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<keyword id="6358777" type="LOCATION" weightage="20" keywordseo="New-Delhi">New Delhi</keyword>, As low cost of <keyword id="164095" type="PERSON" weightage="20" keywordseo="mobile-data">mobile data</keyword> and affordable smartphones revolutionise the <keyword id="4376122" type="PERSON" weightage="20" keywordseo="OTT-video">OTT video</keyword> streaming landscape in India, the users are now comfortable paying ₹400 (less that $6 a month) on average to avail these services, according to a new report.<br /><br />Given the crowded Indian OTT space, consumers have likely tried most OTT services and now see the value in paying more, according to the report by US-based software company Brightcove titled 'The Future of OTT in South Asia'.<br /><br />"Out of 40 OTT platforms in India, narrowing it down to two-three services with a monthly subscription will mean churn rate will be high for many platforms," the report mentioned, adding that offering a free tier with ads and a premium tier without ads or limited ads is the key for the existing players.<br /><br />On the contrary, in Pakistan and Bangladesh, the OTT users are exposed to fewer services, so they are "unlikely to see the value of paying a higher fee until they have tried out the service".<br /><br />"There is an affinity for homegrown Indian content in Bangladesh and Pakistan markets. Indian OTT providers launching in these markets would cater to both local audiences and the diaspora segments," noted the report that covered seven countries, with more than 3,000 <keyword id="10377793" type="UNKNOWN" weightage="20" keywordseo="unique-online-respondents">unique online respondents</keyword> (aged 16 and above) in India, Bangladesh and Pakistan.<br /><br />In South Asia, 60 per cent of respondents use social media to discover new content and platforms.<br /><br />"Ads are acceptable but for a lower fee as 33 per cent are willing to pay lower or no fee in return for watching ads and only 24 per cent are willing to pay a higher fee for no ads," the findings showed.<br /><br />Mobile viewing is a must have as 70 per cent of viewers prefer to consume content on their mobile phones, followed by TVs (55 per cent) and personal computers (53 per cent).<br /><br />Nearly 64 per cent of viewers of those surveyed want a monthly subscription, whether it's SVOD, AVOD, or a hybrid of both and 55 per cent of viewers have one or more free online video sharing services as their go-to TV viewing platforms, according to the report.<br /><br />Brightcove offers cloud-based platforms to publish and distribute digital media, including <keyword id="10377792" type="COMPANY" weightage="20" keywordseo="brightcove-video-cloud">Brightcove Video Cloud</keyword>, an online video platform.<br /><br /><strong>SEE ALSO:<br /><a href="https://www.businessinsider.in/stock-market/news/top-stocks-to-watch-ril-airtel-indigo-spicejet-sbi-bank-of-baroda-vodafone-idea-granules-india-and-others/articleshow/79557810.cms">Top stocks to watch — RIL, Airtel, IndiGo, SpiceJet, SBI, Bank of Baroda, Vodafone-Idea, Granules India, and others</a><br /><a href="https://www.businessinsider.in/business/corporates/news/ultratech-cements-5477-crore-expansion-plan-is-a-sign-that-birla-is-betting-on-a-faster-economic-recovery/articleshow/79549626.cms">UltraTech Cement's ₹5,477 crore expansion plan is a sign that Birla is betting on a faster economic recovery</a><br /><a href="https://www.businessinsider.in/tech/news/sbis-mobile-banking-app-is-down-for-the-third-time-in-last-30-days/articleshow/79548953.cms">SBI’s mobile banking app is down for the third time in 30 days — digital services take a hit for the 25th time this year</a></strong><br />

Indian OTT users comfortable with paying  ₹400 a month

<p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><p class="source"><span>Live Planet</span></p><p class="caption">Halsey Minor, CEO of Live Planet</p></div><p></p></div></div></p><ul><li><strong>Halsey Minor, who founded CNET and cofounded Salesforce, is spearheading a new distributed computing project focused on encoding, storing, and streaming video.</strong></li><li><strong>The effort is designed to tap into so-called zombie servers, which are unused or underutilized computers in data centers. </strong></li><li><strong>Server owners will be paid via a new cryptocurrency called VideoCoin; Minor plans an initial coin offering for the token in March and has already raised $25 million in pre-ICO funding for it.</strong></li><li><strong>The VideoCoin Network is designed to be a rival to Amazon Web Services and other cloud-based video processing offerings. Minor says the service will be 60% to 80% cheaper and give video producers greater ability to create their own apps on top of it.