and seller agents will become more common, increasing the need for robust infrastructure. Magnite recently launched Magnite Orchestration, a software layer designed to help agents communicate and coordinate. Barrett argued that being an SSP today is no longer about simply aggregating DSP demand, and that the days of easy revenue from basic banner ad integrations are ending.
This shift in how inventory is packaged and sold echoes broader changes in digital advertising, as publishers rethink their strategies in response to evolving demand and supply dynamics. For example, a recent report on the impact of declining ad inventory on publisher economics highlights how companies are adapting to new market realities.
Magnite, founded in 2020 through the merger of Rubicon Project and Telaria, has become one of the largest independent supply-side platforms in digital advertising. The company reported annual revenue of $577 million in 2025 and works with thousands of publishers and media owners worldwide. Its continued investment in CTV and commerce media reflects a strategy to capture a larger share of the programmatic advertising market as the industry shifts toward more data-driven and automated decisioning.
