Advertising takes Hit as Automakers Cut Budgets

The economic hit that the Big Three automakers -- General Motors, Ford, and Chrysler -- have suffered has influenced how they intend to spend their remaining money.

Analysts expect them to reduce their ad buys, thus affecting the advertising revenue of major media giants. The New York Times reports that advertising revenue for media outlets will dip $3 million by the end of the year.

Even the Internet has been affected. For example, General Motors had announced earlier this year that it would move $1.5 million of its ad budget to online media. But a recent GM announcement to cut its ad budget means far less is going into the ads. The company has also demanded that its ad agency cut its fees by as much as 20 percent.