Sunday, December 23

KickApps Extends Partnership with Advertising.com

From mediapost:

ON-DEMAND SOCIAL MEDIA PLATFORM KICKAPPS has extended its partnership with AOL's Advertising.com to include its Lightningcast video ad-serving system. The new integrated platform combines KickApps' community-building services with Advertising.com's Lightningcast video ad-serving system in an effort to help publishers serve ads via editorial and user-generated video content on their KickApps-powered social media sites.

"Publishers want to co-mingle their professionally produced content with the user-generated video, because it gives them more inventory to run advertising," said KickApps CEO Alex Baum, a former president of JumpTV, who previously spent eight years in a senior programming role at AOL. "What's changing and driving this trend is--user-generated stuff is driving a CPM that is comparable to premium content as long as it's properly targeted."

KickApps provides sites of all sizes with a range of building blocks that include user-generated content, social networking, video players, Webcam applications, widget-building, media/member management and reporting.

Corporate users and Web masters can mix and match building blocks from the widget library to crate a more customized or branded solution.

Advertising.com's Lightningcast platform was designed to help Web publishers insert, manage and track ads that are incorporated within their videos. The new integrated solution will now enable KickApps affiliates large and small to generate their fair share of advertising revenue from their sites.

The New York-based KickApps' tools have powered a successful Procter & Gamble Tag Body Spray community effort. Within six weeks of launch, it drove 772,400 page views and 260,000 unique visitors, according to KickApps.

My43.net used the tools to raise monthly site traffic by 30% with no on-air promotion. Other companies using it include AFL Network, Cycling.tv, and National Lampoon, Universal Music/Interscope and others.

KickApps is also serving targeted ads to relevant audience clusters, allowing for the monetization of sites.

KickApps is backed by Spark Capital and Prism VentureWorks. Its board members include former Liberty Digital and E! Entertainment CEO Jarl Mohn and former MTV and NFL President Sara Levinson.

Wednesday, December 19

ROO Group Announces Strategic Realignment, Appointment of New CEO

New York (December 19, 2007) - ROO Group (OTCBB: RGRP) announced today that the company has entered into an Executive Management Agreement with KIT Capital pursuant to which it has agreed to appoint Kaleil Isaza Tuzman as Chairman and Chief Executive Officer commencing on January 9th, 2008. Mr. Isaza Tuzman will succeed Robert Petty, who will retain the office of Vice-Chairman of the Board of Directors and Founder.

Mr. Isaza Tuzman, 36, is currently the President and Chief Operating Officer of JumpTV Inc. (JTV: AIM, TSX) where he is responsible for managing the Company's day-to-day operations including global business development, sales, marketing, network operations and product development. As previously announced, he will be stepping down from his operating position at JumpTV on or before January 8th, 2008, but will remain on the board of that company.

ROO also announced that four independent members of the company’s board of directors – Simon Bax, Stephen Palley, Scott Ackerman and Doug Chertok – have resigned. The Company’s Board of Directors is expected to appoint Isaza Tuzman as a Director and the Chairman of the Board of Directors. Upon Mr. Isaza Tuzman’s appointment, the Board will consist of three directors which will include current board members Robert Petty and Robin Smyth, Executive Director. In accordance with the terms of an Executive Management Agreement, Isaza Tuzman will have the right to appoint up to four new independent board members to fill vacancies on the Board of Directors, subject to shareholder approval. Isaza Tuzman, is also investing in the Company through an affiliated entity.

Mr. Isaza Tuzman has been brought on to rationalize the existing business and position ROO to become the leader in IPTV infrastructure services—through both organic growth and strategic acquisition. The company is already one of the leading distribution platforms in the online media space and is the premier solution for IP-based Video-on-Demand. The ROO Video Network is watched by millions of viewers and supported by a wide-range of premium advertisers.

