Break Google's Round "D" investment in INVIDI Technologies

Google Ups Its TV Bet, Invests in Invidi

by Peter Kafka
Posted on May 5, 2010 at 4:00 AM PT

Google, which is still trying to figure out how to crack the TV business, has invested in a tech firm trying to do the same thing.

The search giant is leading a $23 million series D round in Invidi Technologies, a New York City company that works on “addressable” TV ads. Addressable ads are supposed to target specific viewers, using data from set-top boxes, in the same way that Internet ads sniff out specific Web surfers.

You can see why Google (GOOG) would be interested in this stuff, particularly as it tries to integrate its Android platform with TVs. Shishir Mehrotra, who runs product management for all of Google’s video businesses, will join Invidi’s board.

Addressable ads are a holy grail for the TV business, but they may still be several years away. Invidi, founded in 2000, has completed two market trials to date.

People familiar with the transaction tell me Google has invested between $10 million and $15 million in company in this round, which brings Invidi’s total capital raised above the $85 million mark. Other investors include WPP’s GroupM, Motorola (MOT), Menlo Ventures, InterWest Partners and EnerTech Capital.

Business Insider, which first reported the investment, says the transaction is connected to Google’s ad pact with the Dish satellite network. But I’m told Dish doesn’t factor into the deal.

++++

Google Invests In Invidi, Addressable TV Play

Posted May 5th, 2010 at 8:14 am by Joe Mandese

GroupM backed addressable TV developer Invidi Technologies Corporation says it just secured over $23 million in a financing led by Google, with GroupM (a unit of holding company WPP), Motorola Ventures, and leading venture capital firms Menlo Ventures, InterWest, and EnerTech as participants.

Google leads the round, which includes a second investment made by GroupM, the world’s largest media investment company, and Motorola, a leading set top box manufacturer. Other participants include repeat investors from INVIDI’s prior rounds of financing: Menlo Ventures, InterWest Partners, EnerTech Capital, Westbury Equity Partners, BDC Capital, and others.

As part of Google’s commitment to this new relationship, Shishir Mehrotra, Director of Product Management for Google TV Ads and YouTube Ads, has joined INVIDI’s board of directors. In addition to its investment in INVIDI, the two companies have agreed to work together on projects of mutual interest that will bring value to INVIDI’s customers.

++++

Google Leads $23 Million Round In TV Ad Startup Invidi

by Leena Rao on May 5, 2010

TV ad startup Invidi has secured over $23 million in series D funding led by Google, with GroupM, Motorola Ventures, Menlo Ventures, InterWest, and EnerTech Capital, Westbury Equity Partners, BDC Capital participating in the round. The Business Insider broke the news yesterday evening.

Invidi provides software applications that track targeted advertising and offers a digital set-top box application that delivers targeted advertising and marketing messages to individual viewers. The technology also facilitates the sales of digital products, digital tiers, and digital services, such as VOD, PVR, and pay-per-view events; Internet, voice, and wireless services; and triple play offers.

In conjunction withe the funding, Shishir Mehrotra, Director of Product Management for Google TV Ads and YouTube Ads, has joined Invidi’s board of directors. In addition to its investment in Invidi, Google has committed to working with the startup on a number of products relating to TV advertising. Of course, it is expected that Invidi’s technology could be integrated with Google’s development of an Android-based software for TVs.

Founded in 2000, Invidi currently has distribution agreements with Dish Network and DirecTV. Invidi’s technology was recently tested in Comcast’s Baltimore, MD, system with Starcom MediaVest, and the trial showed addressable ads to be 65% more efficient and 32% more effective.

Google just shared updates on its venture arm, Google Ventures, and announced additional investments in mobile payments startup Corduro.

++++

Invidi Technologies Gets $23 Million Fourth Round From Google, GroupM

TV ad targeter Invidi Technologies has netted a huge

$23 million fourth round led by Google (NSDQ: GOOG) and WPP media unit GroupM. When WPP first invested in Invidi almost three years ago, its backing of the Princeton, NJ-based ad delivery system was considered a way to blunt Google’s moves into TV ad targeting. Now, the partnership can be seen as a way for Google to speed up its efforts in that area, which have been fairly slow-going.

As part of Google’s involvement, Shishir Mehrotra, Director of Product Management for Google TV Ads and YouTube Ads, has joined Invidi’s board. In addition to its investment in Invidi, the two companies have “agreed to work together on projects of mutual interest that will bring value to Invidi’s customers,” though no specifics were provided.

In addition to WPP, Motorola (NYSE: MOT), which participated in the last funding, also returned. Other backers in this latest round included Menlo Ventures, InterWest, EnerTech, Westbury Equity Partners, BDC Capital, and others.

++++

Google Invests in Invidi

The firm develops addressable TV technology

May 5, 2010

- Steve McClellan

Google is the lead investor in a new $23 million round of financing for addressable technology firm Invidi, the companies confirmed today.

It's the first time the search engine giant has invested in Invidi, which specializes in systems that enable TV ad sellers to distribute ads to select groups of viewers, down to the individual household level. Google began selling TV ads several years ago and has indicated in recent months that it remains committed to that business, both through Google TV Ads and subsidiary YouTube.

