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CinemaElectric adds ads to videos: Mobile-video firm signs deal with YouTube, Google for AdSense program

CinemaElectric Inc. is quickly finding its groove in the mobile video space. With more than half of its content produced in-house, the company has inked deals with 90 carriers in more than 50 countries to bring its programming to the third screen.
Last week CinemaElectric announced a deal for several new advertising initiatives with YouTube and Google Inc.’s AdSense program. Initially CinemaElectric will introduce ad overlays, which will consist of short text boxes that will be inserted into the videos, but it plans to eventually progress into pre-rolls and interstitial advertisements.
“We have one of the largest collections and libraries of mobile video content,” CEO Adam Levin said in an interview with RCR Wireless News. “What’s really important as mobile video progresses is the trans-carrier type of distribution network that will be vital for advertisers.”
The company’s focus is primarily centered on made-for-mobile content, with the bulk of work conducted at its facility in Los Angeles. The remaining content is either acquired or licensed directly through third parties.
“We’re one of the few independents left and the way we view it is there’s always going to be a role for independent producers and content,” said Ken Willner, executive VP at the company.

Size matters
Levin believes snack-sized video content is where the sweet spot lies for mobile. “It’s a much different behavior than if someone was to watch their content at home,” he said. The company has spent a lot of time and money on re-packaging long-form content into short clips that will play quickly in the mobile environment.
In that aim, CinemaElectric is currently slicing and dicing its way through a trove of unique Bruce Lee and Jackie Chan films and rare interviews that it’s preparing to distribute worldwide. The licensing deal with Singa Home Entertainment includes the use of classic fight scenes from more than a dozen films.
“I think there are two parallel paths. We are clearly in the on-demand path today. We’re not ready to announce anything in live video today, but certainly we’re exploring . long-form programming. We would like ultimately to play in both spaces,” Willner added.
“As a company, we’re pretty comfortable that the video-on-demand model is here to stay,” Levin said. “Even when you look at Verizon’s mobile TV service, I would have thought 18 months ago that the (broadcast) mobile TV platform would replace the (on-demand) Vcast video platform.”
Levin is most excited about the promotion opportunities inherent in the new deal. “We’re really working on distribution,” he said. “We feel we’re really taking the company to the next level.”

International play
CinemaElectric is also dubbing some of its content in other languages to push further into markets outside the United States. The company has a deal with Warner Bros., for example, which allows it to distributed “Looney Tunes” content in Latin America, where it claims it’s experiencing significant interest.
CinemaElectric already has its content playing on Verizon Wireless, Sprint Nextel Corp. and mobile virtual network operator Helio L.L.C., and plans to launch on AT&T Mobility soon.

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