Light Reading

Cable Aims to Revolutionize TV Advertising

Light Reading
LR Cable Opinion
Light Reading
10/1/2008
50%
50%
Repost This

For cable, advanced advertising looms as The Next Big Thing. Casting an envious eye on the growth of Internet advertising, cable operators have marshaled a broad industry effort to use interactive, on-demand, and addressable technologies to transform, if not revolutionize, television advertising and generate more revenue from their local ad inventory and new service platforms.

While many concepts have been kicked around for years, the new foray is based on a variety of emerging technologies and the recently launched cable effort Canoe Ventures, a "technology company and service bureau" to support advanced advertising that is backed by six U.S. multiple system operators (MSOs): Comcast Corp. (Nasdaq: CMCSA, CMCSK), Time Warner Cable Inc. (NYSE: TWC), Cablevision Systems Corp. (NYSE: CVC), Charter Communications Inc. , Cox Communications Inc. , and Bright House Networks .

Technology players, from longtime interactive TV players to Google (Nasdaq: GOOG) and Microsoft Corp. (Nasdaq: MSFT), are rushing to provide TV advertising solutions. The latest edition of Light Reading's Cable Industry Insider, "Telcos Beware: Cable Takes Aim at Targeted Advertising," takes a close look at the prospects for Canoe and the new advertising technologies.

Canoe serves as a focal point as the industry rallies around the enhanced TV (ETV) and tru2way specifications for interactive TV applications, dynamic ad insertion for on-demand programming, and techniques for targeting ads geographically as a prelude to addressable advertising on individual set-top boxes.

In October 2008, Canoe is introducing a product to support targeted-zone advertising, with availability expected in the first quarter of 2009. The product will enable programmers to offer advertising positions reaching certain viewer demographics across the MSOs' local ad inventory. Earlier in 2008, the MSO partners, which collectively reach about 53 million subscribers, launched Elections '08 On Demand, offering on-demand clips and political ads.

As the new report discusses, the venture's greatest challenge, meeting the needs of six MSOs, is apparent to nearly everyone involved. Whether the initiative glides smoothly or eventually capsizes, Canoe is cutting a wide wake for technology suppliers to push forward with advertising solutions.

Seeking to gain new life from the advertising movement are longtime interactive TV (ITV) and ad-solutions providers, including ActiveVideo Networks Inc. (formerly ICTV), Backchannelmedia, BIAP Systems Inc. , BlackArrow Inc. , Ensequence Inc. , Invidi Technologies Corp. , NDS Ltd. , OpenTV Corp. (Nasdaq: OPTV), Visible World , and Zodiac Interactive . Google's TV Ads is enabling advertisers to bid for auctioned inventory, while Microsoft's Advertiser & Publisher Solutions (APS) Group is offering dynamic video-on-demand (VOD) insertion and ad-support tools from its recent acquisition of Navic Networks .

Many other technology companies that support cable infrastructure, ad insertion, interactivity, and on-demand capabilities could also benefit, while those involved in Internet advertising could seek to migrate solutions to TV.

As the report explains, suppliers entering the market must understand the full supply chain of cable advertising and find a particular niche that a solution can fulfill. The successful solutions will be those that are open and flexible, yet unique enough that neither Canoe, an MSO, nor an ad agency can cobble together a similar and less-expensive solution. Solutions must easily integrate with cable and advertising infrastructures and be able to deliver accurate, measurable results which clearly demonstrate a return on investment and reinforce their value. Ultimately, advertisers, agencies, and consumers will determine cable's advanced advertising fate.

— Craig Leddy, Contributing Analyst, Light Reading's Cable Industry Insider




The report, Telcos Beware: Cable Takes Aim at Targeted Advertising, is available as part of an annual subscription (6 bimonthly issues) to Light Reading's Cable Industry Insider, priced at $1,295. Individual reports are available for $900. For more information, or to subscribe, please visit: www.lightreading.com/cable.

