YouTube Ads: crawling their way across the screen

Borrowing a page from IPTV company Joost, YouTube is embracing interactive overlay advertising as a way to monetize their popular video portal.

youtube adsBeginning today, Google will display the semi transparent, interactive ads on the bottom of select user-generated videos hosted on the YouTube site.  The ads will reportedly occupy no more than the bottom 20 percent of the screen.  They will appear after a fifteen second delay and disappear after a ten second presentation (unless the viewer engages the ad with a mouse click).

Unlike pre-roll ads, a competing ad format which holds a viewer hostage before the desired content is played, overlays are a relatively unobtrusive solution   aimed at minimizing the negative impact on the user experience.

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$30m for video portal Metacafe

Eight figure funding rounds for net video companies are starting to become frighteningly familiar.  Joining Joost, Brightcove, and Veoh,  Palo Alto based Metacafe has become the latest winner of the high-valuation funding lottery.

metacafe news

It was announced today that the company closed a $30m 3rd Round of financing.  The deal was led by Highland Capital Partners and DAG Ventures.  Previous investors Accel and Benchmark also participated (Accel has also invested in Brightcove).  The cumulative investment in the video portal now exceeds $50m. Click to Read More

Flash High Def Rolls in to Beta

flash in high defAdobe’s Flash has been the defacto standard for web video clips.  It’s proponents range from major networks to YouTube. They’re all attracted to its relative ease of implementation.  It’s ubiquity is attractive to. The Flash player is browser based and resident on well upward of 90% of desktop computers.  Flash is also widely used and well represented with portables and hand-held devices.

Where Flash has struggled (if you can characterize a market leader as struggling) are issues related to speed and image quality.  Small competitors like Move Networks have been able to find opportunity with big clients (Discovery Communications and ABC) by selling against those weaknesses.  They push a higher quality video that plays with less pre-load time and buffering; desirable features for full length television shows and features.   (Streaming video content plays while simultaneously downloading the rest of the video.  The time cushion between what is playing and what is downloading still is often called “buffer time”)

Tuesday, Adobe quietly addressed one of the weaknesses with an offering code-named Moviestar. Click to Read More

Here comes Rhapsody America: Real Networks and MTV Networks partner on digital music store

rhapsody americaIn what is likely the end of MTV’s Urge music service, Viacom’s MTV Networks and Real Networks have shaken hands on a deal to launch a music store joint venture to compete against iTunes.

The Urge music service will merge with Real Networks Rhapsody service to form Rhapsody America.  Music from the combined entity will be available via the net as well as through an integrated service with Verizon’s VCast cell phone service.

Financial details and other terms weren’t immediately disclosed but review of the 8-K filing with the SEC shed a detailed light on the joint venture. 

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Blu–ray vs. HD DVD: Checking Alliances and Choosing Sides

For all the hype, the battle to define a next generation DVD standard hasn’t yet been winning hearts and minds.  Ask an average consumer “Bluray or HD DVD?” and most will give an indifferent sigh or a puzzled “huh?”  There’s no urgency to buy absent a single unified standard.

dvd warsOnly about 3million high definition discs have sold so far (both formats combined).  In contrast, standard definition DVD’s sell about a billion units in the U.S. every year.

Those facts haven’t stopped technology giants, and their competing camps, from raging an all out marketing war for the future.   In one corner there’s Sony, inventor, tech giant and proud father of yet another proprietary technology: BluRay.  They’re hoping BluRay will win, and not join Betamax and the Memory Stick in their archives of “Close but not quite.”  On the other side, there’s Toshiba and its partners championing their less expensive, evolutionary solution. 

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Yay or Nay? Tribune Co Shareholder Vote Today

caution signToday’s a witching day for Tribune Co.  After months of waiting the shareholders of the media giant will converge on Chicago to issue their votes of Yay or Nay on Sam Zell’s $8.4b leveraged buyout. As much as the deal should be a foregone conclusion, there’s enough uncertainty to make for a crazy day… even with shareholder approval almost assured. 

Leading the charge of trouble is the company’s growing debt.   Tribune already borrowed $7b to buy back shares as part of the deal.  It is obligated to repay $1.5b of that within two years.  The company will also borrow more than $4b more to buy out additional shares. 

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Next Simpson’s to be Discovered Online? Aniboom hopes so

animateWill the next Simpson’s or Family Guy find its start online?  A small Israeli startup called Aniboom hopes so.

The company, which was founded a year ago and has raised about $4.5m in financing, thinks it can be an ideal venue for connecting animators and producers, and provide a forum in which new ideas can be test marketed.

If Aniboom were described as a Hollywood pitch, the kind of mashup of past hits that goes like “a cross between Princess Bride and Die Hard”, the tagline might be “YouTube meets Talent Agent.”

So far more than 2500 animators from around the globe are using the site.

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