MediaBytes 09.27.2007

MICROSOFT is expected to make several major online video announcements today, at DigitalLife in New York. The company is rumored to be adding fullscreen, ad-supported video content to Windows Media Center. Content will include Fox Sports videos, full-length music concerts, and individual shows such as the popular Arrested Development. Ads will be served by YuMe Networks. The company will also unveil several “media extenders,” created with hardware partners to bring computer content to TV sets. The boxes will connect wirelessly to computers, and deliver movies and TV shows stored on them to television sets.

MICROSOFT has also instituted a new method for running ads on its overhauled MSN Video site. The company will limit pre-rolls, and run ads based on the amount of time spent watching actual content. Ads will appear after a viewer has seen at least 3 minutes of content, no matter how many videos that includes. This will prevent, for example, 30 seconds of ads running before 15 seconds of content. Ads will not appear mid-stream. The changes should be well-received by online video-snackers.

THE FCC held a forum dedicated to the digital TV transition on Wednesday. During the forum, The NAB unveiled its first national PSA dedicated to informing consumers about the upcoming digital transition, which was delivered to stations last week. Several electronics makers demonstrated their digital-to-analog converter boxes. RCA, LG, and Samsung all had converters on display. Chairman Kevin Martin said this was the first of many such forums.

NBC U and MICROSOFT are backing a multi-platform venture to turn ads into content. “Firebrand” will offer a continuous stream of spots and promos, and will be distributed online, via mobile devices, and through a late-night show on Ion Network. The venture aims to make money by charging advertisers for placement and streaming, and by collecting commissions on links to promotional offers. Firebrand debuts October 22 on Ion, and will be available at FirebrandTV.com, iTunes, MSN Video, and more.

APPLE has posted two new NBC shows on the iTunes store. “Chuck” and “Journeyman,” which both premiered on NBC earlier this week, were added to the store on Wednesday. Both shows are produced by non-NBC sources, and Apple is reportedly under contract to offer them. Shows produced by NBC, however, have not been added.

VIDEO ON DEMAND will account for more than one-third of American TV-viewing by 2012, according to a new report by Pike & Fischer. The report states that a majority of households will shift to watching some VOD within the next five years, and that time spent consuming VOD will directly replace traditional, linear consumption. VOD currently accounts for 8.5% of viewing. In 2012, Pike & Fischer expects it to account for 38%.

NIELSEN‘s national people meter ratings panel will triple as a result of its expanded rollout between now and 2011, the company said on Wednesday. The panel will jump from 35,000 people to 100,000. Households will increase from 12,000 to 37,000. Nielsen said the increase in sample size will offer it more granular data, which is necessary as the industry moves toward commercial minute ratings.

About Shelly Palmer

Shelly Palmer is the Professor of Advanced Media in Residence at Syracuse University’s S.I. Newhouse School of Public Communications and CEO of The Palmer Group, a consulting practice that helps Fortune 500 companies with technology, media and marketing. Named LinkedIn’s “Top Voice in Technology,” he covers tech and business for Good Day New York, is a regular commentator on CNN and writes a popular daily business blog. He's a bestselling author, and the creator of the popular, free online course, Generative AI for Execs. Follow @shellypalmer or visit shellypalmer.com.

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