In this week’s Week in Review: The Trade Desk is rumoured to be working on a TV OS, a US court strikes down big tech’s liability shield, and Gap says it’s investing more in upper funnel marketing.
Top Stories
The Trade Desk Has Reportedly Been Building its Own TV Operating System
The Trade Desk, a demand-side platform (DSP), is looking to launch its own TV operating system (OS), according to a report from Lowpass. Five sources confirmed that the ad tech giant has been secretly building its own OS to compete with Roku, Google and Amazon. The Trade Desk did not comment.
The company has reportedly been pitching its smart TV OS to multiple hardware manufacturers, promising more generous revenue sharing deals than its competitors, as well as more flexibility for customising the user interface. The report suggests the first device running the OS could launch as early as next year.
The news marks the latest sign of transition for the demand-side business. In 2022, the company launched OpenPath, a product enabling publishers to directly integrate with the DSP. The Trade Desk CEO Jeff Green said at the time: “The Trade Desk is not entering the supply side of digital advertising, and will not provide supply side services”.
US Appeals Court Strikes Down Big Tech’s “Liability Shield”
A US appeals court has struck down the argument that federal law grants social media companies immunity from being held accountable for user harms, according to Bloomberg.
A Pennsylvania mother won the right to sue TikTok over the death of her 10-year-old daughter, who was served dangerous content by the social video company’s algorithm. Judges overturned a lower court’s decision to dismiss the case on the grounds of Section 230 of the 1996 Communications Decency Act, which says online platforms are not liable for content posted by third parties.
Section 230 has proven controversial in light of recent harms stemming from social media, with campaigners and politicians (including Hillary Clinton) arguing the “liability shield” enables tech giants to hide behind an outdated clause. Critics also claim the law has allowed social media platforms to reach unprecedented scale, as user-generated content (UGC) goes unmoderated unless reported by other users, and is circulated by algorithmic recommendations that drive attention and ad revenues.
The ruling could therefore have sweeping implications for all websites that run on UGC, according to the report. “Big Tech just lost its ‘get-out-of-jail-free’ card,” said Jeffrey Goodman, partner at Saltz Mongeluzzi Bendesky, who argued on behalf of the family.
Gap Bumps Up Brand Spend in Effectiveness Push
While many major brands are putting more emphasis on effectiveness and efficiency with their marketing spend, the associated focus on advertising ROI in some cases moves money away from more brand-focussed channels like TV.
For fashion brand Gap however, the reverse is true. Gap is indeed looking to drive up effectiveness and efficiency in its marketing, working with new media agency OMG to do so. But speaking on an earnings call, executives say that its modernised approach will actually lead it to spend more on upper-funnel activity, since a more advanced data strategy enables a better balance of performance and brand marketing.
“In Q3, we have begun working with our new media agency partner, Omnicom, and are modernising our capabilities,” said CEO Richard Dickson. “In addition to gaining leverage from this new partnership, we are excited about the opportunity for our media mix to become a growth engine for our brands over time. We are evolving from a promotional media mix focused on performance to a full funnel strategy in order to be more effective with our marketing spend.”
The Week in Tech
IAB UK Submits Criticism of Browser-Level Privacy Controls to CMA
IAB UK has submitted responses to the Competition and Markets Authority’s (CMA) call for views on Google’s latest privacy proposals. The trade body argues that having user controls managed at the browser level, as opposed to cookie banners, would have “serious legal and commercial risks for the ad-funded internet.” IAB UK also suggested the Information Commissioner’s Office’s (ICO) support for browser-level controls “vastly over-simplifies the practical, legal, economic and competition implications that would result from a move away from transparency and consent notices, that online services are in effect required to use in order to comply – and demonstrate compliance – with UK GDPR and PECR, to centralised controls via browsers or other means.”
YouTube Shows Gun Videos to Minors Finds US Watchdog
Gun tutorials remain easily accessible by minors on YouTube, according to research from the Tech Transparency Project (TTP), part of the US non-profit Campaign for Accountability. The tech watchdog set up a test account identifying as a 14-year-old, and was shown 3D printing videos of guns and homemade silencers, which Google claims to shield from view of minors. “YouTube is profiting from its failure to enforce its own firearm policies,” said TTP Director Katie Paul.
Quantcast and Smartclip Provide Programmatic CTV Supply
Quantcast, a programmatic advertising firm, has announced a new partnership with smartclip, RTL Group’s ad tech unit. The deal will grant advertisers on Quantcast’s platform access to premium programmatic video supply across all screens and devices. The companies said the agreement enables marketers to deliver targeted and measurable campaigns on OTT and CTV.