</strong></li><li><strong>It's unclear whether Hollywood or other video producers will buy into the system.</strong></li></ul><p><br />Halsey Minor was one of the pioneers of cloud computing. Now he thinks he's come up with a way to replace the cloud with an even more avant-garde technology - a blockchain-backed cryptocurrency.</p><p>Minor is developing a distributed computing project for encoding, storing, and streaming video. His goal is to create a system that could offer everyone from Hollywood studios to amateur videographers a way to process their videos that would be just as easy to use as Amazon Web Services or Google Cloud, but far less expensive. And because the effort will be open source, anyone will be able to build whatever applications they want to on top of it - including, potentially, the next YouTube.</p><p>The system would work kind of like the <a href="https://en.wikipedia.org/wiki/SETI@home">SETI@home</a> project, which harnesses the power of participants' home computers to crunch astronomical data for signs of alien life. But instead of searching for E.T., this technology would process the video for what could be the next "E.T." film. And instead of people sharing their computing resources for free, they'd be getting paid for it via a new cryptocurrency called VideoCoin.</p><p>"We can harness all these computers around world," said Minor. "We can do things Amazon can't."</p><p>Minor plans to launch VideoCoin with an initial coin offering in March; as of this week, the effort had already raised $25 million in pre-ICO investments. Trading in the cyber token will begin the following month. His plan is to begin testing the distributed computing service built around VideoCoin later this year and have it fully up and running within 12 to 18 months. However, before the service launches, token purchasers will be able to use the token to buy processing power on the cloud servers of Live Planet, Minor's virtual reality video startup.</p><h2>Minor has a history of launching and funding innovative startups</h2><p>Perhaps best known for founding CNET (where I once worked), Minor is a serial tech entrepreneur and investor who cofounded or was an earlier investor in Salesforce, Grand Central Communications, which became Google Voice, and OpenDNS, which was later acquired by Cisco. VideoCoin is an outgrowth of two of Minor's most recent companies, the cryptocurrency exchange Uphold and Live Planet, which offers a 360-degree stereoscopic video camera and a cloud service for hosting and streaming video.</p><p>Live Planet's camera is designed to capture enough video information to send a 4K stream to each eye in a virtual reality headset. Minor's dream is to have the cameras located just about everywhere, streaming video 24 hours a day, seven days a week. But encoding all that data and streaming it to users around the planet via the existing cloud services would be incredibly costly; Minor estimated that for just one camera, it would cost $30,000 a month.</p><p>So, he got to thinking that there must be a better way - and Uphold suggested a possible solution. With Bitcoin and other cryptocurrencies, anyone on the internet can earn money by using their computing power to solve complex algorithmic problems. As the algorithms have become more difficult to solve, the market has responded by adding more computing power.</p><p>Minor figured he could tap into a similar idea. But instead of using computing power to solve complex puzzles just to do the simple accounting task of adding a line to a digital ledger, he figured he could have those computers do something that's already processor-intensive - encoding video.</p><p>"We're trying to bring the same idea to a form of computing that's useful," he said.</p><h2>VideoCoin could undercut the competition on price</h2><p>Hollywood studios and streaming services frequently encode their videos multiple times so they can be streamed to a variety of devices at a range of resolutions. Video providers also need places to store and stream their videos.</p><p>Right now, many upload their videos to cloud service providers. Each of the major ones has its own video encoding or streaming technology built-in. Other players in the space include IBM and dedicated video companies such as Brightcove and BAMtech.</p><p>Video providers will be able to use the VideoCoin Network in much the same way they would those services, Minor said. Meanwhile, whether a video is streaming from AWS or from a server on the VideoCoin Network should be invisible to consumers.