Google Vs. Facebook: Will There Be An Online Advertising War In 2015?

Facebook Inc (NASDAQ: FB) has been gaining significant grounds in the online advertising space. Could it pose a serious threat to Google Inc (NASDAQ: GOOG) (NASDAQ: GOOGL) in 2015?

Colin Sebastian from Robert W. Baird was on CNBC to discuss Facebook’s outlook for 2015 and the competition it may give Google in the advertising space.

"Well, Facebook is really at the epicenter of a massive secular shifts in mobile and so you know for 2015, certainly that will be the predominant force for growth for Facebook and really they have established itself as the most legitimate mobile ad platform at a high scale. Now, incremental to that we see a couple of things," Sebastian said.

Related Link: The Future Of Advertising: Google Or Facebook?

Sebastian continued, "Number one, video. The slow melting ice cube, if you will, of TV ad spends is starting to accelerate and Facebook is one of the companies well positioned to capture that spend. And then secondly, Facebook will begin to power advertising off of its applications across the broader web and that network affect itself in advertising will be strong enough in our view."

Google Vs. Facebook

"Well, there is no doubt in terms of incremental ad spend online that Facebook is capturing an increasing share of that, but what we hear from advertisers is that they are not allocating budget away from Google. So, the competition is for that incremental spend. In that case, Facebook will grow faster than Google, but both platforms are positioned to continue to gain share," Sebastian added.