In this week’s Week in Review: Comcast is rumoured to be looking at a potential Roku acquisition, Channel 4 sees progress in its digital first strategy, and TikTok launches mini-apps.
Top Stories
Comcast Considering ViacomCBS Tie Up or Roku Acquisition
Comcast is reportedly exploring the possibility of acquiring Roku, or merging with ViacomCBS, as the company seeks to move into streaming. The reports had an impact on the companies’ shares.
Roku’s shares rose by 4.5 percent and ViacomCBS’s rose by 2.7 percent. Meanwhile Comcast saw its shares fall by 3.7 percent. In the same report, it was also suggested that NBCUniversal’s streaming service Peacock had less than 10 million subscribers, as of May.
A Comcast spokesperson has dismissed the reports as “pure speculation”.
Channel 4 Says Digital Ad Revenues Rose 11 Percent in 2020
British broadcaster Channel 4 says digital ad revenues grew 11 percent in 2020, despite the pressure of the COVID-19 pandemic, reaching £161 million. Overall corporation revenues were down by five percent year-on-year, according to the company’s annual report released this week, though Channel 4 said this figure was better than had been expected given the financial strain caused by the pandemic.
And while linear ad revenues were down – Channel 4 didn’t say exactly how much by – the broadcaster saw two percent growth of viewer share on its portfolio of linear channels. Nonetheless, Channel 4 says it is still focussed on its transition to becoming a digital first broadcaster, aiming for digital ad revenues to account for at least 30 percent of total revenues by 2025.
“We enter 2021 in good shape, with a strengthened balance sheet and excellent creative momentum, but recognise that the broader environment continues to be highly unpredictable and will require continuous vigilance and adjustment to unforeseen events,” said Channel 4’s chairman Charles Gurassa.
TikTok Launches Mini-Apps Feature ‘Jump
Social video app TikTok this week launched TikTok Jump, a new feature which lets third-party providers create mini-apps or services which operate within TikTok. Creators on the platform can link to these services, which TikTok says could include recipes, quizzes, and learning tools among other things. Third-party publishers Whisk, Breathwrk, Quizlet, StatMuse, and Tabelog have already created Jumps, with BuzzFeed, Jumprope, IRL, and WATCHA signed up to create content in the future.
Jumps will give publishers more ways to drive engagement within TikTok. They could also be the first fruits of a new mini-app ecosystem. Mini apps are common in China, where TikTok’s parent company is based, and TikTok’s Chinese counterpart Douyin already runs mini-apps. These mini-apps tie publishers into closer relationships with social publishers. But they also offer a workaround to restrictions placed by device owners and app store operators, since app owners can track engagement and movement between these mini-apps, without needing to use a device identifier to track between apps.
The Week in Tech
Google Announces it Won’t Kill Off Cookies Until “Late 2023”
Google has announced that it is pushing back its date for killing off third-party cookies in its Chrome browser until “late 2023”, extending the deadline by at least a year and a half. The original deadline had been set for January next year. Vinay Goel, Chrome’s privacy engineering director, said the decision has been made as “it’s become clear that more time is needed across the ecosystem to get this right”. Read the full story on VideoWeek.
EU Launches Formal Antitrust Investigation Into Google
The European Union has launched a formal antitrust investigation into allegations that Google misused its dominant position in the ad tech sector to the disadvantage of other companies. The European Investigation, which follows a preliminary investigation launched in 2019, will examine whether Google is distorting competition by restricting access to user data for advertising purposes, while reserving such data for its own use.
Innovid to Go Public Through SPAC Merger, Seeking $1.3 Billion Valuation
Innovid, a CTV ad delivery and measurement platform, is planning to go public, and hopes to be valued at $1.3 billion. It becomes the latest in a flurry of ad tech companies which have gone public over the past year. The business is planning to go public through a merger with ION Acquisition Corp. 2, a special purpose acquisition company (SPAC) run by ION Asset Management Ltd. Read the full story on VideoWeek.