</p><p>VideoCoin will be able to undercut the competition on price, Minor said. Unlike SETI@Home, which relied on computing power of millions of idle home PCs, VideoCoin is designed to be run largely on unused or underutilized servers in data centers. There are lots of them out there - some 20 million according to Live Planet. Minor estimates that at any given time, about 30% of the computing power in data centers is idle, being reserved for peak demand. Another 20% isn't being used at all.</p><p>"You've got $10 billion to $20 billion of data center assets that are doing nothing," he said.</p><p>These so-called zombie servers and data centers could all be tapped to process video, he said. And because they're not being used for much of anything else at the moment, their owners would likely let them be used for far cheaper than it would cost to have video processed on AWS or other cloud services. Indeed, Minor thinks VideoCoin can turn the computing power needed to encode video into a commodity and, in the process, cut the price by 60 to 80%.</p><p>"The terrifying thing for Amazon and Google … is that the way to make money in bitcoin is not by having better software or hardware. It's having the lowest cost of power," he said. He added: "We're trying to bring that same idea to a form of computing that's useful."</p><p>But Minor thinks that the even bigger draw for VideoCoin will be the freedom video providers will have to build applications on top of it.</p><p>"A lot of new things will happen, because it's open source," he said.</p><h2>Minor and VideoCoin have some big challenges ahead</h2><p>And at least some in the industry think he's onto something. VideoCoin has quickly <a href="http://www.businessinsider.com/r-novogratz-others-invest-in-cnet-founders-new-blockchain-venture-2018-1">raised money from some of the leading cryptocurrency investors</a>, including Alphabit and Galaxy Investment Partners.</p><p>There are several efforts to use cryptocurrencies to underlie distributed cloud storage and cloud processing efforts, including Filecoin and Golem, noted Lex Sokolin, a partner at Autonomous Research, a financial research firm. But VideoCoin appears to be the first to really focus on using a cryptocurrency to create a distributed computing project focused on processing video, he said. That could be a big benefit, especially given how important video already is online and how much more important it's becoming, he said.</p><p>"You have the components of a large global opportunity," Sokolin said.</p><p>Of course, even Minor acknowledges that VideoCoin has a long road ahead of it, including some major engineering challenges. And it's not at all certain that video providers, particularly Hollywood studios, will feel comfortable sending their intellectual property to unknown servers operated by unknown people through a system that hasn't been tested.</p><p>Video providers are already saving lots of money by using cloud services rather than processing and streaming video from their own data centers, noted Dave Bartoletti, a principal analyst at Forrester Research who focuses on cloud computing. Even then, it took years for AWS and other cloud service providers to convince companies such as the video providers that their systems were secure enough to store those companies' most valuable data.</p><p>Even if such companies are tempted by saving even more by using VideoCoin, it will likely take a while for the service to earn their trust, Bartoletti said.</p><p>"Especially with Hollywood studios," he said, noting that distributing their videos securely is fundamental to their business. "If they don't get that right, they're screwed. It requires a massive amount of trust."</p><p>Meanwhile, there's more to distributing video than just encoding, storing, and streaming it, said Greg Ireland, a video analyst at research firm IDC. Video providers need to be able to insert ads, be prepared for peak demand, distribute their video to different partners, and more. Companies that offer video production and encoding services already handle much of that, Ireland said.</p><p>"It's not like there's a shortage of solutions," he said. "The question is whether they're solving a valid problem."</p><p>For his part, Minor's convinced VideoCoin is solving a big problem. To convince video producers to try out the service, he plans on building into it easy ways for them to move some of their videos from AWS and other cloud services to it.</p><p>"We're not going to have to hire an entire sales staff. They'll just adopt it," he said. "They'll try it, and if they like it, they'll adopt it."</p><p class="tagline"><div id="categorypromo" style="border:1px solid silver; min-height:90px; padding:10px;vertical-align:top;"><a href="http://read.bi/bitcoin-101-free"></a><strong>EXCLUSIVE FREE REPORT:</strong><br>The Bitcoin 101 Report by the BI Intelligence Research Team.<br><strong><a href="http://read.bi/bitcoin-101-free">Get the Report Now »</a></strong></br></br></div></p>    <div class="margin-top">        <h3>NOW WATCH: <a href="http://www.businessinsider.com/benefits-of-regular-exercise-2018-1">What happens to your body when you start exercising regularly</a></h3>        <div>                    </div>    </div>

