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Tuesday, April 03, 2007 7:32 AM/EST

Google to sell Echostar ads

After months of speculation over its entry into the television advertising market, Google announced Monday evening that it would sell ads on the 125 channels of Echostar's satellite DISH Network.

Under the agreement, advertisers will bid on ad spots using Google's AdWords automated auction system. Google will analyze the anonymous data culled from the Dish network set-top boxes and only bill advertisers for the portion of the audience that watched a commercial a designated amount of time.

Advertisers can upload their TV commercials, bid on desired time and channel, and choose national area coverage. They can also choose to target by age demographic. The ads will be attached at the satellite operator level, not on the subscriber's set-top box.

The system is scheduled to start in May, and will sell ad space only on cable networks, including ESPN, CNN, Discovery, Lifetime, Nickelodeon and the Disney Channel. There are no national broadcast channels or local affiliates involved in the deal yet.

Television experts say the deal is a stepping stone to greater advertising control, but that Google really needs to sign an ad deal with one of the major cable networks, which are known for their ability to target ads sometimes as narrowly as neighborhood level.

Google is also reportedly planning to launch a marketplace that matches up marketers who don’t have experience creating ads with agencies that do. 

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Comments (1)

Google's attempt at TV falls short of the answer. It does not address the DVR issues or commercial recall. The real answer is text links ads at the bottom of the screen so for instance if I am watching a TV show and I like the theme song I should be able to click my remote and have that 'Grey's Anatomy theme song' deposited in my 'iTunes' account in the web. A click from TV to the web. That is the way it is going to go. Or say you see a 'Geico" commercial you should be able to click it and in your email account get an email from your Geico rep. This is the way it is going to go. It makes TV 100% accountable and grows it from $68 Billion to $140 Billion. Google's announcement is a tactical mistake but gives the company that is actually building the text link solution plenty of runway when the real solution takes center stage later this year. Google needs to stick to online and refine that as TV is already locked up with patents from another firm that is poised to take the TV industry by surprise and leave it breathless.

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