While the use of online video has become an influential and effective way for advertisers and publishers to promote their products or services, the practice is also intrusiveness and lacks compelling features. The integration of artificial intelligence into online advertising is boosting video ad effectiveness while enhancing view experience, local media is reporting (in Chinese).

Artificial intelligence is sweeping the technology industry, making waves in everything from unmanned vehicles to online advertising. This new advertising model will be a blessing for video-streaming websites in China, which have slid into huge losses in recent years despite enjoying robust growth in terms of average daily viewers, video views and watch time.

Losses (in Chinese) even widened for some big Chinese video streaming firms. Chinese search giant Baidu’s streaming video unit iQiyi incurred a loss of US$ 398 million last year, while e-commerce powerhouse Alibaba’s video streaming service Youku Tudou, which has yet to publish its 2016 annual results, saw a net loss of around US$ 68.5 million in Q3 2106 alone.

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Sheila Yu

Sheila Yu is a Shanghai-based technology writer. She brings readers the biggest news from Chinese language tech media. Reach her at sheila@technode.com.