YouTube Videos to Have 'Overlay' Ads
By ANICK JESDANUN
AP Internet Writer
NEW YORK (AP) -- Video advertising is coming to YouTube, but it won't be the type common at sites elsewhere. Starting Wednesday, the popular video-sharing site plans to feature semitransparent "overlay" ads at the bottom of selected video clips.
The ad disappears after about 10 seconds if the viewer does nothing; the featured clip automatically pauses if the viewer clicks on the overlay to launch the full pitch.
YouTube said it was trying to avoid pre-rolls that precede the main feature at sites like Microsoft Corp.'s MSN, which partners with The Associated Press on a video news service.
Shiva Rajaraman, product manager for YouTube, said internal tests show more than 70 percent of people give up when they see a pre-roll. By contrast, less than 10 percent decide to close an overlay, which they can exit by clicking on an "X" in a corner.
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