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Posted By Hollis Thomases on Oct 14th, 2003

Microsoft’s MSN network announced the debut of a high-quality broadband video player with no charge at all to consumers. MSN Video will be broadly available across the online network this winter in the United States only, along with a range of other new MSN services for broadband consumers. MSN will support the rich broadband content offering with revenue generated from the unique video advertising services it will offer advertisers.

MSN will offer free access to high-resolution, on-demand news, sports, entertainment and other video, including programming from NBC News and MSNBC.com that isn’t available anywhere else on the Web. Through this offering, which will be integrated throughout the MSN network, MSN will provide advertisers with unmatched access to sought- after broadband consumers via video and contextual ads.
“The vast amount of broadband content that we will freely offer is unique to the Web and is part of our vision to deliver essential information services to all consumers,” said Yusuf Mehdi, Microsoft corporate vice president for MSN. “We will be able to offer rich broadband content to all consumers because the broadband services MSN will offer advertisers is the next generation of brand advertising on the Web.”

MSN to Provide Advertisers With Access to Prime Consumers

According to independent research, consumers spend a combined total of more than 1 billion hours each week using streaming media and other online services. Consumers are increasingly turning off their televisions to go online, thus spending less time watching television. This behavior reduces the ability of advertisers to reach these consumers. MSN will now allow advertisers to reach them, in particular the high-income earners and young adults who are the heaviest users of streaming media. In addition, MSN will provide advertisers with the following:

  • Rich ad format. The service offers 15-second video ads, a length recommended by the advertising industry, for every five to six minutes of content. In addition, stationary ads displayed within the MSN Video on-screen player are synched to the video ads and remain live on the player until the next video ad appears. The fixed ads also provide Web links to an advertiser’s Web site or other information. The result is advertising that combines the emotional impact of television with the instant interactivity of the Web.
  • Massive audiences. MSN Video will be available across the MSN network. Also, the ad-driven business model and technology that allow MSN to provide the service for free are expected to attract substantially more broadband consumers than subscription video services.

    Availability of advertising inventory will initially be limited until the service is more broadly available. For more information see MSN.com

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