“We are very pleased to welcome Kaleil as our new CEO,” said Robert Petty, Chairman of ROO. “Kaleil brings the experience and insight needed to lead us through this next stage of growth. He has a proven record of helping companies achieve their fullest potential and we are confident that his deep knowledge of our sector, operational discipline and leadership skills will enable us to generate value for our shareholders.”

Mr. Isaza Tuzman stated, “ROO is at an inflection point in its development. The massive growth in the demand for high-value, IP video content, coupled with the need for leading edge platform provisioning puts this company in a very enviable position. I believe that with greater emphasis on exclusive content, TV broadcaster relationships and the best quality distribution tools, ROO will become the leading player in the provisioning of video over the Internet. In my view, a focused B2B strategy is what is needed to build a profitable company in the sector. ROO’s commitment to this path—coupled with our shared vision of potential industry consolidation---has been critical to my decision to invest in and manage the company."

Under new management, the company plans to:
·Leverage expertise in international media to expand client and partner base;
·Reduce costs and implement cost control policies company-wide,
·Achieve profitability as quickly as possible;
·Assess and prioritize product development initiatives;
·Assess corporate branding;
·Assess and execute strategic acquisitions consistent with the IPTV platform provisioning strategy, including the development of live-streaming and mobile distribution capabilities.

As part of the strategic realignment, ROO also announced today that it has completed a recent reduction of 21% of its workforce. This decision reflects the substantial completion of ROO’s platform and automated distribution tools, which have made the company more efficient and reduced staffing needs.

“ROO has now entered a new phase of development,” said Robert Petty, Chairman of ROO. “We have substantially automated our operations, allowing us to function as a leaner, more effective company.”

Mr. Petty concluded, “I would like to thank our independent board members for their contributions to our organization. As a result of their guidance, we are now a stronger, more efficient company.”

As part of the Executive Management Agreement, KIT Capital Ltd., an entity controlled by Kaleil Isaza Tuzman, has been granted the right to purchase up to 51% of the preferred class of shares in the Company at US$0.38 per share. KIT Capital has the option to invest up to US$5 million in common shares of the Company at US$0.16 per share, a 15% premium to the closing price yesterday, December 18th, 2007.

Monday, December 17

Utilizing Limelight Networks and Microsoft Technology, Blockbuster Premieres First Studio-Backed Broadband Movie

from streaming media:

TEMPE, ARIZ. (December 17, 2007) - Limelight Networks® (Nasdaq: LLNW), the leading content delivery network (CDN) for digital media, today announced that Blockbuster Inc., a leading global provider of in-home movie and game entertainment, has exclusively selected Limelight Networks’ rich media CDN and Microsoft Silverlight to provide the technical streaming capabilities for the first studio-backed feature streamed in its entirety - JACKASS 2.5 - to be distributed directly online by Paramount Pictures Digital Entertainment, MTV New Media group from MTV Networks and BLOCKBUSTER®.

Available for free, courtesy of BLOCKBUSTER, at blockbuster.jackassworld.com beginning December 19th through December 31st, 2007, the U.S. online distribution of JACKASS 2.5, an event made possible by the recent acquisition of Movielink by Blockbuster Inc., leverages the power of Limelight Networks’ CDN and Microsoft Silverlight.

“This ground-breaking event underscores our commitment to providing customers with convenient access to media entertainment, whether it’s through our stores, the mail or through new technologies,” said Keith Morrow, chief information officer for Blockbuster Inc. “Combining the CDN performance and scalability of Limelight Networks with the power of Microsoft Silverlight should deliver a compelling and high-quality viewing experience to online viewers of JACKASS 2.5.”

The release of JACKASS 2.5 taps into a market which is believed to be a driving force for online digital media consumption today. In search of the right solution to power the movie premiere, BLOCKBUSTER turned to Limelight Networks and Microsoft as two leaders in online media delivery.
“BLOCKBUSTER is taking a great step forward in making Hollywood digital,” said Brian Goldfarb, group product manager in the developer division at Microsoft Corp. “Using Silverlight for this initiative will provide consumers with an outstanding, high-quality experience in online entertainment.”

