Google announces AdSense for streaming video. Google made over $16 billion in ad revenue last year and just about all of it came from text ads. This move by Google opens up video ads to small fry advertisers. With localization by IP address and demographic available, Video ads are poised to be a serious money maker. Compared with TV commercials, they are 100% captive (no fast forwarding or channel skipping), and orders of magnitude cheaper to produce. Advertisers would be extremely foolish not to take advantage of them.
With rates as little as 1 cent per view, and 2-3 ads per video, YouTube alone will bring in billions based on sheer traffic. Shows like Chad Vader will command higher ad prices because of their popularity.
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