Verizon FiOS has signed on as *Google* TV Ads’ latest partner. While this is certainly good news for the three-year-old service, which Google (NSDQ: GOOG) created to offer targeted ads through set-top boxes, it does highlight the contrast in the appeal of Google TV Ads to satellite and telco companies, as major cable providers still appear resistant.
The addition of Verizon FiOS TV gives Google TV Ads access to over 50 networks on its fiber-optic system across 3.3 million homes.
In a post on the Google TV Ads blog, Mark Piesanen, director of strategic partnerships, says the service will be able to reach 35 million households, or almost one-third of all US cable and satellite homes by early next year.
The deal with Verizon follows the August deal Google TV Ads struck with DirecTV (NYSE: DTV), the number one satellite TV provider. While that added another 18.7 million homes to the Google targeted ad service, the structure was fairly limited, covering only 11 channels on DirecTV’s system. The Dish Network (NSDQ: DISH), DirecTV’s primary rival, was one of the earliest companies to try out Google TV Ads.
Google TV Ads isn’t the only front the search giant has sought to expand its reach from the PC to the TV set. Last May, it previewed its separate Google TV platform. But that launch has been complicated with resistance from networks such as Fox, ABC (NYSE: DIS), CBS (NYSE: CBS), NBC (NYSE: GE) and Hulu.
Nevertheless, given Google’s strength and tenacity, especially when it comes to advertising, the setbacks won’t slow it down much. However, it does demonstrate the limits of Google power and even if it does sign up some major MSOs to Google TV Ads, given the gold rush that is addressable TV, it’s hard to imagine it dominating that space the way it has reigned over internet search.
Update: I asked Piesanen about progress on talks between Google TV Ads and the major MSOs. He told me that Google is talking to all “multichannel video programming distributor,” which pretty much covers all the big and small cable operators.
“Our first deals have been with satellite and telco largely because they tend to insert on more networks so there is a bigger pie of inventory to talk about at the outset of our discussions,” Piesanen said. “An MSO may only sell ads on a subset of the networks they carry. Verizon FiOS, DIRECTV and Dish all sell ads on most if not all of the networks they carry.”
So how much inventory will Google TV Ads have access to through Verizon FiOS. “Through our deal with FiOS, we will get a portion of spots across over 50 networks on all dayparts,” he said. “We will have an even rotation of dayparts on these networks.”