“BLOCKBUSTER is making history by driving the studio-backed release of JACKASS 2.5 to an audience whose lifestyles are continually influenced by the latest online innovations,” said Dave Hatfield, senior vice president of products, marketing and sales at Limelight Networks. “Limelight Networks’ infrastructure was built for these types of large, rich media streaming events. Coupled with our strong relationship with Microsoft and its leading-edge Silverlight platform, BLOCKBUSTER could not have a better solution and team supporting this project and helping them in their efforts to deliver a dynamic entertainment adventure to consumers.”

Streaming JACKASS 2.5 is open to anyone in the U.S. 17 years or older whether they are a BLOCKBUSTER member or not. And best of all, it’s free. Available December 19th through December 31st, go to blockbuster.jackassworld.com, download the free Microsoft Silverlight media player and with a few quick steps, you’re watching the movie.

About Limelight Networks
Limelight Networks is a high-performance content delivery network for digital media, providing massively scalable, global delivery solutions for on-demand and live Internet distribution of video, music, games, software and social media. Limelight Networks’ infrastructure is optimized for the large object sizes, large content libraries, and large audiences associated with compelling rich media content. Limelight is the content delivery network of choice for over 1,000 companies, including many of the world’s top Internet, media and entertainment companies, including Microsoft Xbox LIVE, Sony Playstation 3, Akimbo, Amazon Unbox™, Belo Interactive, Brightcove, “BuyMusic” @ Buy.com, DreamWorks, LLC, Facebook, FOXNews.com, IFILM, ITV Play, MSNBC.com, NC Interactive and Valve. For more information, visit www.llnw.com.

Safe Harbor Act Disclaimer: All forward-looking statements contained in this release are made within the meaning of and pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements other than statements of historical facts, including but not limited to statements concerning the performance and scalability of Limelight Networks' CDN, notably its ability to deliver large, rich media streaming events, and other statements concerning the plans, intentions, expectations, projections, hopes, beliefs, objectives, goals and strategies of management. Forward-looking statements are not guarantees of future performance or events and are subject to a number of known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those expressed, projected or implied by such forward-looking statements. Accordingly, there can be no assurance that the results expressed, projected or implied by any forward-looking statements will be achieved, and readers are cautioned not to place undue reliance on any forward-looking statements. The forward-looking statements in this press release speak only as of the date hereof and are based on the current plans, goals, objectives, strategies, intentions, expectations and assumptions of, and the information currently available to, management. The Company assumes no duty or obligation to update or revise any forward-looking statements for any reason, whether as the result of changes in expectations, new information, future events, conditions or circumstances or otherwise.

Wednesday, December 12

IAC To Employ Brightcove Platform For Web Video

WEB VIDEO COMPANY BRIGHTCOVE HAS reached a deal with media company IAC to provide IAC's properties with a platform to create, manage, publish, distribute and monetize video on the Web. Ticketmaster, Citysearch and 23/6 are among the first IAC brands to use Brightcove's service. IAC has been a minority stakeholder in Brightcove since December 2006.

Under the agreement, any IAC business can use Brightcove's on-demand platform to publish video content to their sites, manage syndication and viral distribution, integrate advertising and launch independent or integrated consumer media campaigns.

Tuesday, December 11

ClipBlast Unveils "Remote Control for the Video Web"-

LOS ANGELES, Calif (December 11, 2007) - ClipBlast! (www.clipblast.com), the premier Web-wide video search and navigation platform, today announced the release of ClipBlast! Version 3.0. Acting in effect as a “remote control for the Video Web,” the new release represents a major enhancement of ClipBlast!'s video search platform, with improvements that promise a richer, easier and more relevant experience for advertisers and content providers -- and the video viewers they aim to reach.

