http://www.mercurynews.com/breakingnews/ci_5580010?nclick_check=1

It was recently announced that Google signed a television ad sales partnership with Echostar, a satellite-TV company. With their most successful invention of Generalized Second-Price Auctions in web-based advertising, they are looking to use their online selling techniques for selling TV ads.

         There are some capabilities that Google plans to implement into TV advertising. One of which is to display of the clickthrough rate, or the number of people who watched a commercial. Googld will also allow personalized preferences about the audience of the advertisement, the geographic area, or the time in which the ad would be displayed on TV.

        Second-Price Auctions proved very useful for web-based advertising, but could they make the same impact on TV-based advertising? The one big difference between the two is that TV-based advertising is about selling time slots, so the timing in which the auction begins and ends is even more important. This auction method will certainly optimize the seller’s payoffs while giving the consumers the opportunity to compete with each other to gain the ideal slot. Certain slots should be valued at a starting price, because time slots such as the Super Bowl commercials are already highly valued, while other slots do not deserve a starting price. Nevertheless, many people (Google stockholders) are confident that Google’s new implementation onto TV advertising will create huge revenue and success for the company.