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The Trade Desk Enters Smart TV Market with Ventura OS to Rival Amazon and Roku

The Streaming Wars Staff
November 21, 2024
in Advertising, Business, Industry, News, Technology, Uncategorized
Reading Time: 3 mins read
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The Trade Desk Enters Smart TV Market with Ventura OS to Rival Amazon and Roku

The Trade Desk, a leading advertising technology company, has officially announced its foray into the connected TV (CTV) operating system market. Its new software, dubbed “Ventura,” is set to launch in early 2025, marking a bold step into a sector dominated by players like Amazon and Roku. The announcement confirms earlier reports by LowPass in August, which first revealed details about the OS’s development. The move is part of The Trade Desk’s strategy to create an unbiased platform that benefits advertisers, content distributors, and end-users alike.

Jeff Green, co-founder and CEO of The Trade Desk, revealed that the company has been developing Ventura quietly for three years. The platform aims to resolve issues in the current smart TV operating system market, including content conflicts of interest, inefficient ad supply chains, and frustrating user experiences. According to Green, Ventura will provide a more objective alternative to existing systems, which he claims prioritize their own content due to ownership conflicts. “We’re looking at a concentration around a handful of players that lack objectivity. We think we’re in a unique position to make the ecosystem better,” Green told Axios.

Ventura will leverage The Trade Desk’s existing tools, such as OpenPath for direct publisher connections and Unified ID 2.0 (UID2), a privacy-focused targeting system. These innovations are expected to enhance ad targeting accuracy and streamline ad pricing across streaming platforms.

Partnerships and Market Positioning

The Trade Desk has already secured partnerships with original equipment manufacturers (OEMs) and streaming aggregators, though specific names remain undisclosed. Notably, the company is collaborating with Sonos to develop a streaming player featuring premium audio and video integration. Sonos CEO Patrick Spence expressed enthusiasm for the partnership, stating, “We are excited to explore the integration of premium audio and video with The Trade Desk and the Ventura OS.”

Unlike its competitors, The Trade Desk has no plans to enter the hardware business. Instead, it seeks to license Ventura to manufacturers and other entities, such as airlines, hotel chains, and gaming companies, creating a wide-ranging ecosystem of connected devices.

Competitive Landscape

The Trade Desk’s entry into the smart TV OS market pits it against established players like Samsung, LG Electronics, and Xumo, as well as newer entrants such as TiVo. Similar to Ventura’s approach, TiVo has emphasized providing an “unbiased” platform that prioritizes content discovery without favoring specific providers. TiVo has seen modest success in Europe, with plans to expand its reach to 7 million devices by the end of 2025.

Ventura also arrives as The Trade Desk continues to expand its dominance in video advertising, which accounts for nearly 50% of its business. In Q3 2024, the company reported $628 million in revenue and is projected to hit $756 million in Q4, underscoring its robust growth.

Industry Backing and Reception

The Trade Desk has garnered support from major industry players, including Disney Advertising, Paramount Advertising, and Tubi Media Group, the latter of which is linked to Tubi’s popular free, ad-supported streaming television (FAST) service. Additionally, Roku, a key competitor in the OS space, recently adopted The Trade Desk’s UID2 system, further highlighting the company’s influence in the advertising ecosystem.

Future Outlook

While The Trade Desk’s bold venture into the smart TV OS market is ambitious, questions remain about its ability to scale Ventura and compete with entrenched players. However, with a clear strategy to eliminate content conflicts of interest and an emphasis on providing unbiased ad targeting, Ventura is positioned as a disruptive force in the CTV landscape.

By leveraging its advertising expertise and innovative technology, The Trade Desk aims to create a more equitable ecosystem for advertisers and consumers, potentially reshaping the future of connected TV. As Green noted, “We think we’re in a unique position to make the ecosystem better.”

Tags: ad-techadvertisingamazonconnected TVctvGoogleindustry disruptionJeff GreenOpenPathpartnershipsrokusmart TV OSSonosstreamingThe Trade DeskUnified ID 2.0Ventura
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