Why Ad Agencies won't save advertising

I love advertising. I think that while some tactics and campaigns may be ill concieved or downright stupid, in general advertising serves as a counterpoint to our day to day lives. Marketing provides a meter of our culutural and sociological patterns either through context or content.
Ok enough pandering. I definitely think that advertising has a lot to add to
our lives and social conversation. But the advertising industry, like most large systems, is set to perpetuate it's own existence. From strategy to concepting to media to execution, ad agencies are part of a larger microcosm that is built on the principles that have defined it through generations. Outrageous costs, self perpetuating metrics, and supporting industries built around antiquated methods litter the industry.
Hollywood and the RIAA are learning first hand what holding onto outdated systems and process' can mean for antiquated business models. While ad agencies still sell branded items, the consumer is gently moving to a model that finds and uses information differently. The media is the message, and while the message has not changed, the media has evolved. While some entrepeneurs are embracing the new method, many hinge on multi-million dollar production budgets and the spread of large companies to create content.
The last major shift in the evolution of content was cable television. Many large companies attempted to buy and apply their working models. However the audience demand and splintering of content and delivery forced large companies to get out of the way and let enterprising small companies design the future of delivery. After many years, and many failures, a stabilizing method was born out of a new paradigm.
Their is much we can learn from these times as we move into the future of content delivery and new user interaction. Most notably, that we should need to stop basing all decisions on what worked in the past, in other media, and let smaller more nimble companies prove the method. Learn from the best then build the rest.