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With the flood, comes the feast. Advertising dollars are pouring into online video. Some of the largest online video ad networks are seeing revenue growth accelerating this quarter, and expect the fourth quarter to be even bigger. “Last year we grew 40%, this year we are growing 90%,” says Keith Richman, CEO of Break Media. He expects Break’s total revenues in the third quarter, which include more than just video advertising, to be well above $10 million for the first time.

Tremor Media, which is one of the largest video ad networks and second only to Hulu in the number of video ads it serves, is also seeing a doubling of ad revenues. “It has reached a frenzy point over last three quarters.” CEO Jason Glickman tells me. “We see television dollars moving to online video,” he declares. The fourth quarter “is lining up to be a monster,” and next year Tremor’s revenues are on track to top $100 million for the year.

TV advertising still dwarfs online video, with about $70 billion spent on there in the U.S. Online video advertising is estimated to reach $1.5 billion this year, up from $1 billion last year, according to eMarketer. “Our share of the $1 billion or $2 billion pie for online video is insignificant compared to the budgets that are coming over,” says Glickman.

Relatively small shifts in advertising budgets from TV to online can create huge swings in growth for online video. eMarketer estimates that online video advertising will grow 48 percent in 2010, accelerating from 39 percent growth last year (which was a weak year compared to the 127 percent hypergrowth in 2008). But judging by what Tremor and Break are seeing that $1.5 billion estimate might prove to be conservative. Glickman expects revenues next year to top $100 million. Caveat: treat their experience as anecdotal snapshots of the industry which happen to match.

It very well may just be the big ad networks and properties like Hulu that are seeing the vast majority of new ad dollars. “If you are not in the top 10 on comScore you will have a tough time, notes” Richman, “money goes to the guys who are big.” TV advertisers want to match their reach on TV, and online video that is deemed to be safe, professional content is starting to get to those levels. It is not American Idol,” says Glickman, “but it is like a large cable network.” Advertisers can’t yet reach 30 million people in an hour with a single media buy online, but they can reach that many people over the course of a week, and they can target to specific demographics and get some feedback on how the ads are performing, which TV advertising still can’t do very well.

Advertisers are becoming increasingly comfortable with putting their video ads online. Hulu, which may be filing for an IPO, is the largest beneficiary of this trend. If an advertiser already puts ads against House or The Office on TV, it is a no-brainer to match that online on Hulu. But they are also beginning to trust the larger video ad networks like Tremor and Break, which put ads against a wider range of professionally-produced video from guy videos to sports clips and movie trailers.

“I have never seen test budgets that start at half a million dollars,” says Glickman. Usually ad agencies start testing with one tenth as much. Also, he is seeing about a dozen larger commitments in the double-digit millions over the course of the year, deals he calls “online video upfronts” because they are negotiated in advance like regular TV upfronts. According to comScore, Hulu showed the most video ads in July with 783 million, but Tremor came in second with 452 million video ad views.

Video is definitely shaping up to be a large and growing business for the bigger players and ad networks, but will those advertising dollars trickle down to the smaller guys as well?

Photo Credit: Flickr/ Cathy Stanley-Erickson.

With the flood, comes the feast. Advertising dollars are pouring into online video. Some of the largest online video ad networks are seeing revenue growth accelerating this quarter, and expect the fourth quarter to be even bigger. “Last year we grew 40%, this year we are growing 90%,” says Keith Richman, CEO of Break Media. He expects Break’s total revenues in the third quarter, which include more than just video advertising, to be well above $10 million for the first time.

Tremor Media, which is one of the largest video ad networks and second only to Hulu in the number of video ads it serves, is also seeing a doubling of ad revenues. “It has reached a frenzy point over last three quarters.” CEO Jason Glickman tells me. “We see television dollars moving to online video,” he declares. The fourth quarter “is lining up to be a monster,” and next year Tremor’s revenues are on track to top $100 million for the year.

TV advertising still dwarfs online video, with about $70 billion spent on there in the U.S. Online video advertising is estimated to reach $1.5 billion this year, up from $1 billion last year, according to eMarketer. “Our share of the $1 billion or $2 billion pie for online video is insignificant compared to the budgets that are coming over,” says Glickman.

Relatively small shifts in advertising budgets from TV to online can create huge swings in growth for online video. eMarketer estimates that online video advertising will grow 48 percent in 2010, accelerating from 39 percent growth last year (which was a weak year compared to the 127 percent hypergrowth in 2008). But judging by what Tremor and Break are seeing that $1.5 billion estimate might prove to be conservative. Glickman expects revenues next year to top $100 million. Caveat: treat their experience as anecdotal snapshots of the industry which happen to match.

