& cplSiteName &

Cable's Canoe Sinks Interactive Ad Business

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
2/22/2012
50%
50%

Canoe Ventures LLC has confirmed that it will capsize its interactive advertising business and lay off 120 employees as the MSO-led joint venture alters its strategy to focus solely on inserting ads dynamically into on-demand programing delivered to set-tops and IP-connected devices such as tablets, PCs and smartphones.

Following decisions made over the last couple of months, Canoe is also shutting down its New York City office, and its remaining 30 to 35 employees will be based at the venture's operations in Denver. Multichannel News reported the decision Wednesday afternoon.

Canoe CTO Joel Hassell will become CEO of the revised Canoe. The rest of Canoe's senior leadership team, including CEO Kathy Timko and Chief Product Officer Arthur Orduna, will be leaving. An official said the Canoe board is unchanged and that the MSOs bankrolling Canoe -- Comcast Corp. (Nasdaq: CMCSA, CMCSK), Time Warner Cable Inc. (NYSE: TWC), Charter Communications Inc. , Cox Communications Inc. and Cablevision Systems Corp. (NYSE: CVC) -- "remain committed to the venture."

Canoe embarked in 2007 and pursued targeted advertising before changing to focus on interactive ads powered by Enhanced TV Binary Interchange Format (EBIF), a software platform that could run on any digital cable set-top. Canoe's MSO partners eventually had EBIF running on 25 million set-top boxes and had been running "request for information" (RFI) campaigns with eight national cable networks, but apparently could not get enough advertisers on board to make the effort pay off. It's not known how many dollars have been spent on Canoe so far.

The revised business focus is "in direct response to what the marketplace told us they wanted," the Canoe official said.

Canoe hasn't set a timeline for the debut of its latest initiative, but the J.V. "was already well down the road toward the launch of national dynamic ad insertion in 2012," Hassell said, in a statement.

Why this matters
While the decision doesn't affect the interactive ad business of individual MSOs, it does deal a significant blow to cable's national interactive advertising efforts. With that effort now run aground, what's left of Canoe will try to help MSOs make money selling ads that can be inserted into set-top-based VoD programming as well as TV Everywhere programming that's delivered over the top.

Dynamic ad insertion on VoD has also had its share of fits and stops, but recent rollouts by Comcast and other MSOs have shown that the platform may be ready to scale and expand as TV Everywhere becomes an increasingly important piece of cable's video arsenal. But given Canoe's flighty history on product focus, cable will need to convince advertisers that the industry will indeed stick with this revised strategy. (See Comcast Signals New Ad Era for VoD.)

For more
Catch up on Canoe's travels through seas both calm and stormy.



— Jeff Baumgartner, Site Editor, Light Reading Cable

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
craigleddy
50%
50%
craigleddy,
User Rank: Blogger
12/5/2012 | 5:41:47 PM
re: Cable's Canoe Sinks Interactive Ad Business


We will analyze the reasons and consequences of the Canoe decision in the days ahead, but for now my heart goes out to the people who worked so hard to try to pull off this mission. Canoe assembled some great industry talent (Arthur Orduna, Kathy Timko, Vicki Lins, Jim Turner and more), backed by a dedicated support staff. If you're looking for talent, give them a look.            

AESerm
50%
50%
AESerm,
User Rank: Light Beer
12/5/2012 | 5:41:44 PM
re: Cable's Canoe Sinks Interactive Ad Business


Dynamic ad insertion for VOD still looks viable, whether done by individual MSOs or with what remains of a united front. And that's not just a U.S. thing. But there were early doubts about Canoe's larger vision. Here's one contrarian essay from four years ago.

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:41:39 PM
re: Cable's Canoe Sinks Interactive Ad Business


Suppose I might add Polycipher to that list... another JV that didn't pan out as expected, though for different reasons, of course.  But it's interesting that dynamic VoD ad insertion is now the ticket.. cable's almost forced to make that work to get the biz model underneath TV Everywhere shored up while still trying to slowdown ad revenue they are losing to other OTT services.  JB

Educational Resources
sponsor supplied content
Educational Resources Archive
Light Reading’s Upskill U is a FREE, interactive, online educational resource that delivers must-have education on themes that relate to the overall business transformation taking place in the communications industry.
NEXT COURSE
Wednesday, September 14, 1:00PM EDT
What Is Agile?
Kent J. McDonald, Product Owner, Agile Alliance
UPCOMING COURSE SCHEDULE
Friday, September 16, 1:00PM EDT
How to Implement Agile
,
Wednesday, September 21, 1:00PM EDT
What Is DevOps?
Colin Kincaid, CTO, Service Provider, Cisco
Friday, September 23, 1:00PM EDT
How to Implement DevOps
,
in association with:
From The Founder
Light Reading today starts a new voyage as part of a larger Enterprise.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
F5 Virtual Network Function Integrations With Partner Orchestration Platform

8|24|16   |   6:38   |   (0) comments


F5's Kishore Patnam, product manager for F5's service provider solutions, discusses why service providers are moving towards virtualization and how his clients are utilizing F5's solutions.
Between the CEOs
CEO Chat: Intel's Alexis Black Bjorlin

8|17|16   |   06:23   |   (0) comments


Join us for an in-depth interview between Steve Saunders of Light Reading and Alexis Black Bjorlin of Intel as they discuss the release of the company's Silicon Photonics platform, its performance, long-term prospects, customer expectations and much more.
Telecom Innovators Video Showcase
Accelerating Telecom Digital Transformation With Nominum DNS

