YuMe Gets Microsoft’s Unsold Inventory

YuMe said today it had scored a deal to provide video ads for Microsoft. There hasn’t been a ton of high-profile adoption of video advertising startups’ tools, so even though the arrangement only covers Microsoft’s unsold inventory, it’s a good validation. The ads are supposed to launch “this summer” (which is clearly already in effect given recent temperatures!).

YuMe focuses exclusively on video advertising, such as pre-roll, mid-roll, post-roll, and overlay, and is capable of showing ads on content that’s downloaded as well as streamed. It will provide both sales and network management tools for Microsoft. Microsoft sites placed fifth among U.S. online video properties in comScore’s latest measure, with 25 million unique viewers.

YuMe previously had a deal with Microsoft to show ads on Internet content it provided on Windows Media Center. The Redwood City, Calif.-based startup has more than $16 million in funding from Khosla Ventures, Accel Partners, and BV Capital, and DAG Ventures. Its competitors include Adap.tv and ScanScout. CEO Jayant Kadambi spoke at our NewTeeVee Live conference last year.

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