US Video RTB to Hit $1.14 Billion by 2014, Microsoft Sell IPTV Assets, Mediatel Announce Upfronts

Real-time bidding in online video advertising will account for 24.7 percent of all U.S. online video spending by 2014,according to a study conducted by Forrester Consulting on behalf of SpotXchange, a video advertising marketplace. Forrester found that over the past year, RTB has been the fastest growing segment of the online video advertising market, growing more than 100% from 2011 to 2012, and forecast to grow more than 70% in 2013.

In 2012, U.S. online video RTB spending accounted for $402 million, exceeding last year’s estimate of growth. For 2013, Forrester predicts RTB spending will increase to $686 million and by 2014, RTB spending will increase to $1.14 billion – which represents a 284% increase since 2012. Report>

Microsoft Sells IPTV Delivery Offering to Erricsson

Microsoft have sold Mediaroom, its IPTV platform, to Ericsson for an undisclosed amount. Yusuf Mehdi, Corporate Vice President of Marketing, Strategy and Business for the Interactive Entertainment Business at Microsoft, wrote on the Microsoft blog that the acquisition is ‘mutually beneficial and strategically aligned for both parties’. Ericsson say the acquisition will make them the leading provider of IPTV and multi-screen solutions with a market share of over 25%, while Microsoft intend to commit 100 percent of its focus on consumer TV strategy with Xbox.
Ericsson Statement> Microsoft Blog Post>

Mediatel Launch Video Content Upfronts

MediaTel will be running a Video Upfronts Marketplace will see leading players from across the online video market present original content, pre-production content and channel opportunities. These showcase presentations will be supported by a series of panel debates covering content, technology, business models and metrics. YouTube, Machinima, Spirit Digital Media and Videology are among the companies taking part.

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  • VideoElephant

    Does anyone else think it’s curious that Microsoft are putting all its eggs in one basket with Customer TV via the Xbox? From dealing with many VOD and IPTV providers through VideoElephant, it’s clear that most platforms are now thinking mobile more than anything else. Is a strategy that centralizes around a stationary device such as the Xbox a step backwards?

    • videoadnews

      In fairness to Microsoft, the Xbox now encompasses TV/tablet/mobile with SmartGlass, so they’re already covered on that front. And I’d imagine the new Xbox will have some new mobile features.

      Vincent, Editor