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Article

Title: Cable Firms Try to Paddle Together

Author: Grant, Peter; Steel, Emily Article Type: Product Analysis
Source: Wall Street Journal, v250 n75 pB3(1) Publication Date: Sep 28, 2007
  ISSN: 0193-2241
URL of Publication: http://www.wsj.com

The cable industry is now attempting to standardize the technology in cable distribution centers across the country to make it easier for advertisers to buy ads. Once the initiative, code-name 'Canoe,' is completed, advertisers will not have to format their commercials differently for each operator as is now the case. Cable operators are betting this will increase the share of advertising dollars coming their way. Cable companies will also be able to offer interactive ads, and some operators, including Charter Communications Inc., already do. Advertisers are very interested in these ads, but await the standardized technology. The companies, who have largely finished their push into telephone service, hope this will be a new source of revenue. 'Canoe' is being led by Steve Burke, chief operating officer at Comcast, and Landel Hobbs, who holds the same position at Time Warner Cable. The cable industry may also create a national ad-sales organization, and is planning a number of events to promote the power of interactive advertising. Representatives also recently met with ad buyers from both of the national political parties to encourage campaign advertising on cable, and cable companies are considering creating an on-demand channel devoted to the 2008 elections to further encourage political advertising. Before this initiative, cable companies largely sold to local advertisers. It is expected that it will be many years before 'Canoe' is completed, and the cable industry's advertising goals are met.

Companies:
Charter Communications Inc Comcast Corp
Time Warner Cable Inc

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