CNET founder Halsey Minor has raised $25 million for a new cryptocurrency-based effort to take on Amazon in cloud video services

<p></p><div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"></div><p></p></div></div>Google is investing billions in its data centers and hiring salespeople like crazy to take on Amazon in the cloud computing industry. It just held a <a href="http://www.businessinsider.com/netflix-talks-at-google-cloud-conference-2016-3">big conference in March</a> to get the IT world excited about its cloud.<p>So it was not good that on Monday, the Google Compute Engine cloud service went down for 18 minutes at 7 p.m. Pacific for just about all of its&#xa0;customers&#xa0;everywhere.</p><p>Compute Engine is the cloud service that Google has launched to compete head-to-head with Amazon Web Services EC2, where companies can rent space on Google's computers accessed over the internet.</p><p>While the world did not spin into an apocalyptic frenzy because of the outage (it didn't impact Google's regular services like search or maps or Gmail), such a big outage was&#xa0;a black eye. Companies like BrightCove, DataStax, Evite, HTC, Zulily use&#xa0;Compute Engine, <a href="https://cloud.google.com/customers/">Google says.&#xa0;</a></p><p>More importantly, this is Google. Going dark for nearly 20 minutes just isn't supposed to happen. The company has systems and backup systems to prevent that.</p><p>So on Wednesday, <a href="https://status.cloud.google.com/incident/compute/16007?post-mortem">Google published an apology</a>, and a lengthy explanation. It also offered to&#xa0;credit its customers with 10% to 25% of their monthly bill, &#xa0;more than the refund it&#xa0;promises in its service agreement.</p><p>The non-technical TLDR version: Someone was doing a semi-routine&#xa0;update to the network and hit a bug. Then the&#xa0;automated failsafe software that should have caught the problem and automaticaly fix it also hit a bug. Then the software went nuts and sent the wrong technical information across the whole&#xa0;network and&#xa0;boom, the network went down.</p><p>All told, that 20 minutes outage caused Google to make "14 distinct engineering changes" to ensure its cloud won't go down like this again. And more changes are coming "as our engineering teams review the incident with other senior engineers across Google in the coming week."</p><p>The Google Cloud team says, "We recognize the severity of this outage, and we apologize to all of our customers for allowing it to occur."</p><p>But the whole thing still leaves a little egg on Google's face.</p><p><div></div></p><p class="embed-spacer">&#xa0;</p>    <div class="margin-top">        <h3>NOW WATCH: <a href="http://www.businessinsider.com/dea-agent-when-asked-to-try-drugs-mike-vigil-deal-2016-3">EX-UNDERCOVER DEA AGENT: What I did when drug dealers asked me to try the product</a></h3>        <div>            <div>        <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="w1MGxlMjE6hH45aq4Ag4Q590qZgMWztE" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div>        </div>        </div>            </div>

Google apologizes for cloud outage that was a 'comedy of errors'

<p><div class="KonaFilter image-container display-table float_right"><div><div class="image"><p class="source"><span><a href="https://www.youtube.com/watch?v=VC472Gx9AwU">Screenshot/YouTube</a></span></p></div><p></p></div></div>When you're looking for a local place to grab a meal, Yelp thinks a 3- to 12-second video could be an important factor in your decision. In a July 28 blog post, the restaurant reviews startup wrote that it has added <a href="http://officialblog.yelp.com/2014/07/yelp-camera-action-now-add-videos-with-your-yelp-mobile-app.html">a feature that lets users beef up their reviews with a short video.</a></p>
<p>The videos aren't supposed to be full reviews, but rather short glimpses into what an establishment has to offer in terms of atmosphere, food, and ambiance.</p>
