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Facebook Could Insert Ad Breaks During MLS Game Live Streams To Generate Ad Revenue

Facebook recently signed a deal to live stream some of Univision's MLS games, and the social media platform is still "testing out potential ad revenue-sharing models, such as inserting an ad break in the middle of a live stream,” according to Ramachandran & Seetharaman of the WALL STREET JOURNAL. The streams will “include unique camera angles optimized for mobile viewing, Facebook-specific commentators, as well as interactive graphics and fan polls.” While Facebook is “paying both MLS and Univision" for the streams, the companies "wouldn’t disclose financial details.” The deal “only covers” the '17 season (WALL STREET JOURNAL, 3/10). CNBC’s Kelly Evans noted the MLS-Univision-Facebook deal is the "latest salvo in what’s becoming a social media sports streaming war.” CNBC’s Michael Santoli said, “These platforms are in the business of trying to get more eyeball hours and I think this is a way for them to experiment with this passive viewing of real time, just sort of like have it on in the background type stuff." CNBC contributor Evan Newmark said, “I like where YouTube sits in this whole space much better [than Facebook], because I don't like the idea of bidding against other people for rights." Evans noted the Facebook Live platform has been “having some trouble," and the company is “not sure ... this is going to be the future of their video content" ("Closing Bell," CNBC, 3/10).

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