Digital video commercials accounted for 3 percent of U.S. Internet advertising revenue in 2008, according to a report released today by the IAB. The category brought in $734 million, up from $324 million in 2007.
But that’s just counting “TV-like advertisements…in a player environment,” so it doesn’t quite describe the online video revenue related to sponsorship, product placement and overlays. All sorts of sponsorship, including videos, brought in $387 million in ’08, while rich media ads brought in $1.64 billion overall.
The top-line takeaway was $23 billion in total ’08 revenue, reflecting continued but slowed growth from previous years. You can download the full ad revenue report here.

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