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Google chief predicts 'big shift' to online video advertising

Photo for this news articleAdvertising revenue to move from TV to online video over next three to five years, it is claimed.

Online video advertising is set to bring in billions in the coming years, an expert at Google has claimed.

According to Reuters, Google's president of global sales operations and business development Nikesh Arora said: "The one big shift we're going to see in the next three to five years is going to be video advertising."

Speaking at the Reuters Global Media summit in New York, Mr Arora cited the $200 billion (£122.5billionn) TV advertising market as evidence of the potential of online.

"If you believe there's a big consumer shift going on, the advertising dollars will have to follow," he said

It has also been reported that Google is to start charging for full length videos of TV programs on YouTube. For $1.99 (£1.22), users will be able to watch videos advert free.

Google bought video website YouTube in 2006 for a reported $1.65 billion (£1bn), placing online video as a key part of its agenda.

Last week it was announced that YouTube would start to offer a new "feather" service which would allow people to view videos at a lower bandwidth.

Currently only available on the specialist TestTube section of the site, the new service could be fully rolled out if it proves popular.ADNFCR-2863-ID-19498274-ADNFCR
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