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Apple Partnering with Inline Video Ad Company?

NewTeeVee claims that Apple has partnered with a small San Francisco-based video advertising startup named Podaddies. The extent of the deal appears to be developing advertising support for Apple's Quicktime and iTunes groups, and does not involve a direct financial investment.

Podaddies CEO claims that its technology is currently functioning on "connected iPod and iPhone devices" and is working on adding compatibility for disconnected devices. ("Connected" may refer to internet-connected like the iPod touch and iPhone.)

Previous reports have revealed that Apple has been exploring the possibility of in-line video advertising. In-line ads would be video advertisements that would play at the beginning, middle or end of the content itself. In previous discussion it had been suggested that this in-line advertising would presumably discount the cost of the media itself.

Ad supported media could also be add additional flexibility to Television and Movie distribution through the iTunes Store. NBC recently pulled out of the iTunes Store to launch their own distribution. Meanwhile, Hulu is another major industry initiative to offer ad-supported content to consumers directly.