T-Mobile launches with Rhythm NewMedia’s ad-funded mobile video service

August 8, 2007

T-Mobile is making its first foray into advertiser-funded programming via a free-to-view video service backed by brands including Lynx, Nivea and Emap's Heat magazine.

The mobile network operator has formed a partnership with Rhythm New Media that will enable its customers to watch news, entertainment, celebrity gossip features and film clips for free.

The service, available via the T-Zones mobile internet portal, will be supported by a series of TV-style ads that will run before and after each clip. Before using the service for the first time, T-Mobile customers will be asked to submit basic demographic data to ensure that the advertising
they receive is relevant to them.

Rhythm New Media will be responsible for selling the ad inventory around the video clips, as well as serving all the commercials available on the platform.

The company will also regulate the frequency of ads, allowing brands to predetermine how many times a consumer sees a specific execution. The T-Mobile deal comes just months after rival network operator 3 UK moved into ad-funded mobile content for the first time. It forged a similar partnership with Rhythm New Media to make a series of video clips available for free on its Planet 3 portal.

3 is understood to have hosted 6m videostreams for 600,000 subscribers since launching its service in April. The company is now considering adding music videos to the offering.

T-Mobile has been experimenting with ad-funded mobile content for some time, making games and video clips available to customers who agree to receive pre- and post-roll ads.

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