8|1|16   |   12:04   |   (0) comments


Light Reading's Steve Saunders gets an update from Nominum CEO Gary Messiana on how his company is helping carriers on the digital transformation journey.
LRTV Custom TV
Reinventing Operations for a Virtual, Software-Defined World

7|28|16   |   5:23   |   (0) comments


Heavy Reading Senior Analyst Jim Hodges speaks with Accenture's Larry Socher and Matt Anderson about what service providers must do to transform their business to get the benefits of SDN and NFV including: leveraging DevOps, introducing real-time OSS and implementing analytics.
Women in Comms Introduction Videos
Fujitsu Sales Leader Shares Lessons Learned

7|27|16   |   5:12   |   (1) comment


As Fujitsu's only female sales leader, Annie Bogue knows the importance of asking for what you want, being flexible (she's been relocated five times), keeping a meticulous calendar, 'leaning in,' working harder than everyone else around you, being aware and more.
Telecom Innovators Video Showcase
VeEX Test & Measurement Solutions

7|25|16   |   08:57   |   (0) comments


Cyrille Morelle, president and CEO of VeEX Inc., talks test and measurement with Light Reading's Steve Saunders at BCE 2016. This includes innovative products such as VeSion Cloud-Based platform for network monitoring; MTTplus Modular Test platform for Access, Business, Carrier Ethernet, Transport and Core services; and OPX-BOX+ for Fiber Optics.
LRTV Custom TV
VeEX: Live From BCE 2016

7|25|16   |   03:20   |   (0) comments


VeEX's Senior Director of Business Development, Perry Romano, explains how VeEX provides tools to help install, maintain, monitor and manage network infrastructure efficiently and effectively. The portfolio of products on display include the RXT-6000, MTTplus and TX300s.
LRTV Custom TV
Real-Time Telemetry & Analytics for Intelligent SDN Orchestration

7|25|16   |   03:09   |   (0) comments


Packet Design CEO Scott Sherwood discusses how real-time network telemetry and analytics are enabling a new breed of SDN orchestration applications.
From the Founder
The Russo Report: Driving Disruption

7|25|16   |   07:44   |   (2) comments


In the first episode of a four-part series, Light Reading Founder and CEO Steve Saunders and Calix President and CEO Carl Russo drive around town discussing the disruptive mega-changes in the communications industry and where hope lies for service providers to meet the escalating demands of the cloud.
LRTV Custom TV
NetScout: Maximizing Enterprise Cloud for Digital Transformation

7|20|16   |   04:53   |   (0) comments


Light Reading Editor Mitch Wagner talks to NetScout CMO Jim McNiel about maximizing the benefits of enterprise cloud and digital transformation while minimizing potential pitfalls with a proper monitoring and instrumentation strategy.
Women in Comms Introduction Videos
Ciena's VP Offers a Career Crash Course

7|20|16   |   4:14   |   (2) comments


How did Ciena's Vice President of Sales, Angela Finn, carve out her career path? Simple, she tells WiC. She stayed true to her company, customers and principles. She shares her advice for women on how to be authentic and credible, as well as for companies that want to make a real change to their culture and practices.
LRTV Custom TV
NFV in 2016: Part 2 – Climbing the Virtualization Maturity Curve

7|19|16   |   06:56   |   (0) comments


Many of the initial use case implementations are single-vendor and self-contained. The industry is still climbing the virtualization maturity curve, needing further clarity and stability in the NFV infrastructure (NFVi) and greater availability and choice of virtualized network functions (VNFs). Interoperability between NFVis and VNFs from different vendors ...
Upcoming Live Events
September 13-14, 2016, The Curtis Hotel, Denver, CO
November 3, 2016, The Montcalm Marble Arch, London
November 30, 2016, The Westin Times Square, New York City
December 1, 2016, The Westin Times Square, New York, NY
December 6-8, 2016, The Westin Excelsior, Rome
May 16-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
Five of the Top 10 most targeted countries in Check Point Software Technologies' global Malware & Threat Index for Q1 2016 are in Africa.
Hot Topics
Cisco Developing 'Monica' Digital Assistant
Mitch Wagner, West Coast Bureau Chief, Light Reading, 8/22/2016
VoLTE Can Drive 4G Small Cells Adoption
Ravi Narayanan, Senior Analyst – Cloud & Next Generation Mobile Networks, Heavy Reading, 8/18/2016
'Most Wanted' Kobi Comes Home
Ray Le Maistre, Editor-in-chief, 8/23/2016
Rocket Fiber Lights Up Detroit With Gigabit
Elizabeth Miller Coyne, Managing Editor, 8/22/2016
CCIA Counter-Attacks on Set-Top Proposal
Mari Silbey, Senior Editor, Cable/Video, 8/23/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Join us for an in-depth interview between Steve Saunders of Light Reading and Alexis Black Bjorlin of Intel as they discuss the release of the company's Silicon Photonics platform, its performance, long-term prospects, customer expectations and much more.
There's no question that, come 2020, 5G technology will turn the world's conception of what mobile networking is on its head. Within the world of 5G development, Dr. ...
Animals with Phones
Live Digital Audio

Bridging the tech skills gap is a major challenge for service providers and suppliers alike today – and the challenge is two-fold when it comes to increasing the number of women in the comms space. Level 3 Communications has made it a priority to overcome both challenges by implementing several unique programs focused on building the right candidates from within – in addition to filling the funnel by supporting STEM and other education programs. During this radio show, you’ll learn about these programs from Mary Beth McGrath, SVP of Global Talent Management at Level 3, and the best ways to bridge your own skills gap so that you are motivated and equipped for change. Plus you’ll have the chance to ask Mary Beth your questions live on the air.