It very well may just be the big ad networks and properties like Hulu that are seeing the vast majority of new ad dollars. “If you are not in the top 10 on comScore you will have a tough time, notes” Richman, “money goes to the guys who are big.” TV advertisers want to match their reach on TV, and online video that is deemed to be safe, professional content is starting to get to those levels. It is not American Idol,” says Glickman, “but it is like a large cable network.” Advertisers can’t yet reach 30 million people in an hour with a single media buy online, but they can reach that many people over the course of a week, and they can target to specific demographics and get some feedback on how the ads are performing, which TV advertising still can’t do very well.

Advertisers are becoming increasingly comfortable with putting their video ads online. Hulu, which may be filing for an IPO, is the largest beneficiary of this trend. If an advertiser already puts ads against House or The Office on TV, it is a no-brainer to match that online on Hulu. But they are also beginning to trust the larger video ad networks like Tremor and Break, which put ads against a wider range of professionally-produced video from guy videos to sports clips and movie trailers.

“I have never seen test budgets that start at half a million dollars,” says Glickman. Usually ad agencies start testing with one tenth as much. Also, he is seeing about a dozen larger commitments in the double-digit millions over the course of the year, deals he calls “online video upfronts” because they are negotiated in advance like regular TV upfronts. According to comScore, Hulu showed the most video ads in July with 783 million, but Tremor came in second with 452 million video ad views.

Video is definitely shaping up to be a large and growing business for the bigger players and ad networks, but will those advertising dollars trickle down to the smaller guys as well?

Photo Credit: Flickr/ Cathy Stanley-Erickson.

Zencoder’s founders actually originally developed the cloud encoding technology behind Flix Cloud, that was used by video compression startup On2 technologies. Flix Cloud combined Zencoder’s cloud encoding software with On2?s Flix Engine encoder, putting Flix Engine in the cloud. The founders launched Zencoder earlier this year as new version of Flix Cloud that promised improvements in speed, quality, reliability, and ease of use.

Here’s what Google wrote on the Flix Cloud home page:

We’ve made arrangements with Zencoder, our Flix Cloud partner, to help Flix Cloud customers move to the Zencoder cloud encoding service if they so choose. The Zencoder team has created a very impressive service that offers many improvements over Flix Cloud, including two-pass H.264 encoding, faster queues, audio-only encoding, and support for the new open WebM video format. For more information, see the Zencoder Flix Cloud transition page or log in to your dashboard.

As we wrote in out initial review of Y Combinator-backed Zencoder, the startup wants to be the Amazon Web Services for encoding. Zencoder differs from competitors like Encoding.com in that it charges clients per minute of video encoded vs per gigabyte. The startup also claims to handle 95% of the unusual or corrupt files that other services can’t tackle and includes the ability to autorotate iPhone videos shot in landscape mode and enhanced developer tools, including a code generator for API calls.

Zencoder is offering tips and information on transitioning to its service here.

And you can see a list of other services and products Google has shut down here.

Zencoder’s founders actually originally developed the cloud encoding technology behind Flix Cloud, that was used by video compression startup On2 technologies. Flix Cloud combined Zencoder’s cloud encoding software with On2?s Flix Engine encoder, putting Flix Engine in the cloud. The founders launched Zencoder earlier this year as new version of Flix Cloud that promised improvements in speed, quality, reliability, and ease of use.

Here’s what Google wrote on the Flix Cloud home page:

We’ve made arrangements with Zencoder, our Flix Cloud partner, to help Flix Cloud customers move to the Zencoder cloud encoding service if they so choose. The Zencoder team has created a very impressive service that offers many improvements over Flix Cloud, including two-pass H.264 encoding, faster queues, audio-only encoding, and support for the new open WebM video format. For more information, see the Zencoder Flix Cloud transition page or log in to your dashboard.

As we wrote in out initial review of Y Combinator-backed Zencoder, the startup wants to be the Amazon Web Services for encoding. Zencoder differs from competitors like Encoding.com in that it charges clients per minute of video encoded vs per gigabyte. The startup also claims to handle 95% of the unusual or corrupt files that other services can’t tackle and includes the ability to autorotate iPhone videos shot in landscape mode and enhanced developer tools, including a code generator for API calls.

Zencoder is offering tips and information on transitioning to its service here.

And you can see a list of other services and products Google has shut down here.

The red-headed step child of the BlackBerry device family is launching relatively soon on Sprint (and probably Verizon), and we have got our hands on a nice overview of the product in case you had any unanswered questions. Quick recap? It’s a clamshell QWERTY flip device with a CDMA radio, Wi-Fi, GPS, 5 megapixel camera, 240×320 external display, 360×400 internal display, and optical trackpad for navigation. If you loved the Pearl Flip but hated the SureType keyboard, this might be a nice compromise, though it’s going to have to sit pretty low on the price scale for it to fly.

