New startup to ship 500,000 free 4K TV sets with dedicated ad spaces
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You may remember Ilya Pozin from when Viacom bought Pluto TV. It was a deal that made him a lot of money. Pozin has been working on another startup venture for two years called Telly, which comes out on Monday.
This is according to an article by Variety.
Telly will do something truly revolutionary. The company will ship out thousands of free 4K HDTVs of a retail value of $1,000 bundled with a free Chromecast with Google TV adapter.
The catch? The TVs will boast a 9-inch-high second screen featuring a dedicated space on the right-hand side that will continuously display advertising even when users aren’t watching TV.
“Telly is giving away the device completely free,” said Pozin. “The business will be entirely supported by advertising and affiliate revenue.”
“We’re not just running 15-second prerolls,” the CEO and founder explained.
On Monday, the firm launched its new venture at freetelly.com, promising to ship the first 500,000 free TVs to U.S. consumers this summer. More importantly, the TVs will be equipped with a built-in sensor to detect the number of people watching at any particular time.
Pozin hopes to generate a return on the major upfront investment of getting its ad-enabled TVs in front of U.S. consumers and calls his business plan “a revolutionary step forward for both consumers and advertisers.”
A commodity to the bottom on price
“TVs are a commodity. It’s a race to the bottom on price,” Pozin said. “There’s been no innovation in the industry.”
More importantly, perhaps, Telly TVs are field upgradable via over-the-air software updates, so new features can be added as the company sees fit.
So far, Telly has some pretty high-profile investors, such as Rich Greenfield, a famous Wall Street analyst who was highly praised for the new venture.
In a statement acquired by Variety, Greenfield said, “Telly is a huge leap forward, leveraging the explosion of the connected-TV ad market and the desire from consumers for greater control and interactivity that does not disrupt the TV viewing experience. The groundbreaking dual-screen design enables advertisers to completely reimagine the living room experience while providing consumers an incredible TV at the easy-to-say-yes-to price of free.”
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