Search engine marketing (SEM) grew significantly in 2005 compared to the previous year and analysts predict that it will continue to increase:
US and Canadian advertisers spent $5.75 billion on SEM in 2005, a 44% increase over 2004.
North American SEM spending is projected to reach $11 billion in 2010.
83% of 2005 SEM spending was on paid placement.
11% of 2005 SEM spending was on organic SEO.
In the above numbers, SEM includes payments to search engines and search-related media companies, search engine marketing agencies and in-house expenditures in support of such programs. The programs include paid placement, paid inclusion, organic search engine optimization and search engine marketing technology platforms.
This data is from SEMPO.