<p>Yelp's blog compares it to the photos it already allows users to upload to reviews. Businesses with photos draw in eyeballs for more than twice as long as businesses without them, so it seems Yelp is looking for videos to have a similar effect.</p>
<p>Debuting on iPhone first and Android at a later date, Yelp previewed what it envisions for the feature on the blog. Clips of <a href="http://link.brightcove.com/services/player/bcpid3146689181001?bckey=AQ~~,AAAC27Z4eRE~,rSdKuvgeouYI_Wp5xq5tUnyYVjrRXMvu&amp;bctid=3431690267001">bands playing</a> and <a href="http://link.brightcove.com/services/player/bcpid3146689181001?bckey=AQ~~,AAAC27Z4eRE~,rSdKuvgeouYI_Wp5xq5tUnyYVjrRXMvu&amp;bctid=3396655197001">tableside food prep</a> appear in the post, hosted using the video cloud storage service <a href="https://www.brightcove.com/en/">Brightcove</a>.</p>
<p><span>"It will be a reward for businesses that go to great lengths to achieve a certain ambiance," Yelp mobile product manager Madhu Prabaker <a href="http://www.businessinsider.com/yelp-video-reviews-2014-5">told Business Insider in May</a>. "Whether by having a certain lighting or the music at just the right level."</span><span><a href="http://www.businessinsider.com/yelp-video-reviews-2014-5#ixzz38oPXBPxo"><br /></a></span></p>

Yelp's Newest Feature Adds Videos To Your Restaurant Reviews

<p><strong><div class="KonaFilter image-container display-table"><div><div class="image on-image"><p class="source"><span>Hulu</span></p><p class="caption">Hulu's "The Handmaid's Tale"</p></div><p></p></div></div></strong></p><ul class="summary-list"><li><strong>OTT <keyword id="35666" type="COMPANY" weightage="100" keywordseo="advertising">advertising</keyword> is hot for ad-tech companies vying for big budgets as marketers shift dollars from linear TV to connected TV devices.</strong></li><li><strong>But there are also a growing number of challenges that advertisers are still trying to solve like ad fraud, frequency capping, and low-quality creative.</strong></li><li><strong>Analytics firm Pixalate estimates that 19% of OTT ads are fraudulent.</strong></li><li><strong>These challenges threaten to limit the $70 billion TV industry's ability to capitalize on shifting viewing habits.</strong></li></ul><p>Ad-tech companies are scrambling to get into over-the-top advertising and chasing marketers' lucrative TV ad budgets. But OTT isn't quite ready for primetime with advertisers.</p><p>Tech companies are aggressively pushing into TV and view <a href="https://www.businessinsider.com/investors-are-pumping-money-into-tv-measurement-startups-2018-9">the $70 billion industry</a> as ripe for changes in using digital data to better target and measure TV ads. For example, The Trade Desk has hooked its programmatic pipes into <a href="https://www.mediapost.com/publications/article/306288/the-trade-desk-is-all-in-on-ctv-ott-audience-tar.html">Hulu, Roku and Sony's Crackle </a>to sell automated ads. And Pixalate has shifted focus from sniffing out fraud on websites and apps to connected devices. All told, ad-buying firm Magna Global <a href="https://magnaglobal.com/magna-advertising-forecasts-fall-update-executive-summary/">expects OTT</a> to generate $2 billion this year, up 40% from last year.</p><p>However, a growing number of challenges - supply shortage, fraud, brand safety, limited data, a lack of production standards - threaten to limit the flow of ad dollars into streaming TV.</p><p>"We've definitely seen an increase in fraud being mentioned - either detection methods or ways of preventing than we have in years past," Eric Kirtcheff, SVP of global ad operations at Essence, told Business Insider. "There's been more light shined on the darker places of the internet, especially this quarter. There's still some work to be done."</p><p>At stake are big dollars for TV networks and publishers. Cord-cutting continues to grow and advertisers are increasingly asking for new tools to measure how effective their TV commercials are. As more viewing moves to connected TVs, <keyword id="6354777" type="COMPANY" weightage="60" keywordseo="Media">media</keyword> companies <a href="https://www.mediapost.com/publications/article/329131/hulu-to-launch-new-private-marketplace.html">like Hulu</a> and <a href="https://www.businessinsider.com/nbcu-will-sell-ads-in-shows-like-this-is-us-using-software-2017-9">NBCUniversal  </a>are increasingly selling ads programatically.</p><p><em><strong>Read more:</strong> <a href="https://www.businessinsider.com/scammers-attacks-connected-tv-and-ott-devices-2018-11">Scammers have accelerated their attacks on connected-TV and OTT devices, marking a whole new front for advertisers and publishers to combat ad fraud</a></em></p><h2>OTT has a scale problem</h2><p>Some agencies say that the demand for OTT inventory is outpacing supply, which is bad for advertisers and viewers alike - at least when it comes to high-quality, TV-like shows.