JW Player Raises $100 Million in Series E Funding
JW Player, a video software and data insights platform, on Thursday announced it has raised $100 million in Series E funding from private equity company LLR Partners. The raise comes on the heels of a strong period of growth for JW Player, which benefited from the boom in online video over the past year. It also follows shortly after JW Player’s acquisition of VUALTO, a provider of live and on-demand video streaming and digital right management solutions. Read VideoWeek’s interview with JW Player COO Welby Chen.
One of the First Partners in Facebook’s Ad Experiment in Oculus VR Pulls Out
Just over a week ago, Facebook announced that it would be experimenting with ads in its Oculus VR app. The announcement was met with backlash, and now Resolution Games, one of the handful of developers involved in the experiment, has said it is pulling out after “listening to player feedback”. The developer has decided that ads are unsuitable for its multiplayer shooter game Blaston, after many players left angry reviews on the games Oculus Store and Steam pages.
Integral Ad Science Announces Terms of Its IPO
Integral Ad Science, the New York-based ad verification and measurement company, announced the terms of its IPO on Monday. The company says it plans to raise $240 million by offering 15 million shares at a price range of $15 to $17 when it begins trading on the New York Stock Exchange. Integral Ad Science will be hoping to mimic competitor DoubleVerify’s successful IPO, which saw the company’s stock rise 33 percent on the opening day.
Adgile Enters Canadian Market Through NLogic Partnership
Adgile, a performance management platform for TV advertising, is entering the Canadian market through a partnership with audience analysis business NLogic. The two will work together to launch Adgile’s real—time data and analytics capabilities for linear and on demand TV into Canada later in the year.
Peach Launches Developer API
Peach, the video ad management platform, has launched its new developer application programming interface (API). The API allows developers to build apps and integration on top of their video advertising platform.
ID5 and Telemar Partner Up
Advertising and media software company, Telemar, and independent identity-solution, ID5 have partnered to bring effective media campaigns to post-cookie environments. The partnership enables advertisers and media owners to plan and create targeted, data-driven campaigns and to activate their data in environments where third-party cookies and MAIDs are blocked.
The Week in TV
UK Government Confirms it’s Consulting on Channel 4 Sale and SVOD Regulation
The UK’s Departments for Digital, Culture, Media & Sport this week confirmed it is strongly considering selling off publicly owned broadcaster Channel 4, with plans to consult on the benefits of a potential sale in the near future. The move comes as part of a wider effort to protect the UK’s public service broadcasters (PSBs), in which the DCMS is also mulling over increased regulation of international streaming services. Read the full story on VideoWeek.
France outlines SVOD obligations
France has outlined the obligations of its SVOD services in a decree. The decree will require SVOD services to allocate at least 20 percent of their turnover in France to the financing of French or European works, rising to 25 percent for platforms offering films less than 12 months after their theatrical release. The European Commission had previously said the decree, due to come into effect on July 1, is too weighted in favour of producers.
Netflix Makes Multi-Year Deal with Steven Spielberg
Netflix has struck up a multi-year deal with filmmaker Steven Spielberg. Spielberg’s studio Amblin Partners will make multiple new films for Netflix over the course of the agreement. While Netflix remains by far the biggest streaming service in the world, rivals like Disney+ and Amazon Prime have all been competing to produce high-quality original content.
The FTC Will Review Amazon’s Planned Takeover of MGM
The Federal Trade Agency will be the body to review Amazon’s proposed purchase of Hollywood studios MGM. The FTC’s new chairwoman, Lina Khan, has previously been critical of the e-commerce giant’s expansion. Companies doing sizable mergers have to submit their deals for government antitrust review, the FTC reportedly pushed for this case as it is already carrying out antitrust investigations into Amazon’s business.
Amazon Fire Starts Carrying NBCUniversal’s Peacock
NBCUniversal’s Peacock streaming service has arrived on Amazon Fire devices almost a year after it was launched. Peacock arrived on Amazon Fire TV set-tops and Fire tablets in the US yesterday. The two companies also reached a distribution agreement for NBCU’s 15 network apps for Amazon Fire TV and Fire tablet devices including NBC, Bravo, NBC News, NBC Sports and Telemundo.
