---
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"@id": https://www.twilio.com/docs/glossary/demand-side-platform#article
headline: Demand-side platform (DSP)
description: "*Advertising*. Software that helps advertisers or ad agencies buy digital ad inventory across publishers, supply-side platforms, and ad exchanges."
url: https://www.twilio.com/docs/glossary/demand-side-platform
inLanguage: en
dateModified: 2026-05-06T13:22:30.000Z
author:
  "@type": Organization
  name: Twilio Developer Education Team
publisher:
  "@type": Organization
  name: Twilio
---

# Demand-side platform (DSP)

*Advertising*. Software that helps advertisers or ad agencies buy digital ad inventory across publishers, supply-side platforms, and ad exchanges.

Using the platform, advertisers define their target audience, bid amounts, budget, ad format, and other parameters. When an [ad exchange][], web site, or other digital platform has advertising space to sell, the DSP bids, buys, and displays the ad in milliseconds. This works in real time.

With the controls available and speed of execution, DSPs buy ads at a lower cost than would be possible with a single ad exchange.

[ad exchange]: /docs/glossary/ad-exchange