Nvidia Tops $30 Billion in Q2 Revenue
Nvidia generated $30.04 billion in revenues during Q2, according to the chip giant’s latest earnings, representing a 122 percent YoY increase. Shares slid 3 percent over expectations that sales will start to slow as Big Tech companies start to develop their own AI chips. Nvidia also warned that its next-generation AI chips, code-named Blackwell, will be delayed next year.
Yelp Sues Google Over Local Search Monopoly
Reviews search engine Yelp is suing Google over its alleged monopoly in local search services. Yelp claims Google directs users towards its own local search vertical from its general search engine, thereby crowding out rivals and reducing the quality of local search services. The filing follows last month’s ruling that the search giant obtained its monopoly via illegal practices.
The Week in TV
Warner Bros. Discovery Launches New First-Party Data Offering
Warner Bros. Discovery has launched WBD AIM (Audience Insights and Measurement), a new first-party data-based offering, in major markets across EMEA, APAC, and Latin America. The new offering will be available for targeting and measurement across WBD properties including Max, CNN, discovery+, and Eurosport.
Warner Bros. Discovery already offers first-party data for targeting and measurement across a section of its ad inventory. But AIM streamlines the overall data offering, drawing in data from WBD’s consumer touchpoints and making it accessible across the media company’s portfolio. Read more on VideoWeek.
Edgar Bronfman Jr Exits Paramount Race
Edgar Bronfman Jr, Chairman of FuboTV, withdrew his Paramount takeover offer on Monday. The billionaire swept in with a $4.3 billion bid during the entertainment company’s “go-shop” period, before raising the offer to $6 billion. But his exit paves the way for Paramount to complete its merger with Skydance Media, expected to close in the first half of 2025.
Canal+ Sues TF1+ Over Plus Sign
Canal+, the Vivendi-owned pay-TV channel, is suing French rival TF1 over the plus sign in the name of its streaming service, TF1+. Canal+ accuses the Bouygues-controlled broadcaster of counterfeiting and parasitism, reportedly claiming €57 million in compensation. The plus sign is a common feature in the names of streaming services, including French BVOD service M6+.
Disney and Reliance Merger Gets Greenlight Despite Cricket Dominance
The $8.5 billion merger between Disney and Reliance Industries has won regulatory approval from India’s competition authority, clearing the way to create the nation’s largest media company. At the heart of the watchdog’s concerns was the combined entity’s grip on cricket rights. The Competition Commission of India (CCI) argued that most sports content in India is “streamed on either of the two platforms (of Reliance and Disney)”. According to Reuters, Disney had a 77.7 percent share of the sports TV channel segment during 2023-24, while Reliance held 7.5 percent. Together the companies dwarf its rival Sony, which enjoyed an 8.6 percent market share. Read more on VideoWeek.
Serie A Launches Streaming Service in UK and Ireland
Serie A, Italy’s top-flight football league, has launched a direct-to-consumer streaming service in the UK and Ireland. Accessible via the OneFootball app on mobile, desktop and CTV, ‘Home of Serie A’ will livestream all 380 Serie A matches in the 2024/25 season, alongside short-form video content. Fans can purchase single matches for £4.99, a Team Pass for £79.99 or a Season Pass for £99.99.
CNN International Lands on Max in Europe
Warner Bros. Discovery is adding CNN International to its Max streaming service in Europe. The 24/7 news channel comes to 22 European countries in the run-up to the US election. The channel was already available on Max in France and Poland.
Disney Faces DirecTV Blackout in Carriage Dispute
Disney-owned channels ESPN and ABC could be blacked out on DirecTV on 1st September, due to an ongoing carriage dispute between the media giant and satellite TV distributor. If no agreement is reached, the Disney channels could be blocked for 11 million DirecTV subscribers. The negotiations follow last year’s carriage dispute between Disney and Charter Communications, which caused a 10-day blackout of Disney channels on Charter’s pay-TV platform.
The Week for Publishers
NYT Reports Positive Results from AI-Based Targeting
The New York Times says it has seen strong results from early tests of its new generative AI-based targeting tool BrandMatch. BrandMatch uses AI to interpret a client’s brief, in order to generate audiences to target their ads towards. And BrandMatch campaigns run in tests have outperformed the publisher’s benchmarks, with an average click-through rate between 0.4-0.72 percent, an 8.4 percent average increase in brand lift, and a 3.1 percent lift in brand preference and consideration.
Bertelsmann Confirms Plans for Further US Acquisitions
German media conglomerate Bertelsmann, owner of RTL Group, is planning acquisitions of US companies as US-based revenues become increasingly important for the business. The US became Bertelsmann’s largest sales contributor for the first time in H1 this year, making up 28.4 percent of total revenues, and CEO Thomas Rabe told Reuters that there will “definitely be further acquisitions in the US”. Bertelsmann will look at potential acquisitions across its US businesses, looking at both small and medium-sized companies. Read more on VideoWeek.