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Flash Poll
LRTV Custom TV
Wind River Demonstrates Carrier-Grade Software for NFV

4|22|14   |   5:00   |   (0) comments


Wind River VP of Product Management, Glenn Seiler, takes a look the industry's first and only complete NFV software platform designed specifically for the unique carrier-grade and high-performance needs of telecom networks.
LRTV Documentaries
Cable Eyes Big Technology Shifts

4|16|14   |   03:02   |   (4) comments


US cable engineers are facing a lot of heavy lifting in the coming years, notes Light Reading Cable/Video Practice Leader Alan Breznick.
LRTV Custom TV
Maximizing Customer Experience & Assuring Service Delivery in an IP World

4|15|14   |   4:57   |   (0) comments


Steven Shalita, VP of Marketing, NetScout Systems, Inc., discusses the challenges cable/MSO operators face in assuring the delivery of new IP-based services. Key points include the value of proactively managing performance, and using rich analytics and operational intelligence to better understand service and usage trends, make smarter business decisions and ...
LRTV Documentaries
Bye-Bye DVD: Consumers Embrace Digital Video

4|10|14   |   04:17   |   (7) comments


Veteran video analyst Colin Dixon, founder and principal analyst of nScreenMedia, says research shows 56% are using digital video already.
LRTV Documentaries
Video: TW Cable Puts Multicast Gateways to the Test

4|8|14   |   04:13   |   (1) comment


Tom Gonder, a chief architect at Time Warner Cable, explains how its trial of multicast gateways is impacting IP-based video plans.
LRTV Custom TV
Managing & Monetizing Big Data in Operator Environments

4|7|14   |     |   (1) comment


At Mobile World Congress, Gigamon's Director of Service Provider Solutions, Andy Huckridge, and Heavy Reading Analyst Sarah Wallace discuss the 'big data' issues facing carriers and operators today.
LRTV Huawei Video Resource Center
Data Center Energy – Build Your Data Center in a Modular Way

4|7|14   |   2:13   |   (0) comments


Dr. Fang Liangzhou, VP Network Energy Product Line, shared his thoughts about the challenges for data centers during CeBIT 2014.
LRTV Huawei Video Resource Center
Agile Network Solution – An Overview of Huawei's Agile Network Solution

4|7|14   |   2:31   |   (0) comments


Ajay Gupta, Director of Product Marketing, Networking Product Line, gives an overview of the Agile Network Solutions during CeBIT 2014.
LRTV Huawei Video Resource Center
Huawei’s eLTE Voice Trunking, Video and Data Applied for Railways

4|7|14   |   1:38   |   (0) comments


Gottfried Winter is the Sales Director at Funkwerk, a German specialist in GSM-r terminals and a long-time partner of Huawei. At CeBIT 2014, Winter talks to Light Reading about this partnership and the integration of enhanced voice trunking, video and data functions.
LRTV Huawei Video Resource Center
LeaseWeb Speaks Highly of Huawei's Datacenter Products

4|7|14   |   1:37   |   (0) comments


Rene Olde Olthof, Operations Director LeaseWeb, talks about the next data center transformation during CeBIT 2014.
LRTV Documentaries
Comcast: Reshaping the Cable Network Architecture

4|3|14   |   07:11   |   (8) comments


Shamim Akhtar, Comcast's architect and senior director of network strategy, explains why the cable company is moving to a more distributed network architecture.
LRTV Custom TV
VMware CEO Pat Gelsinger at Mobile World Congress

4|1|14   |   3:41   |   (0) comments


VMware CEO Pat Gelsinger speaks to Heavy Reading about the value of virtualization spanning from the data center to service provider networks to mobile devices.
Hot Topics
WhatsApp Threatens Carrier VoLTE
Sarah Reedy, Senior Editor, 4/18/2014
The Hungry, Hungry Cloud
Dan Jones, Mobile Editor, 4/22/2014
Who's Ready to Play Broadband?
Carol Wilson, Editor-at-large, 4/21/2014
What's the Magic of Private Equity?
Carolyn Mathas, 4/22/2014
AT&T Turns Up Gig Heat in 21 New Metros
Dan Jones, Mobile Editor, 4/21/2014
Like Us on Facebook
Twitter Feed