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we've decided that AdSense for video will use the InVideo ads adopted on our own property, YouTube, which enable advertisers to make a single buy at scale. Also competing in the auction - and unique to AdSense for video and AdSense video units - are text overlay ads which are contextually targeted to signals in your videos and on the page where the video lives. The InVideo ads are paid on a CPM basis, while the text overlay ads are paid on a CPC basis.AdSense For Video (Beta) Rolled Out To US Publishers [adsense.blogspot.com]
According to Google, publishers need to be serving at least one million video streams per month, on English langauge sites to apply for the beta.
Actually, i'm more interested in learning how they know how many video streams the average site is serving. I could serve up 10 million this month despite having shown none last month, THAT'S how many options we have available to draw traffic these days.