Media moguls rethink Web advertising in downturn

To that end, Barry Diller, chief executive of Web giant IAC/InterActiveCorp, said Internet advertising must evolve from displays and become integrated into the content of websites.

Even actor and media producer Ashton Kutcher chimed in at the conference, saying the billboard-style display ad is already outdated.

"People who have grown up on the Internet have trained themselves not to see it," he added.

(Reporting by Gina Keating and Alex Dobuzinskis; editing by Edwin Chan and Andre Grenon))