</p><p>Kirtcheff said sellers try to make the most out of their premium video by bundling it with inventory that doesn't sell as well. The result is that OTT inventory is typically sold in bundles of web video packages that run across devices, web and mobile, so advertisers can't pinpoint the OTT inventory they're buying. </p><p>"We have all this sophisticated technology - pacing algorithms, frequency capping, audience targeting - but still my friends and family ask, 'Why do I see the same ad over and over on my OTT device?'" said Lexie Pike, product marketing manager at Brightcove, during the IAB Tech Lab's Video Summit conference in New York last week. Brightcove provides cloud software to publishers for serving video ads.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><p class="source"><span><a href="https://www.shutterstock.com/image-photo/cropped-shot-young-african-american-couple-431016091?src=JONMVw0SDWJOSB_roZ_uuA-1-0">Shutterstock</a></span></p></div><p></p></div></div></p><h2>Targeting is harder with OTT advertising than display ads</h2><p>With digital advertising, ad-tech companies target ads based on anonymous device IDs that house information on viewers' location, browsing history and interest. The targeting parameters are only based on data pulled from one device, meaning that advertisers can try to tailor specific messaging and creative to specific users.</p><p>OTT gets more complicated because website-tracking cookies are not as commonly used. Third-party data companies like Acxiom, Neustar and Nielsen Catalina power a large bulk of digital ads, but OTT advertisers can only use some of this data, <a href="https://www.iab.com/wp-content/uploads/2018/02/TV-Targeting_08082018.pdf">according to the IAB.</a></p><p>Plus, people watch TV together, which can thwart precise one-to-one targeting.</p><p>"There isn't always a one-to-one match between device and person," said Craig Berlingo, vice president of product at Telaria, which provides software for publishers to use to manage and monetize their video content. "When you're on the phone, a device is a person. If there's three people sitting on the couch watching Roku, that is lost on keeping that device ID as one person."</p><h2>Content is getting tougher to police</h2><p>Similar to how advertisers have struggled to control ad placements and fraud in digital advertising, they're having the same challenge in OTT. Several sources said it's hard to say how big of a problem brand safety is in OTT because of how big the space is becoming. Roku's app store, for example, has more than<a href="https://channelstore.roku.com/browse"> 5,000 channels,</a> up from <a href="https://www.cordcuttersnews.com/number-roku-channels-skyrocketing/">4,500 channels in 2017. </a>In addition to channels from major broadcasters like CBS, Bravo and Fox, there are also channels that only only stream<a href="https://channelstore.roku.com/details/139778/bellydancers"> belly-dancing content</a> or <a href="https://channelstore.roku.com/details/18127/dogtv-channel">DogTV, </a>which describes itself as a "<span>TV channel for dogs when home alone."</span></p><p><span><div class="KonaFilter image-container display-table"><div><div class="image on-image"><p class="source"><span>Roku</span></p><p class="caption">Roku's app store</p></div><p></p></div></div></span></p><p>That makes OTT a bit of a black box for advertisers.</p><p>"Given the fragmented nature of inventory and the lack of serving standards, consistent measurement is still challenging within OTT," said Rob Auger, SVP of media technology at Digitas. "It's less likely that bots are taking over your Hulu account, and more likely that fraudsters are mislabeling low-quality web impressions as premium CTV inventory."</p><p>With linear TV, publishers control the order and frequency that commercials run since they're organized into so-called pods. Similar to display advertising, streaming TV ads are purchased programmatically, making it harder for advertisers to control where their ads run.</p><p>Telaria's Berlingo said the lack of control means that his firm and others will often call publishers to hash out which ads run where - much like how TV ad pods are put together. Ironically, the back-and-forth defeats the idea that digital streaming ads are easier to target than TV ads.</p><p>"If you have a high-quality show, you don't want to have an ad that doesn't match," he said. "And from an advertiser perspective, you don't want your ad to be shown next to a competitors.' There's a lot of passing back and forth."