Google to Broker TV Ads for EchoStar

Google and EchoStar are set to announce a deal today involving Google selling spots for TV commercials on EchoStar's Dish Network satellite service using an online auction system. Google will reportedly accept bids from advertisers based on an amount to be paid per 1,000 household commercial views, offering specific bidding for channels, times and regions. It will provide advertisers with data screened from EchoStar's set-top boxes, but will be limited at least initially, in terms of identifying and targeting commercials at individual viewers and matching with content from TV programs. Still, Google will be able to offer advertisers with better and faster commercial-related data than currently available. EchoStar has 13.1 million subscribers and broadcasts 125 TV channels. The Wall Street Journal notes EchoStar's executive VP of advertising said, 'Google would account for only a small percentage of the ads EchoStar has to sell.' The Journal also mentions eBay, with a group of large advertisers, is working on a similar system. The S.F. Chronicle says there will be no Google branding. Coverage by CNET includes comments by analysts who said cable TV offers better opportunities for direct interaction and ad targeting. Google is reportedly in discussions with several cable providers.

Sources: Associated Press, CNET, San Francisco Chronicle, The New York Times, The Wall Street Journal
Commentary: Google In the Running to Buy DoubleClick • Will Internet Companies Have to Share Profits With Telcos? • Competition for Spectrum Set to Spread to TV Airwaves
Stocks/ETFs to watch: Google (GOOG), EchoStar Communications (DISH), eBay (EBAY), Yahoo! (YHOO), DIRECTV Group (DTV), Time Warner (TWX), Cablevision Systems Corporation (CVC), Comcast (CMCSA), Viacom (VIA), TiVo (TIVO). ETFs: PowerShares Dynamic Media (PBS), First Trust Dow Jones Internet Index (FDN), First Trust IPOX-100 Index (FPX)
Conference Call Transcripts: Google Q4'06, EchoStar Comm. Q4'06

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[Ultra Max Pus:]

Ultra Max Plus Ltd., will run continious ad rates with EchoStar DISH Networks in 2009 for the Trade Mark Brand ULtra Max Plus inwhich to reach the 13.1 million subscibers on the Sat Providers Network with an Ad Buy Rate of nearly $1.6 dollars.

Jan 27 12:43 PM