Viacom signs on Intel, Pepsi as mobile advertisers
ORLANDO, Florida (Reuters) - Media conglomerate Viacom Inc. said on Wednesday its MTV Networks signed on Intel Corp. and Pepsi-Cola North America as the first advertising sponsors for its programs delivered on cell phones.
Viacom Chief Executive Philippe Dauman announced the deals at the CTIA wireless showcase in Orlando, Florida.
Wireless and media companies are betting that mobile entertainment will gain momentum among subscribers in 2007, offering advertisers a new way to reach consumers and cell phone companies an additional revenue stream.
"We believe advertising can work on the wireless platform. Indeed we view it as a critical medium," Dauman said during a keynote speech at the conference.
Viacom sends 1 million video streams to mobile phones every month, Dauman said.
Intel and Pepsi brands will be featured on mobile channels dedicated to MTV's music and youth programming as well as the content of Comedy Central. Viacom said it was the first time it had offered advertisers the opportunity to link their brands to its mobile programming.
The company said it had also expanded a deal to show its programming on Sprint Nextel wireless service, with 14 live and video-on-demand channels.
MTV aims to launch new mobile Web sites for its Nickelodeon, Spike TV and TV Land channels starting in the second quarter.
Viacom's Comedy Central will also offer a mobile video game based on its popular "South Park" cartoon series. "South Park 10: The Game" will be available on most major wireless carriers in the United States and Europe in the first week of April, the company said.
Viacom Class B shares fell 42 cents, or 1 percent, to $40.48 in midday trading.