At the heart of ClipBlast! 3.0 is the Intelligent Index™, which matches the content of the ad with the content of the video. Rather than relying exclusively on the content provider's description and metadata—which can be subjective or even nonexistent— ClipBlast!'s Intelligent Index uses proprietary technology to categorize content in real time more effectively, thereby delivering both more relevant search results and highly targeted ads.

The Intelligent Index simultaneously addresses the issue of “how to get found” and provides a monetization model for online video. The ClipBlast! 3.0 platform gets “smarter” with every video it indexes. The more videos added, and the more metadata ingested into the platform, the better the platform becomes at recognizing, organizing and drawing correlations among related data -- which leads to smarter search results.

For the content provider – which can now extend its reach well beyond its own site -- ClipBlast! 3.0 literally raises a video's IQ. For advertisers, ClipBlast’s Intelligent Index can mean increased revenues, thanks to the ability to serve highly-targeted ads in conjunction with smart content.

"ClipBlast! 3.0 provides a way for advertisers to take true advantage of the ever-growing Video Web,” said Gary Baker, ClipBlast! founder and CEO. “Our Intelligent Index not only leads to better, more accurate search results for the viewer, it also creates a situation where advertisers can get their message, in a vibrant, living format—in front of viewers who are paying attention a particular topic.

“ClipBlast! 3.0 leverages the collective input of the community to hone contextual searches,” he added. “And because the Intelligent Index ensures higher quality video search, ClipBlast! 3.0 advances the state of the art in contextual search. Like a remote control unit, it places the entire Video Web at your fingertips.”

Video Advertising 3.0
ClipBlast's 3.0 platform does for Video Web advertisers what pay-per-click programs did for the early generations of online marketers -- it gives advertisers an innovative way to get their relevant message directly in front of a viewer who's expressed interest in a subject.

“Because our search results are both smart and highly refinable, advertisers can pinpoint specific user targets and serve relevant ads at the exact moment the viewer has shown interest,” Baker said. “This kind of one-to-one advertising – occurring within a one-to-many medium -- offers unparalleled opportunities for advertisers.

“Intelligent indexing represents a sea change in the video search paradigm,” he noted. “Until now, a video creator could name a video anything, and could describe that video in any way -- but the content within the video may have nothing to do with what the creator says. ClipBlast! 3.0 looks at both the information the creator provides and the information the video itself provides -- the images, the speech, the text -- and returns results accordingly. It's simply a more holistic and less subjective way of indexing video — and, ultimately, it ensures a better experience for everyone the Video Web touches."

Today’s announcement follows the launch of the ClipBlast! Video Widget at DEMOfall07 in late September. The ClipBlast! Widget is a Web-wide video search and navigation tool that resides on the desktop, enabling search, navigation, browsing and viewing of the Video Web without having to launch a browser or visit a specific website.

The ClipBlast! platform searches the entire Web for available content, continuously providing video web viewers with up-to-date, personalized video content, no matter what the source. ClipBlast! indexes more content providers than anyone on the Video Web.

Friday, December 7

Five Technical Issues Hampering Online Video Growth

Posted on seeking alpha.com:

For many years, the online video industry has always had some who like to point to limitations on the technology as being the excuse and reason why the industry is not grow as fast as some may like. For years it was people complaining that video quality is not good enough, that it's too hard to deliver and too difficult to scale. Today, those arguments are no longer valid. The technology is here today to have great quality video, to deliver it with performance and to reach as big of an audience as today's business models support.

But when it comes to online video advertising, there is a valid argument that the technology today does not have the functionality that is needed for us to see video advertising growth on a faster scale. Will we get there? Yes. But it's taking longer than it should due to these ten technical and industry issues:

