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RICHARD COLE
RespondTV has signed non-exclusive agreements with OpenTV and WorldGate Communications to allow the middleware companies to move interactive content and e-commerce through existing digital set-top boxes.
"What this is doing is expanding our platform reach," says David Kaiser, CEO/founder of RespondTV, which already has arrangements with Liberate, Microsoft and other major companies. "The message to advertisers is that you can create your interactive advertisment target for the boxes that are already out there."
The technology allows an easy transition to the next generation of boxes as well, Kaiser adds.
RespondTV, which is paid per click by programmers, has aired enhanced programming and advertising for clients ranging from Bloomberg Television to Domino's Pizza.
OpenTV, with software installed in 10 million set-tops around the world, is bullish on the deal but cautious about how soon subscribers will be able to click on a Domino's ad and order pizza via TV.
Mike Rogers, OpenTV's VP-corporate development, says the engineers are just now sitting down to hash out the technical issues.
"I don't know exactly when we're going to roll this out," he says. "It's a five-year deal. We've got to get a product done, and it's Respond's first venture into Open code."
The company believes it's worth the wait. The partnership will allow advertisers and programmers to write code just once and have their ads distributed across multiple platforms, making the process easier and cheaper, Rogers says.
RespondTV's other new partner, WorldGate, has deals with 34 MSOs across the United States. Unlike OpenTV, WorldGate is ready to roll out RespondTV's interactive capabilities as soon as programmers give the signal, says Gerard Kunkel, WorldGate SVP.
Initially subscribers will see only a modest increase in interactive content. WorldGate thinks e-commerce and interactive ads will take off when the number of users reaches critical mass - a figure that could be as low as 30,000 or 40,000 in many cities, Kunkel says.
What do subscribers and advertisers get from the deal?
Ralston Purina recently aired an ad for Puppy Chow that allowed viewers to click on an icon for a free puppy care kit. In return, the sponsor received the e-mail addresses of all dog owners who responded to the ad - a win-win, RespondTV spokesmen say.
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