At first glance, opportunities for new providers to grab significant ad revenue generated by linear, multi-channel video would seem promising. According to Nielsen Online, about 24 percent of current ad spending goes to cable television.So telcos ought to be able to tap a significant share of that revenue at some point, the logic would be.
The issue is that most of the cable television ad revenue is captured by programming networks, not by cable companies. Cable companies get about seven percent of their revenue from advertising.
If one looks at the share of online video ad revenue, Internet gets about seven percent. Same issue there: nearly all that revenue is earned by application providers; very little by ISPs.
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