The use of text ads means Google has a large pool of advertisers to draw on for the new units.
The superimposed approach seems more visitor friendly than inserting pre-roll ads: who wants to watch a 15 second ad before they can see a 60 second clip?
Like regular embedded YouTube clips, the ads do not play until the visitor clicks on them, and the superimposed ads can be minimised in height to be less intrusive. Ads may be targeted to the content of the site and the video, or to the specific site. Payment may be based on clicks or impressions, but Google did not indicate how the revenue will be divided between itself, the site publisher and the video provider.
Publishers may choose to display only videos from particular categories or from specific providers. Launch content partners include TV Guide Broadband, Expert Village, Mondo Media, lonelygirl15, Extreme Elements, and Ford Models.
"This new program is a scalable and cost-effective way to distribute content online, creates a new revenue opportunity for publishers and content owners, and helps advertisers reach their target audiences in new and innovative ways," said Google officials. "It will also allow AdSense publishers a unique way to enhance their sites with fresh, dynamic content."