CARLSBAD, Calif. (AdAge.com) -- Comcast's Xfinity is the most ambitious attempt so far to transfer cable TV's business model, which relies on both subscription fees and ad revenue, to the web.
Comcast today added another piece, announcing that Palo Alto, Calif.-based startup Auditude had already begun serving the video ads on Xfinity TV and Fancast, and will soon add Comcast.net as well.
Advertising is a key component of the "TV Everywhere" concept, where cable operators allow their subscribers to have access to cable shows on the web. Initially, shows will carry the same ads as they did on TV, but with Auditude, Comcast adds the ability to insert targeted ads to consumers.
It's a big deal for tiny Auditude, which currently works with MySpace, Viacom and Major League Baseball. Competing startup FreeWheel has ad serving deals with Time Warner, CBS and music video service Vevo.
We talked to CEO Adam Cahan at the Interactive Advertising Bureau annual meeting in Carlsbad, Calif.