>it might support just a hundred publishers rather than ten million sites - but so be it.
You want millions of people to loose their lively hood over this issue? That sounds cruel and spiteful to me.
You also have to think of many small companies that make niche products that would no longer be able to find their customers and thus be forced to close.
> 2) in a vast global experiment where advertisers knew everything about everyone they still completely failed to show people relevant ads.
The premise of your statement is false, advertisers have never know every thing about anyone. That was just marking bullshit by ad-tech companies targeted at adversities and publishers, "We know everything about your users! So if you hire Acme Ad Tech your profits will go through the roof!" The fact that users hear the statements and understandably freaked out was collateral damage. The fact this statement was demonstrably false was irrelevant.
The fact is that the amount of data used to do targeted advertising is quite sparse in-fact, no-one wants to spend the effort to individually go through mountains of data and figure out the best advertisment. Really the only data used is
1. demographics (age, gender)
2. location (this is so a NYC based restaurant chain doesn't waste money advertising in California),
3. language (people actually hate seeing ads in a foreign language)
4. interest categories (like do you like Football, or Cars, or video games, this is how facebook advertises a lot they figure out your interests based on posts, then allow advertisers to advertise to you based on that category, (interestingly they don't actually sell the list of interests mostly because that would mean advertisers would not have to buy ads through Facebook and more))
5. product targeting (this is you visited acme.com and put an acme roadrunner trap in your cart but never checked out so now it follows you around the internet.)
> Most notoriously even the giants who know what you ate yesterday fail to realize you probably don’t want ads for toilets for a year after you bought a toilet.
Yeah, that's my point, using more data (like the fact you bought the toilet) is more work and using the current amount of data works well enough for them so that is all they do.