Thursday, November 16, 2006

Internet Video Advertising On Fast Growth Track to $3 Billion in 2010

I received this nugget of information this morning via email. Check the full research brief here

Considering that Steve Ballmer predicted to a room full of ad executives a few years ago that all advertising would be delivered over IP networks by 2010, this becomes even more noteworthy. Now, when Mr. Ballmer made that bold prediction did he really think that a full 100% of advertising would be delivered over IP networks -probably not. But he knew a few things that a statement like that would help the crowd realize:
1. Microsoft, and others, were already developing hardware and software to help make this a reality - in the US household - Have you seen what the new XBox 360 is capable of? I mean outside of just great looking games? Content downloads, it's own network, it's own currency system etc. - pretty amazing stuff
2. Even if was 30, 40 or even 50% of ad messaging delivered over IP networks that would be a huge opportunity for a whole bunch of new breed products, services and personnel in the communications industry (you can 86 the old school ad guy now)
3. 100%!!?? Probably not - but re-read #2

Factor in that Comcast claims that they will have the hardware and pipes to increase connectivity speed for broadband customers by 1600 times ( in the next year and a half and what that will do for content delivery - not just how fast you can get it, but what you can produce and deliver, and you start to see the vision unfold.

Now the $64 million question - how will you leverage this to better communicate to your audience?

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