CROSS-REFERENCES TO RELATED APPLICATIONS  
       [0001]     The present application claims benefit under 35 USC 119(e) of U.S. provisional Application No. 60/863,536, filed on Oct. 30, 2006, entitled “Targeted Advertisement In The Digital Television Environment,” the content of which is incorporated herein by reference in its entirety. 
     
    
     BACKGROUND OF THE INVENTION  
       [0002]     Television advertisements have traditionally used viewership statistics such as those provided by Nielsen ratings to select which advertisements to show during a given program. This method for reaching potential markets is far less precise than Internet advertisement, which uses available knowledge of the web surfer&#39;s preferences (i.e., search terms) and past viewing history to place advertisements in a targeted manner so that the most relevant advertisements are seen by the people most likely to be interested in the products and services being advertised.  
         [0003]     With the advent of digital television (DTV) standards such as DVB-H, Media-FLO™, T-DMB, and ISDB-T 1/3 segment, a wide range of mobile handset users and non-mobile digital television viewers become potential targets of advertisement.  
       BRIEF SUMMARY OF THE INVENTION  
       [0004]     In accordance with one embodiment of the present invention, a method for targeted advertisement includes, in part, storing a profile tag associated with each user in a device maintained by that user. Each profile tag includes the demographic information of its associated user. A multitude of target tags each associated with an advertisement is also transmitted to the users. The target tags include the demographic information of the targeted users. The advertisements and their corresponding target tags are transmitted and cached in the devices maintained by the users. The number of matches between the target tags and the user profiles are supplied to their respective advertisers. The advertisers use the matching number to modify the prices they are willing to offer for the right to advertise during the commercial break. The target tags include information that is used to select one of the cached advertisement for playing in a commercial space or commercial break.  
         [0005]     In one embodiment, the advertisements are transmitted using a logical channel different than a logical channel used to broadcast regular programming. The logical channel used to transmit advertisement has a data rate lower than the data rate of the logical channel used to transmit regular programming. The regular programming interrupted during the commercial break is resumed in a time-shifted manner following the termination of the first commercial break. In another embodiment, the advertisement may be displayed on a portion of the screen simultaneously with the regular programming.  
         [0006]     In one embodiment, the played advertisement is stored in a cache and is periodically refreshed. The number of interactions between the user and the advertisement stored in the cache is tracked and supplied to the advertiser. In one embodiment, each profile tag further includes preference information supplied by its user in an optional survey. The preference information may be periodically updated in accordance with the user&#39;s behavior. In one embodiment, the number of matches for each advertisement is further defined by geographical locations of the users.  
         [0007]     In one embodiment, after playing the advertisement, a web browser is loaded to enable the user to access a web site to make an inquiry about the advertised product/service. In another embodiment, a phone number is automatically dialed to enable the user to make an inquiry about the advertised product/service. 
     
    
     BRIEF DESCRIPTION OF THE DRAWINGS  
       [0008]      FIG. 1  is a high-level block diagram of an exemplary system adapted to deliver targeted advertisement in a digital television/video format, in accordance with one embodiment of the present invention.  
         [0009]      FIG. 2A  shows a number of exemplary logical channels and time slots used for broadcasting regular programs as well as advertisements, in accordance with one embodiment of the present invention.  
         [0010]      FIG. 2B  shows an exemplary time sequence according with which regular programs and advertisements are broadcast.  
         [0011]      FIG. 3  is a flowchart of steps used to cache an advertisement, in accordance with one embodiment of the present invention.  
         [0012]      FIG. 4  is a flowchart of steps used to cache an advertisement, in accordance with another embodiment of the present invention. 
     
