ACCUSTREAM RESEARCH: STREAMING VIDEO ADS ON SITES SERVING MORE THAN 1 BILLION VIDEO STREAMS PER MONTH IN '05

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ACCUSTREAM Streaming video advertising, sponsorships and other types of rich media inventory are being placed across sites and networks with an aggregate of more than 1 billion streams served per month. Video avails have continued to grow as the broadband Internet has matured. A significant number of sites owned by major media brands that experimented with streaming video advertising in 2000 and 2001, and then moved behind subscription services re-emerged as ad-supported content sites in 2004 and 2005. In addition, many top streaming media sites are owned by major media brands (Time Warner, Yahoo, Disney, Microsoft/NBC) which puts them squarely in line to benefit from the broadband component to on-air television buys.We further believe the entrance of Macromedia and its Flash video solution, combined with provisioning support at the CDN level in support of streaming ad initiatives, plus a desire by advertisers to take advantage of rapidly expanding universe of video avail inventory signals a period of rapid revenue growth.Pre roll advertising is also appearing in subscription-based content, such as ABCNews On-Demand and CNN Newspass. There is also growing inventory not tied to particular media players (over 3+ billion impressions delivered in the 1st Q '05).Streaming Video Avails 2000 – 2005: Inventory History and Growth By Site Publ 20050517