</p><h2>OTT has an ad-fraud problem</h2><p>OTT is lucrative for media sellers and ad-tech companies. Programmatic OTT ad rates can range from $18 to $40, said Mark Douglas, CEO of SteelHouse, an ad-tech firm that provides self-service media-buying tools to brands. Those rates are nearly double what networks charge in direct deals because they charge additional fees to move the ads into connected devices, and buyers are willing to pay up for the promise to better target TV ads.</p><p>The high rates are seen as temporary because networks are still figuring out how to serve ads within connected devices. </p><p>"When you buy CTV and OTT inventory, there's a network, theres a supply-side platform, there's a demand-side platform, there are a bunch of additional charges," he said. "I think that's a temporary blip and those additional layers are getting ejected to bring the price back in line with closer to what the network is actually charging."</p><p>Meantime, these high CPMs attract fraudsters, said Amy King, VP of product at Pixalate, an analytics firm that specializes in uncovering ad fraud. The company estimates that 19% of OTT ads sold through programmatic pipes are invalid.</p><p>Fraudsters steal ad dollars two main ways, according to King:</p><ul><li>They serve a video ad using real-time bidding so that an ad plays during a break in the content, much like how programmatic display advertising works.</li><li>They use server-side ad insertion (or SSAI), which queues up ads to a server as soon as someone starts watching a video so there's no buffering or lag time waiting for an ad to load.</li></ul><p>Different methods are needed to detect fraud in SSAI than they are in the rest of OTT and the display, video, mobile world, she said.</p><p>For example, fraudsters can create fake IP addresses to create a spike in video ad impressions, or "device farms," which are similar to click farms that generate non-human traffic to devices. Even with TVs turned off, ads in the background can continuously load in the background for hours.</p><p>Thousands of apps are ripe for fraud because fraudsters can change the names and IDs of their apps. For example, if a marketer wants to advertise in an app, it's hard to know if the app is actually the same from one device to the next, King said.</p><h2>OTT shrinks ads into digital formats</h2><p>While TV ads are full-screen, OTT ads are often digital ads repurposed for streaming TV and don't render well on bigger screens.</p><p>"If it's pixelated or if an advertiser used an ad that's meant for a phone and then it's three feet tall [on a screen], that's not going to work," said Telaria's Berlingo.</p><p>Likewise, OTT's lack of standards frustrates production companies. </p><p>People who work in post-production roles are often the last set of eyes to see a commercial or show before it is sent to a network or streaming service. Then the media distributor will work with the post-production company on edits before it runs. With OTT, the same piece of work is often sent to multiple distributors, each with its own requirements for specs like the size of a pixel or audio level.</p><p>Trade organizations like the Association of Independent Commercial Producers (AICP), the Interactive Advertising Bureau and Ad-ID are <a href="https://www.ad-id.org/blog/joining-forces-tackle-challenges-cross-platform-video-advertising">working to create standards</a> for production companies. The goal is to create a digital version of a<a href="https://www.dpbestflow.org/video-file-delivery"> "mezzanine" file,</a> which serves as a master file format for all television content.</p><p>Danny Rosenbloom, vp of post production and digital affairs at the AICP, called during the IAB event for industry-wide production standards. AICP represents post-production companies like MediaMonks, Bob Industries and Epoch Media Group.</p><p>"Often in the process of delivering work, our members will receive two or three different audio files, one based on on one standard, one based on another, and the reliance is on the people on the receiving end of those files to figure out which one goes with which," he said. "That's a recipe for disaster - if someone puts a web [audio] mix on a spot for broadcast, it's going to be too high."</p>    <div class="margin-top">        <h3>NOW WATCH: <a href="https://www.businessinsider.com/telecom-isnt-moving-fast-enough-2018-12">The president of Turner knows what advertisers want, but says telecom isn't moving fast enough</a></h3>        <div>                    </div>    </div>

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