Apple TV Plus is Cutting Its Free Trial from One Year to Three Months
Starting in July, Apple TV is cutting its free promotional trial from one year to three months. At 20 months the streaming service is no longer brand new, and Apple is looking to move it away from its promotional launch period. Apple does not reveal specific subscriber numbers for the service but Ampere Analysis estimates that the $4.99-a-month SVOD offering finished 2020 with more than 40 million subscribers, with the majority of them still getting the service for free after purchasing an iPhone, iPad or MacBook Pro.
Mediaset Shareholders Back Plan to Make Netherlands the Company’s Legal Base
Mediaset’s shareholders have voted for a proposal to move the Italian broadcaster’s legal base to the Netherlands. The move would pave the way for cross-border deals to fend off competition from online rivals. The company, which is owned by the family of former Italian Prime Minister Silvio Berleuconi, has been targeting cross-border expansion.
Record Number of People Stream the Roku Channel After Launch of ‘Originals’
In the two weeks following the launch of Roku Originals, from 20th May 20th to 3rd June, a record number of unique accounts streamed The Roku Channel, according to the company. In this same two-week period the ten most watched shows on the channel were all Roku Originals. Roku Originals feature some content brought over from its acquisition of mobile-first platform Quibi.
News UK Considering Buying BT Sport
Rupert Murdoch’s News UK are reportedly considering buying BT Sport. Last month, BT’s CEO said the company was “open-minded” to a deal on their sports broadcasting business while they refocus on their core communications business. According to The Telegraph, Rupert Murdoch held talks with BT about a potential partnership.
Tubi Adopts Trade Desk’s Unified 2.0 Cookie Solution
AVOD platform Tubi has become the latest publisher to adopt The Trade Desk’s Unified 2.0 solution. The identifier is The Trade Desk’s post-cookie solution. The solution is also supported (in some cases along with other ID solutions) by Xandr, OpenX, Magnite, AMC Networks and Tubi competitor FuboTV, among others.
The Week in Publishing
BuzzFeed Targets $1.5 Billion Valuation in SPAC Deal
Digital-first media company BuzzFeed has reached a deal which will see it go public via a merger with 890 Fifth Avenue Partners Inc., a special purpose acquisition company (SPAC). The deal is expected to value BuzzFeed at around $1.5 billion. BuzzFeed also confirmed plans to buy fellow digital native Complex Networks, currently jointly owned by Verizon and Hearst, for $300 million.
MRC Denies Pinterest Accreditation for Video Ad Measurement
The Media Ratings Council (MRC) has denied social sharing site Pinterest accreditation for its video ad measurement, saying that an audit found that Pinterest’s methods do not meet industry standards. Pinterest has declined to resubmit for another audit, instead choosing to withdraw its video ad metrics from accreditation, according to Digiday.
YouTube Rolls Out New Tools for Small Businesses
YouTube this week launched new tools aimed at helping small businesses to advertise on its platform, making it easier to quickly set up a campaign. The new campaign builder has also been freshly optimised for mobile.
Reuters Institute Finds Trust in News Grew in the Pandemic
The Reuters Institute’s annual Digital News Report has found that more people now trust news sources they use compared with this time last year, with the percentage who trust their news sources up six percent on average to 44 percent. But the percentage of people who trust news on social media remains much lower, at just 24 percent.
Adevinta Gets Approval to Buy eBay’s Classified Ads Business
Adevinta, a Norwegian business which operates classified ads sites across Europe, has been given the go ahead by Austria’s competition authority to buy eBay’s classified ads business. This was the last remaining hurdle for the deal, which values eBay’s business at $13 billion.
Snap Charts Effectiveness of Six Second Ads
Snapchat this week released data on the effectiveness of its six second ad format, finding for example that they create 2.3x time in awareness. Snap says they also boost an ad campaign’s efficiency by 65 percent when added to an ad product mix.
Fortnite Introduces Virtual O2 Arena
Hyper-popular video game Fortnite is continuing its investment in live shows, this week unveiling a virtual version of London’s O2 arena. Players can explore the venue at any time in Fortnite’s Creative mode, but the virtual arena will also be used to host live events within Fortnite’s world.
