The news: Sony named supply-side platform (SSP) PubMatic its preferred programmatic advertising partner for “Live TV on PS5,” a free, ad-supported streaming experience on PlayStation consoles that launched in August, per a press release.

PubMatic will work with Sony to connect ad inventory with brands and agencies, starting with in-stream video opportunities. Advertisers will also get exclusive supply and preferred partnership opportunities through PubMatic’s platform and Sony’s trove of audience insights.

Why it matters: The partnership gives advertisers a direct path to reaching gaming audiences through an alternative connected TV (CTV) channel.

Gamers can be easily turned off by in-game ads, making it difficult for advertisers to make an impact. But Live TV on PS5 offers another way into this audience through movies, TV, sports, and other streaming programming available on the console. Video ads in particular could have a stronger effect via CTV than in-game ads because they match the media format that the viewer is already consuming.

PubMatic brings a powerful programmatic layer fueled by its AI operating system, AgenticOS. The system’s agents could help advertisers identify optimal placements across the more than 100 streaming channels available through Live TV on PS5 while integrating Sony’s audience insights to inform their buying decisions.

Recommendations for advertisers: Approach PlayStation’s streaming platform with a focus on CTV-level performance—but with a strategy built for gaming audiences.

• Allocate spending from streaming budgets, not gaming budgets, since this is primarily a streaming play.
• Compare ad performance with that of other CTV inventory to determine incremental impact.
• Develop creative with gamers in mind, offering rewards when possible to earn trust with the ad-skeptical audience.

Press Sony and PubMatic for a constant flow of data on audience growth and retention. These metrics are especially important given that Live TV on PS5 is so new. Knowing how consumer interest in the experience evolves will determine whether spending is justified.

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