Apple new iPod+iTunes Music Store ad-free TV show downloads give advertising industry chills

“Apple’s latest iPod, a video-enabled music player that serves up some of America’s hottest television shows without commercials, will probably prod advertisers into getting serious about finding a foothold in portable media players, media buyers have said,” Reuters reports. “The announcement sent a new chill through an advertising industry struggling to reach consumers amid an explosion of media outlets. ABC and rivals like Viacom’s CBS are seeking new ways to deliver entertainment out of the television box, whether on the Internet or with new devices.”

Reuters reports, “With television audiences slipping, marketers question why they should pay top dollar for commercials on programmes that can be watched ad-free a day later. ‘It’s a great concern to advertisers,’ said Jason Maltby, co-president of national broadcast for media buyer Mindshare, part of WPP. ‘Why spend a couple of hundred thousand dollars for an ad unit on Desperate Housewives? The value keeps eroding.'”

“Other experts argue that ABC will pick up new viewers for its shows on the video iPod rather than harm existing ratings. Such technology-forward users have already tuned out the normal prime-time television schedule, they say. Apple has said it won’t allow advertising on its iPod platform, but some experts wonder how long it would hold off on a lucrative new revenue stream. A company representative was not immediately available,” Reuters reports.

Full article here.

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Related articles:
NY Times Pogue: ‘watching video on new iPod’s 2.5-inch screen is completely immersive’ – October 19, 2005
MSNBC columnist: after initial coolness wears off, Apple’s video iPod will wind up in dresser drawer
Apple’s $1.99 iTunes TV show downloads may be ‘the savior of good television’ – October 17, 2005
Apple opens Pandora’s box for the media business, could have profound long-term consequences – October 17, 2005
BofA analyst: Apple video play an ‘evolutionary opportunity,’ 9.3m iPods to be sold this quarter – October 17, 2005
Apple has the potential to change not just the audio industry, but the whole entertainment industry – October 17, 2005
Advertisers welcome Apple’s iTunes Store commerical-free content – October 17, 2005
New York Times writer can’t think different: ‘video iPod may not be ready for prime time’ – October 17, 2005
Podfather: iPod porn is going to be huge – October 14, 2005
Forrester Research: Apple transformed music distribution, now it is doing the same for video – October 14, 2005
Watching episode of ABC’s ‘Lost’ on 2.5-inch iPod screen surprisingly compelling – October 13, 2005
Get ready for the iPod video torrent search sites – October 13, 2005
Apple’s new iMac G5, iTunes 6, iPod video designed to bait Hollywood – October 13, 2005
Apple video iPod+iTunes could create mass audience for video on the go, despite studios’ misgivings – October 13, 2005
Using QuickTime Pro to create videos for playback in new Apple iPods – October 13, 2005
Analyst: Apple has just produced ‘the tipping point’ for entertainment content – October 13, 2005
Apple’s video play likely to unsettle movie, TV, advertising and retail markets for years to come – October 12, 2005
Apple unveils new 5th generation iPod, now plays music, photos, and video – October 12, 2005


  1. Gee, NO commercials? I think I’ll die!

    Personally, I HATE commercials and MUTE them as fast as I can!

    I’m just not the kind of consumer ads target, so why should I allow myself to be assaulted by them? I don’t buy cars or shop in grocery stores, drink watery beer, eat fast food and try to avoid chain retailers if at all possible.

    Maybe Apple will let us APY to download commercials. Will this make the folks at ADWeek happy?

  2. “Apple has said it won’t allow advertising on its iPod platform . . . “

    Ohhhh, how SWEET that would be. Force the giants of advertising to adopt to the new paradigm(s).

    I love it. iTunes video downloads pushing television to become better by allowing people to pick and choose. DVD’s (and soon downloadable films) pushing theaters to actually provide us with . . . GASP! . . . a decent moviegoing experience! Oh my — what more will these burgeoning technological advances bring us? One can only dream.

  3. If the TV advertisers are smart, they’ll retort by making better ads and keeping them refreshed so people will be interested in them. This old bullshit about burning it in with constant dreary repitition is a real insult to viewers. Good to see those TV ad companies in the hot seat now. It was about time they got a poke in the eye. I’m glad they got it from Apple, too. lol.

  4. People are already NOT watching commercials.

    Over 40% of my office has a DVR via the cable company.
    One of the best features is the ability to time shift, or the ability to fast forward through commercials.

    I haven’t watched commercials on anything but football in over 18 months. In fact, anyone with a a Tivo, El Gato or the cable dvr has had the ability to not watch commercials for quite some.

    Why the big deal with the commercial-free content?
    We are already not watching commercials!

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