Bleacher Report Touts Success of ‘Heartbeats’ Audience Research Platform
Sports focused publication Bleacher Report says its ‘Heartbeats’ audience research platform, first launched in 2018, is proving popular with clients who are keen to understand the publisher’s audience. Stefanie Rapp, B/R’s chief revenue officer, told Adweek that the tool has been used in 50 successful client pitches, and is helping the company to retain business.
The Week for Agencies
IPG Set to Launch New Healthcare Division
Interpublic Group is planning to launch a new global healthcare marketing division, which will combine McCann Health and FCB Health, in an effort to take share from WPP, Omnicom, and Publicis, according to Business Insider. The new division will be led by FCB Health CEO Dana Maiman, according to reports.
Coca-Cola Says it Will Nearly Double Ad Spend with Minority-Owned Media
Coca-Cola North America has pledged to almost double its ad spend with minority-owned media. At least eight percent of Coca-Cola’s budget will be set aside for Black, Hispanic, and Asian American-owned platforms by 2024, according to AdAge.
Fast-Food Brands Will Face New Ad Rules in UK
The UK government this week confirmed that brands which sell foods high in fat, salt, and sugar will face new regulations preventing them from broadcasting TV ads before 9pm, and completely prohibiting paid online advertising. Read VideoWeek’s analysis on how HFSS brands will adapt to the new rules.
Ribena Seeks New Agency
Drinks-maker Ribena is looking for a new advertising agency to drive its sustainability campaign, after previous partner Wunderman Thompson resigned the account. The new agency will help Ribena navigate upcoming changes to ad regulations for foods and drinks high in fat, salt, and sugar, according to Campaign.
Best Buy Will Spend $1.2 Billion with Diverse Businesses by 2025
US retailer Best Buy has pledged to spend at least $1.2 billion with businesses owned by Black and minority-owned businesses by 2025, according to Bloomberg. This spend goes beyond advertising and media to cover suppliers too.
Maximum Effort Acquired by CTV Company MNMT
The marketing arm of Maximum Effort, a production company founded by actor Ryan Reynolds and George Dewey, has been acquired by CTV ad tech company MNTN. “Creative is the center of the advertising industry and I’ve always thought it odd to have creative and media walled off from each other,” said MNTN CEO Mark Douglas. “Maximum Effort’s work speaks for itself and having spent a lot of time with Ryan, I know I’ve found a partner who likes to move fast and take big swings.”
Hires of the Week
Nancy Neumann Grey Joins IRIS.TV
Nancy Neumann Grey has joined IRIS.TV as vice president of business development, data partnerships. Neumann Grey joins IRIS.TV from Visa where she was vice president of sales.
Cameron Meierhoefer Hired as VideoAmp’s Chief Product Officer
Cameron Meierhoefer has been hired by VideoAmp as their first chief product officer. Meierhoefer joins from Comscore, where he was chief operating officer.
Saatchi&Saatchi Hires Chris Kay as London CEO
Saatchi & Saatchi London has appointed Chris Kay as its CEO. Kay joins from 72andSunny where he was global partner and Asia Pacific CEO.
Samsung Ads Europe Appoints Sinead Gilbody as European Mobile Development Lead
Samsung Ads Europe has appointed Sinead Gilbody as European mobile development lead, a newly created role. Gilbody joins from Activation Blizzard where she was agency sales director.
This Week on VideoWeek
How Will HFSS Brands Adapt to the UK’s New Regulations? read on VideoWeek
A Breakdown of the Contextual Video Advertising Landscape, read on VideoWeek
Can Co-Watching Boost Shared Viewing Beyond Linear? read on VideoWeek
UK Government Confirms it’s Consulting on Channel 4 Sale and SVOD Regulation, read on VideoWeek
VideoWeek Podcast #27: Karen Nelson-Field, listen on VideoWeek
JW Player Raises $100 Million in Series E Funding: Q&A with Welby Chen, Chief Operating Officer, read on VideoWeek
Innovid to Go Public Through SPAC Merger, Seeking $1.3 Billion Valuation, read on VideoWeek
Google Announces it Won’t Kill Off Cookies Until “Late 2023”, read on VideoWeek
Ad of the Week
Nike, The Land of New Football, Wieden+Kennedy
