Patent ID: 8145528

Claim:
A method of placing an ad in a movie, comprising: receiving the movie at a movie system, wherein the movie is created by a movie creator at a first computer coupled to the movie system over a network; processing the movie to generate a transcoded movie at the movie system, comprising: obtaining the movie creator's preference for including advertising in the transcoded movie; analyzing inherent characteristics of the movie, wherein the movie has been previously viewed; analyzing viewed characteristics of the movie; analyzing viewer characteristics of each viewer of the movie; obtaining advertiser preferences for placement of the ad in the movie; determining costs of placing the ad in the movie based on the inherent characteristics of the movie, the viewed characteristics of the movie, the viewer characteristics and the advertiser preferences, or a combination thereof; placing the ad in the transcoded movie in accordance with the inherent characteristics of the movie, the viewed characteristics of the movie, the viewer characteristics, the advertiser preferences and the determined costs; receiving a request for the movie from a viewer at a second computer coupled to the movie system over the network; delivering the transcoded movie with inserted ad from the movie system to the viewer at the second computer over the network; collecting by the movie system statistics regarding the viewing of the transcoded movie with inserted ad by the viewer at the second computer over the network; and generating at the movie system at least one report based on the movie viewing statistics of all viewers of the transcoded movie, including the viewer at the second computer.