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Twitter will start selling pre-roll ads ahead of Periscope videos

Twitter is looking for some more video ad dollars.  —  Twitter is going to start making some money from Periscope, its livestreaming video service.  —  The company announced on Tuesday that it will begin selling pre-roll video ads …

Recode Kurt Wagner

Context & Ripple Effects

Twitter first cracked open Periscope monetization in September 2016 with a broadcast sponsorship option that deliberately kept ads off live video itself — sponsors could only attach pre-roll to curated highlight reels. Today's move removes that firewall: pre-roll ads will now run ahead of Periscope videos generally.

The shift fits a longer arc in which Twitter has been building out non-timeline ad inventory, from selling Twitter ads outside of Twitter in early 2015 to automated matching of six-second ads against publisher videos later that year, and the Bloomberg livestream revenue-share in mid-2016. Periscope was the last major owned video surface without open ad sales.

First-order effects

  • Advertisers gain a new self-serve-style inventory pool: pre-roll slots against Periscope broadcasts, no longer gated behind individual sponsorships of specific creators.
  • Periscope broadcasters' streams become monetizable media placements inside Twitter's ad stack, converting a cost center into direct video ad dollars.

Second-order effects

  • Bespoke deals like the Bloomberg arrangement now sit alongside a standardized pre-roll product, giving brands a default way to buy into live video without negotiating each partnership.
  • The move extends the automated ad-matching machinery built for publishers' VOD in 2015 toward live formats, pushing more video ad spend through Twitter rather than third-party players embedded around it.

Third-order effects

  • If the pattern holds, Twitter's ad business keeps decoupling from the timeline: owned surfaces — publisher clips, licensed shows, user livestreams — all become programmatically sellable video inventory, with the platform capturing the monetization layer over creator content.

The trend: Twitter is steadily converting every video surface it controls — timeline clips, publisher uploads, licensed shows, and now livestreams — into standardized pre-roll ad inventory.