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From Apryl Duncan, for About.com

YouTube Tests Waters With In-Video Ad Format

Friday July 6, 2007
YouTube.com's working on in-video advertising that puts a small banner at the bottom of the video you're playing. It appears a few seconds into the video and the user can either click on it to see the ad or minimize the ad instead. If you watch the ad, the original video pauses until the ad is finished so you don't lose your place and have to start all over. The Google-owned company hasn't integrated this type of advertising into all of its videos and trying to find videos with ads is a search for the proverbial needle in a haystack right now. While most people would probably like to skip dealing with ads in the first place, YouTube's found a relatively unintrusive way to advertise to viewers.
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