Google announces AdSense for video
Now NewTeeVee reports that Google is preparing to launch an improved version of its video ad units. The new ads will be in-video ads, showing up as pop-up overlays over the top of your video. Publishers will be able to decide whether or not to display ads and where they should appear in a video. Advertisers will be able to publish either short text or video ads that will show up in a video.
Like Google's text and image-based ads, they'll be chosen based on the other content of the web site. But they'll also be paired with relevant videos, which is a bit trickier to accomplish since it's not easy for a computer to decide what a video is about. But then if you've ever noticed completely irrelevant ads popping up in your Gmail, you know that's nothing new.
Update: Google has posted some more info on the company blog, including a link to Google's new video advertising page.