The companies already share a common connection: Dish Network. Google TV Ads has an ongoing arrangement to sell Dish inventory, while Dish is participating in a trial of Invidi's ad delivery system.

Other investors in the financing round include WPP's GroupM, set-top box maker Motorola and venture capital firm Menlo Ventures, InterWest and EnerTech. It's the second investment made by GroupM in Invidi.

"Google and GroupM share our vision that addressability will transform television advertising by increasing effectiveness and eliminating wasted reach," said Invidi CEO David Downey. "They want to play an active role in shaping this revolution."

As a result of the investment, Shishir Mehrotra, director of product management for Google TV Ads and YouTube Ads, has joined Invidi's board of directors.

In addition, the two companies said they would work together on "unspecified projects of mutual interest." The companies declined to identify the projects at this time.

"Invidi Technologies is actively advancing the growth of addressable technologies, which brings more relevance to TV viewership and advertising," Mehrotra said. "We're happy to join Invidi's investors, and we're looking forward to seeing continued progress in this space."

GroupM CEO Irwin Gotlieb, who also sits on the Invidi board, said about the new funding: "GroupM strongly believes that addressable technology and advanced advertising functionality are critical to the future of television and other media." As an industry leader in the buying and planning of TV ad time, he said, "we have a responsibility to our clients to act as a catalyst on all developments in this arena, and our continued investment in Invidi reflects this objective."

++++

MULTICHANNEL NEWS: "Google Takes Stake in Targeted-Ad Firm Invidi"
CLICKZ: "Google Takes Another Step Into TV Ads With Startup Investment"
NEWTEEVEE: "Google Boosts TV Ads With Invidi Investment"
VATOR.TV: "Invidi Lands $23 Million From Google"
SOFTPEDIA: "Google Invests In TV Ad Startup Invidi"
ELECTRONISTA: "Google hints at TV set-tops, funds Invidi"
WEB PRO NEWS: "Google Leads Invidi Technologies Funding Round"

My concept for BrandIndex about Microsoft vs. Apple advertising turns into large Advertising Age story, then goes viral around web

In Mac vs. PC Battle, Microsoft Winning in Value Perception

View Has Shifted Dramatically Among Young Demo Since 'Laptop Hunters' Campaign

NEW YORK (AdAge.com) -- Apple may have some of the most interesting online ads we've seen in a while, but Microsoft's recent push to paint the competitor as pricey is starting to work, according to data from BrandIndex.

The perceptions of value the two brands offer has shifted dramatically in the eyes of 18- to 34-years-olds since Microsoft began running its "Laptop Hunters" campaign in late March. Apple's "value perception" has fallen considerably, while Microsoft's has risen.

The latest push documents several people hunting for a laptop, with the promise that if they can find everything they're looking for in a laptop for less than $1,000, the marketer will pay for the computer. The chosen ones shop both Windows-based PCs and Apple products before, naturally, finding what they need for the right price in a PC.

Based on daily interviews of 5,000 people, BrandIndex found the age group gave Apple its highest rating in late winter, when it notched a value score of 70 on a scale of -100 to 100 (a score of zero means that people are giving equal amounts of positive and negative feedback about a brand). But its score began to fall shortly after and, despite brief rallies, hovers around 12.4 today.

Microsoft, on the other hand, has risen from near zero in early February to a value-perception score of 46.2.

Cost-focused demo
To determine a brand's value score, BrandIndex asks consumers whether they believe they get a get good value for their money.

It's among young people that Microsoft's campaign is having the biggest and most sustained impact, said Ted Marzilli, global managing director for BrandIndex at consumer polling service YouGov. And that might have something to do with younger people tending to earn less money.

"Apple had a pretty big advantage, historically, when we look at our data," said Mr. Marzilli. "Apple did a great job of putting Microsoft on the defensive. It made them look old, stodgy, complicated to use and unhip. But Microsoft has started to hit back, and younger folks are more cost- or value-focused.

Among 35- to 49-year-olds, Microsoft saw a big jump around the second or third week of the campaign and momentarily overtook Apple; at the same time, Apple's "value perception" took a dip among this age group. Today, however, Apple is back on top. Among 50-plus consumers, the two brands are virtually neck and neck.

It's not just the economy that's shifting people's views of the two companies. As the data show, Apple led Microsoft in terms of value perception among the 18-to-34 crowd far after the financial crises really became hot and heavy in September 2008.

Strong campaign
"It would be very unusual for Microsoft's score to be increasing this much and Apple's to be decreasing without some sort of event driving that, like a major campaign that's particularly successful," said Mr. Marzilli.

"Laptop Hunters" is the latest execution of an estimated $300 million ad blitz from Crispin Porter & Bogusky that began last fall with humorous spots starring Jerry Seinfeld and Bill Gates.

Microsoft credited its ad campaign with helping it maintain strength in the consumer software market despite the recession. In a recent earnings call, it cited a 10% increase in preference to Windows PCs since the campaign launched.

++++

BRANDINDEX RESEARCH FOR MICROSOFT VS. APPLE AD CAMPAIGNS THEN APPEARS (WITH CHARTS) IN...

ZDNet
Wired News
CNET
Silicon Alley Insider
BNET
CrunchGear
DailyTech
Fast Company
AllThingsD (Wall Street Journal)
Technologizer
and many others....