Local UK Publishers See Summer Growth
Most local UK publishers saw year-on-year audience growth in July according to Press Gazette’s analysis of Ipsos Iris data, helped by a strong news cycle thanks to the general election, men’s European Championships, and Olympic Games. The three largest regional newspapers, Manchester Evening News, Birmingham Live, and the Evening Standard, all saw over ten percent growth year-on-year in monthly UK audience.
Switzerland’s Tamedia Lays Off 300 Workers
Swiss media business Tamedia, which owns daily newspaper Tages-Anzeiger, has laid off nearly 300 works in a new round of cost cutting measures, the company announced this week. Tamedia is closing two of its three printing works, and around 200 job cuts relate to these closures, with around 90 more jobs being cut from its editorial team.
The Week for Brands & Agencies
Omnicom Consolidates Creative Agencies into Omnicom Advertising Group
Omnicom has continued its push to simplify its business structure, this week reorganising its creative businesses under a new umbrella group, Omnicom Advertising Group. BBDO, DDB, TBWA, and agencies within the Advertising Collective including Goodby Silverstein & Partners, GSD&M, Merkley & Partners and Zimmerman will all sit within OAG, which will be led by Troy Ruhanen as global CEO. Deepthi Prakash and Denis Streiff meanwhile will sit as COO and CFO respectively. “One of the most exciting parts of this new division is that we can collectively invest in innovative offerings – such as Omnicom’s recent first-mover partnerships in GenAI,” said Ruhanen.
Albertsons Sees Opportunities for Commerce Media in CTV
Albertsons Media Collective, the retail media arm of US grocery retailer Albertsons, sees CTV as a “perfect middle ground” for retail media campaigns given its ability to tie together imaginative creative with data-based targeting with closed-loop attribution, according to Evan Hovorka, the company’s VP of product innovation. Speaking at an IAB roundtable event, Hovorka said that while retail data works very well in CTV environments, CTV works best as part of a wider omnichannel retail media campaign, according to Stream TV Insider.
IPG Launches Mediabrands Health
Interpublic Group this week announced the launch of Mediabrands Health, a new healthcare-focussed ‘centre of excellence’ within its Mediabrands media agency. Mediabrands Health will build on IPG’s existing healthcare offerings at IPG Health and within Mediabrands, providing more scaled global media services to any clients that might need them. Mediabrands Health will be led by Melissa Gordon-Ring, who previously led Initiative’s portfolio of health clients.
WPP’s Choreograph Agrees Partnership with InfoSum
WPP’s global data and technology business Choreograph has agreed a deal with clean room provider, enabling GroupM clients to link their own data into Choreograph’s database. Specifically, InfoSum’s clean room technology will allow brands to connect their first-party data to Choreograph’s AmeriLINK database, which holds a wide range of data on US households including demographic, psychographic, health, life events, and financial indicators.
Publicis Wins Sky Media’s European Media Account
Publicis Media has come out on top in Sky Media’s review of its European media account, worth over £250 million according to More About Advertising. The account is a major loss for incumbent agency EssenceMediacom, which also lost L’Oréal’s account earlier this year.
Michelin Hands Global Media Account to OMG
French brand Michelin, known for its tyres, restaurant guides, and travel guides, has handed global media planning and buying duties to Omnicom Media Group. OMG beat out incumbent Havas as well as GroupM and Publicis Media in a competitive review.
Hires of the Week
Sky Media Names Thinkbox’s Matt Hill as Director of Insight & Measurement
Sky Media has appointed Thinkbox’s Matt Hill as Director of Insight & Measurement, replacing Lucy Bristowe who left earlier this year. Hill will take up the new role in February, departing Thinkbox after a decade at the commercial TV marketing body.
ITV Hires Paramount’s Akhila Khanna to Head up Distribution Strategy
ITV has hired Akhila Khanna as Director of Distribution, overseeing distribution strategy across ITVX and ITV channels. Akhila joins from Paramount, where she is currently SVP for Partnerships and Business Development. Her new role commences in October.
Captify Appoints Jane Wolfson as President, International
Captify, a search intelligence firm, has named Jane Wolfson as President, International. In the newly created London-based role, Wolfson will oversee Captify’s commercial business outside of North America. She joins from Hearst UK, where she served as Chief Commercial Officer.
This Week on VideoWeek
WARC Forecasts 10.5 Percent Rise in Global Ad Spend This Year, but Tech Giant Domination Continues
Warner Bros. Discovery Launches New First-Party Data Offering
Bertelsmann Confirms Plans for Further US Acquisitions
Netflix CPMs Are Coming Down, but Scale and Volume Commitments Remain Barriers to Investment
Disney and Reliance Merger Gets Greenlight Despite Cricket Dominance
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