AI Ads Are Taking Over Your TV, and the Numbers Back It Up

Artificial intelligence is no longer just behind the scenes but also shaping what you see on TV screens. According to PricewaterhouseCoopers (PwC) Global Entertainment & Media Outlook report 2025–29, AI-powered advertising is rapidly becoming the backbone of growth in the digital media landscape, particularly in Connected TV (CTV).

CTV, which refers to internet-enabled TVs and streaming platforms, is proving to be a goldmine for advertisers. In 2024 alone, digital ad formats made up 72% of global media revenue. That figure is projected to rise to 80% by 2029, with AI-driven CTV ads expected to generate a staggering $51 billion. This shift marks a significant transformation in how media is monetized and how viewers experience content.

Unlike traditional ads, AI-powered advertising can analyze viewer behavior in real time and serve up hyper-targeted content. Think fewer generic commercials and more tailored, relevant promotions that align with individual interests. For advertisers, it means better results. For viewers, it often means a more seamless, less disruptive experience.

Streaming platforms are leaning in hard. Services like Hulu, Peacock, and Amazon Freevee are experimenting with dynamic ad insertion, real-time personalization, and even interactive ads that users can engage with directly. This not only increases ad effectiveness but opens the door to entirely new storytelling formats.

The rise of AI in CTV also reflects broader media trends, where automation, personalization, and data-driven decisions are redefining the business model. As advertising becomes more intelligent, both creators and consumers stand to benefit from more customized, relevant, and engaging content delivery. AI is changing the channel, literally, with connected TV fast becoming the new frontier of smart media.