Click on over to our BlackBerry 9670 Oxford overview gallery!

You’d think that RIM would be replacing highest-end product with a brand new device, right? Well, previous rumors suggested that the BlackBerry Bold 9700 would get nothing more than a simple refresh, and we’re able to confirm those rumors. We have a leaked internal document detailing all sorts of fun stuff. Market positioning, technical overviews, and a bunch more. The big picture view? The BlackBerry Bold R020 (9020? 9750 We’re just guessing) will be practically identical to the 9700 visually. Internal changes include a 5 megapixel camera sensor, and 512MB of RAM up from 256MB. It will also launch with BlackBerry 6 — obviously. We’d love to say there is more, but there isn’t, so check out the leaked document and let us know your thoughts, ok?

Click on over to our BlackBerry Bold R020 overview gallery!

Foursquare is on the verge of opening their first office outside of their New York City headquarters, we’ve confirmed with the company. Shortly, they will open an office in San Francisco’s SoMa district. Both new Foursquare VP of Mobile, Holger Luedorf (who was on-hand at the event tonight), and VP of Business Development, Tristan Walker, will be based out of that office, we’re told. And they hope to hire a couple more people to work there soon too.

The building Foursquare has chosen as their west coast home is one that is becoming a hot bed for startups: the San Francisco Chronicle Building. Currently, both the mobile payment startup Square and the gadget community startup gdgt call that building home, among others. The choice also continues Foursquare’s tradition of taking over old media spaces — their current NYC headquarters is in The Village Voice building (which Foursquare just took over another floor of).

It’s interesting that both Foursquare and rival Gowalla were able to build their startups without a major presence in Silicon Valley up until now. Though, to be fair, Walker has been based out here from the beginning, as he was still a student at Stanford when he started at Foursquare (and actually just graduated). Gowalla is based in Austin, Texas.

Obviously the lack of major Valley presence hasn’t been detrimental to Foursquare’s growth — but the new office shouldn’t hurt either. But the real question is: who will be the first to check-in? My money is on Luedorf.

[photo: flickr/niallkennedy]

As you can see, the new Places area is front and center in the app. Clicking on it brings up a list of your friends who have recently checked in to various places. Clicking on those friends shows more details about the place they are at.

Friend check-ins are sorted by those friends who are nearby and those who are elsewhere. Your stream will now show these Places check-ins as well.

One thing that’s oddly tricky is actually checking-in yourself. I seriously cannot figure out how to do it right now. Lemme know what I’m missing. We were told it may be a while before the full funtionality rolls out to the app, so perhaps Facebook is holding some small element back for the time being. [Update below from Facebook]

Still, on the touch.facebook.com version of the site the functionality is working and seems much more obvious.

You’ll also notice that Facebook has changed the Inbox icon on their new app. And to make room for Places, the Notes element of the app has been moved on to the second page.

Again, you can find the latest version of the app here — sadly, it’s only available for U.S. users for the time being.

Update: A number of people in the U.S. are also reporting seeing messages that Places isn’t available in their area yet. It appears that Facebook is slowly rolling this out. Stay tuned.

Update 2: I’ve just spoken with Facebook and they informed me that even though the app is live, the Places functionality isn’t rolled out to everyone just yet. That’s why some people see the message that it’s not available in their area — and why others can’t yet check-in. Facebook wants to make sure their servers can handle the load that is inevitably coming so it will be a roll out over the next day or two I’m told.

Here are some quick pictures of what the new app looks like:

Chegg’s textbook rental business continues to grow like crazy – we’ve estimated 2010 revenues of $130 million, for example. And the company is now starting to acquire businesses complimentary to their core focus. First up is CourseRank, founded in 2007 by three stanford students. Total funding raised by CourseRank is $0 – it’s “Mountain Dew funded to date,” says Chegg.

CourseRank helps students choose classes, and 95% of Stanford students use it, says the company.UC Berkeley, Duke, Cornell and other universities and colleges in the U.S. and Canada now use it as well. The company now has five employees.

From the CourseRank website:

CourseRank is a website that aims to streamline the process of choosing the right courses for each student, and helping students take advantage of the diverse opportunities offered at their university. The website is specifically tailored to each university and provides students with all the information they need to help plan their academic careers. Features provided by the website include: Student courses ratings and reviews, a planner to help organize your academic career and grades, a weekly schedule of your courses – which you can share with your friends, and a place for you to find your books for next semester!

Chegg has raised $144 million in venture and debt capital since 2007, and hired former Yahoo COO Dan Rosensweig as CEO earlier this year.

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