#United States #New York #digital advertising #IAB #Advertising Agreements

IAB Releases Updated General Terms for Digital Advertising Agreements

On May 20, 2025, the Interactive Advertising Bureau (IAB) announced the release of its revised General Terms for Digital Advertising Agreements, following over a year of collaboration with diverse stakeholders in the advertising ecosystem including agencies, brands, publishers, and ad technology firms. This significant development comes after recognizing the need to modernize the existing terms that were created nearly 25 years ago, which have not kept pace with technological advancements and evolving advertising practices.

A New Framework for a Changing Industry

The original terms were established in May 2001, a time when the digital advertising landscape was vastly different. As technology and consumer behavior evolved, the limitations of the outdated framework became increasingly evident, leading to inefficient negotiations and prolonged deal-making processes. The updated General Terms represent a collective effort to establish a modern, clear, and flexible foundation for digital ad transactions that accommodates various buying methods, whether direct or programmatic.

Michael Hahn, EVP and General Counsel for IAB and IAB Tech Lab, emphasized the importance of this initiative, stating, “This new framework provides the industry with the tools necessary to transact efficiently across different platforms and with diverse vendors, including measurement and ad verification providers.” With potential reductions in legal burdens and negotiation time, this advancement aims to enhance the agility of the digital advertising ecosystem.

Collaborative Development and Industry Input

The revisions were driven by insights from 276 IAB member companies, which include influential agencies like Omnicom, Publicis, and independent agencies such as Butler/Till and Canvas Worldwide. Additionally, major brands like Unilever and Bayer and publishers like Hearst and NBCUniversal also contributed. This collaborative approach is intended to reflect the realities of today’s advertising transactions and foster an environment of innovation moving forward.

The updated terms feature a modular structure tailored to accommodate various deal types, ensuring a balance between consistency and flexibility. Specific business arrangements such as cancellation rights and delivery requirements will be addressed in separate addenda, which are currently being developed. Angelina Eng, VP of Measurement, Addressability, and Data Center at IAB, pointed out that the modular setup addresses the industry's need for a standardized yet adaptable approach.

Clarifying Expectations and Reducing Friction

Rob Beeler, Founder and CEO of Beeler.Tech, articulated the pent-up demand for such a framework, stating that it helps align industry practices with how deals are actually structured and executed. The result is a significant win for everyone involved, as it sets the stage for faster transactions and reduces the need for extensive negotiations that have historically bogged down the industry.

Moreover, Shenan Reed, Global Chief Media Officer at General Motors and Chair of the IAB Board of Directors, noted that the industry has struggled with multiple disconnected frameworks in light of rapid changes and growth. “What IAB is providing is a common language within the industry that will help facilitate trust, creativity, and rapid scalability,” he stated, reinforcing the necessity for this updated framework.

Call for Industry Engagement

The IAB is currently inviting all stakeholders in the digital advertising realm to review the new General Terms and participate in a public comment period lasting until July 21, 2025. This feedback will be instrumental in shaping the final version of the updated terms, which IAB anticipates will serve as a foundational element for digital advertising agreements across the industry.

To engage with this process and contribute insights, interested parties can access the proposed terms for review online. The IAB's commitment to advancing the digital marketing landscape includes offering educational resources and technical standards, aimed at fostering professional development in alignment with the contemporary needs of the industry.

As digital advertising continues to evolve, embracing standardized agreements like those from the IAB can significantly streamline operations, reduce complexities, and enhance the overall dynamism of the advertising ecosystem.

About IAB

Founded in 1996 and headquartered in New York City, the Interactive Advertising Bureau (IAB) is a key player in empowering the media and marketing professions within the digital economy. Its membership encompasses a broad spectrum of over 700 leading media companies, brands, agencies, and technology firms critical to the success of digital marketing campaigns. IAB remains dedicated to advancing the field through essential research, educational support, and advocacy efforts at the legislative level.