Most video, social networking, gaming, virtual worlds and Web 2.0 applications base their business models on advertising revenues. Problem is, users normally focus on the information in the center of the web page and disregard the sidebars — which is where most ads are placed.

Israeli startup TicTacTi offers in-video advertising for advertisers and publishers that tackles this problem. The company offers two categories of in-video ads: product placement (see image above) and standard ad units (see image to the left). In both cases, the ads are placed using a photomontage overlay layer that is detached from the original video source.

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