There is no set standard for the length of an ad based on the length of the content. We all get ads at 10, 15 and 30 seconds in length for both long and short form content, with each content site doing it differently. And in some cases, like I outlined with Yahoo!, some sites deliver different ad lengths in the same piece of content. What a bad user experience. How can we expect viewers to get use to watching ads when the experience is different on each site?
Many times, ads are delivered at a lower quality and smaller window size than the content itself. This is a trend I am seeing more and more of lately. I click to watch a video that is encoded at 300 or 500Kbps but the ad I get before it is only encoded at 100kbps and the ad only fills up a fraction of the video window. What a poor experience. For instance you are given a 320x240 window but then the ad shows up as 240x180. The only reasoning behind this that I can think of is that it's cheaper to deliver the ads this way since they are at a lower bitrate and/or the agency encoded all of it's ads at only one bitrate. It looks like crap.
There is still very little being done in the way of targeted ads. Due to many technical issues, ads are still being churned out and delivered to web users with almost no insight into what the user wants to see or more importantly what the user should see based on their location. I always use the example of how I see Crispy Creme donut ads yet the closest Crispy Creme to where I live is 43.3 miles away in Milford CT. I know some ad platforms are doing more and more with targeting, but still not enough. This needs to be figured out faster. If you can't deliver ads based on a persons interests, geographic location or even gender, then the majority of these video ads are completely being wasted. It's no wonder the pre-roll ad format is dying.
Reporting metrics. Where are they? It seems that every ad network I talk to all measures and records user metrics for ads very differently. What is the problem here? Not being able to give advertisers back the reporting they want, thereby enabling them to try and come up with their own metrics to judge if their campaign was a success or not is like shooting the industry in the foot. No service, product or offering is worth anything if you can't give the person who is paying for it the data they need to analyze if they should keep paying for it. The ad vendors make this WAY too difficult. For instance, if you look at the top six to eight vendors websites who provide these services, why can't you download a product sheet from their website that shows exactly what type of reporting is offered? Why are they hiding this info and keeping it mysterious?
CPM rates. Ok so this one is not a technical issue but it is one of the biggest problems in the industry. Why is it that no one is willing to say what they get per CPM for online video ads? I ask content owners all the time, I ask the portals, I ask the major networks and to date, I don't know of a single specific example I could tell someone of what the rate is. I could not point you to one major content owner and say I know what price they are getting for CPMs rates and no one shares this info. Yes, everyone says it's between $10 and $60 and that's completely useless. All of the major studios keep telling us how well they are doing online with their content and how well the advertisers love to sponsor it and how much growth they are seeing yet, none of them will give any numbers, to anything. Short-sided thinking folks. You know how many content owners actually have good content worth syndication or licensing but don't as they have no idea what type of rates they can get? There is such a lack of information in the market for CPM rates and no one is doing any educating of the market. It's a losing proposition for everyone when this information is hidden away as if it's some sort of patented trade secret. They always have excuses like the one where the major broadcasters say advertisers are buying ads across many different platforms and they can't break out the P&L from just one platform like the web. What crap.
I'm certainly not the first person to point out some of the technical problems the online video advertising industry is facing and I won't be the last. We all see the potential that online video advertising holds and see the many ways that content owners and portals are embracing all forms of online video ads for pre-roll, post-roll, in page, in stream etc.

Part of the problem is the industry itself but a good deal of the problem lies with the technology of the entire ecosystem for video ad creating, selling, fulfillment, delivery and tracking. I'm as big a fan as anyone when it comes to ways that content can be monetized, but the industry as a whole needs to do a lot better job of working together to create as much in the way of standards as they can.

Saturday, December 1

Most video sites will be "roadkill"

from iMedia:

If you're having trouble keeping track of all the new video sites, you may not have to worry. At the NewTeeVee Live Conference, Dennis Miller of Spark Capital predicted that most video sites wouldn't last very long, according to a Financial Times blog post.

"There's too much money chasing too few ideas," Miller said. "There is already roadkill and there will be massive roadkill ahead."

George Zachary of Charles River Ventures was even more pessimistic.

"I think it's a humongous mistake to invest in content," Zachary said.

For Zachary, the solution is to aggregate and distribute existing content, something he praised Bebo for doing. Earlier this month, the social network announced Open Media, which allows broadcasters like CBS and the BBC to distribute content across its network.