Schmidt Says Google TV Ads Will Be a Cash Machine

Television may have been around for half a century or so, but Eric Schmidt thinks Google (s goog) TV can one-up regular television — at least when it comes to advertising. Why? Because it can target ads the same way Google does online, and thus make them more relevant and more valuable to advertisers. In an interview with Fox Business Network, the Google CEO said that Google TV is about “building a platform with millions of people using these technologies” and that when you have that many people using something there are plenty of ways to make money from it. “Our advertising is targeted,” he said, and therefore “we can do even more relevant television advertising, which should be worth a lot of money.”

According to Janko over at NewTeeVee, the Google CEO dodged a question about new advertising formats, saying ads would either be delivered through websites or traditional TV programming. When asked who would be threatened by the new service and related devices, which appear targeted at Apple TV (s aapl) as well as set-top box providers, Schmidt said he wasn’t sure. But he said cable providers would like the service because “it will drive even more internet adoption and it will get people to use their programming, which is how they make most of their money even more efficiently.”

Schmidt also said that TV “has not been reinvented in any significant way since color television was brought in in the mid-1960s,” but that now thanks to the power of the processors inside modern television sets, they can run a full web browser and “you click a button and boom, there you are with the Internet.”

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