    
     DETAILED DESCRIPTION OF THE INVENTION  
       [0013]     In accordance with one embodiment of the present invention, targeted advertisements are delivered to mobile handset, such as cell phone users (subscribers), as well as to non-mobile digital television viewers in a manner that maximizes its effectiveness and potential benefits to the advertisers and the service providers. In one embodiment, the present invention enables the broadcast advertiser to deliver commercial information (advertisement) to targeted audiences in a timely manner that uses the broadcast bandwidth efficiently. The advertisement is stored and viewer feedback is provided, thus allowing the advertiser to consider the amount paid to the service provider for the advertisement and further to monitor the effectiveness of the advertisement. In one embodiment, the consideration of the amount paid by the advertiser is established through a bidding process carried out in real-time and based on feedbacks from the handsets. Accordingly, the present invention maximizes the value of the broadcast medium to both the advertisers and the broadcast service providers by enabling them, in part, to efficiently price and deliver the advertisements in a timely manner, as described further below. The following description applies equally to handheld mobile digital devices as well as to any other digital device capable of receiving and displaying digital video and audio data.  
         [0014]      FIG. 1  is a high-level block diagram of an exemplary system  100  adapted to deliver targeted advertisement in a digital television/video format, in accordance with one embodiment of the present invention. In this exemplary embodiment, advertisers  102  and service providers  104  negotiate to deliver advertisements to mobile handset or digital television receiver  150 . To achieve this and as described further below, in one embodiment, advertisers  102  compete for a commercial time slot and enter into a bidding process facilitated by auction server  106 . The advertiser with a winning bid secures the right to have its commercial played to the targeted users. In another embodiment, the advertiser who has paid a lock-in rate is accorded the time slot for its commercial. The lock-in rate could be fixed or float to match or exceed the highest bid.  
         [0015]     In accordance with one aspect of the present invention, the demographic information of the users as well as any preference information the user (hereinafter alternatively referred to herein as subscriber) provides, for example, in an optional a priori survey, is used to determine what advertisements to cache and/or play during a given commercial break. When the mobile handset device includes a location identifier, the user&#39;s location which is subject to dynamic changes, may also be used in this determination. Such demographic, geographic and preference information is referred to herein as tag data or tag profile, and is stored on the handset in a coded form when the handset is activated. The preference information may be updated over time with additional surveys or by passively monitoring the habits and behaviors of its respective subscriber.  
         [0016]     The advertiser or broadcaster attaches target tags to the advertisement; the tags contain characteristics of the target audience. As described further below, in one embodiment, an advertisement is played to a user when there is a match between the user&#39;s tag profile and the target tag included in the advertisement. Matching can be assessed by a variety of flexible algorithms such as detecting whether the least mean squared error between the advertisement tag and the subscriber&#39;s tag falls within a certain range. These algorithms can be set by the advertiser and run on the mobile handset device to identify which subscribers are most receptive to viewing the advertisement. Such an advertisement is referred to hereinbelow as a matched advertisement. A matched advertisement thus substantially increases the value of that advertisements to the advertiser by ensuring that it is viewed by an audience most likely to interact positively to it, and to make further inquiry and/or purchase the advertised product or service. At the same time, the broadcaster can sell the same time slot for an advertisement to several different advertisers targeting a viewing audience with a mix of tag profiles, thereby increasing the advertisement revenue. The target tag contains pricing information representing the amount the broadcaster has offered to pay for the advertisement. A previously cached advertisement can have its target tag replaced or modified to reflect price adjustments made by the advertiser. The pricing information is used to select one of the cached advertisements for playing during the designated commercial break.  
         [0017]     As is well known, in a television broadcast, advertisements are typically inserted during so-called commercial breaks which can last for some set period of time, such as 15 seconds or 30 seconds. Other breaks may also occur during broadcasts. For example, in some standards such as the DVB-H standard, there may be a delay (latency) between the time when the user selects a logical channel and the time when the selected channel content is displayed on the screen. In accordance with one embodiment of the present invention, the service provider inserts a matched advertisement during such a latency. The latency may occur upon initial selection of the logical channel or when switching between the channels occur. In some embodiments, additional latency is introduced to provide the time required to insert the advertisement. In other embodiments, advertisements are displayed on a small portion of the viewable area of the screen dedicated to advertising.  
         [0018]     In some embodiments, the advertisement matching, i.e., the comparison between the tag profile and the target tag, is performed on the handset. In yet other embodiments, the advertisement matching is performed using a server and a database remote to the handset. Such a remote matching may be carried out at the base station or anywhere on a network or the Internet that is coupled to the base station. For example, the advertisement matching may be done in a cable distribution head end where the video programming is distributed from.  
         [0019]     The broadcast network  104  transmits data containing the advertisements on one logical channel using advertisement server  112  while at the same time sending a live broadcast on another logical channel using content server  110 . The advertisement may thus be transmitted at a low data rate, thereby conserving broadcast bandwidth and also achieving greater reliability of data transmission, e.g. by using a higher coding rate for the advertisement data stream. The advertisement, presented to the user during commercial breaks, may be displayed in a separate area of the screen, or as a background image on the handset. It is understood that the advertisement may include audio, video, pictures, slideshows, etc. It is also understood that the advertisement may be intended for a particular program, a category of programs or any program the subscriber watches.  
         [0020]     In one embodiment, handset  150  includes an advertisement cache  152  and a subscriber cache  154 . The advertisement cache  152  is configured to store advertisement information (e.g. video, sound), that are automatically stored on the handset and displayed to the subscriber at the selected advertisement spot (commercial break). The subscriber cache  154  is content or advertisement which the subscriber selects for storage on the handset in order to view at a later time in a time-shifted manner. The size of each of the handset caches is programmable based upon the capabilities of the handset and other items stored therein. Such information may be stored remotely, i.e., outside the user&#39;s digital device to enable sending advertisements that are likely to fit in the cache. Any type of storage medium, e.g., static random access memory (SRAM), dynamic random access memory (DRAM), hard disk, flash memory, etc, may be used for caches. The stored advertisements, the interaction between the subscriber and the stored advertisement, the number of viewings of the advertisement, its dwell time, etc. may can be tracked and reported to the advertiser.  
         [0021]     A number of different algorithms or quantitative metrics may be used to determine the similarity and/or disparity between the user&#39;s tag profile and the target tag to determine if there is a match between the two and to decide whether to cache the advertisement or not. Such algorithms determine a matching score or a measure of similarity used to cache only the most relevant advertisements and discard those that are not. The amount of advertisement stored in the cache is used to determine how many advertisements to keep at any given time.  
         [0022]     An advertisement may have a number of versions each customized for a different demographic, handset location and cache size. For example, an older phone may get a slideshow instead of an animation or video. Also, a database containing geographical information may be used to preferentially display advertisements on handsets within a certain proximity to defined business locations offering the advertised product or service.  
         [0023]      FIG. 2A  shows a number of exemplary logical channels and time slots used for broadcasting content (regular programming) as well as advertisements, in accordance with one embodiment of the present invention. Logical channels  1 ,  2  and  3  are used for broadcasting during time slot  200 , and logical channels  4 ,  5  and  6  are used for broadcasting during time slot  202 .  FIG. 2B  shows the time sequence according with which content and advertisements are broadcast. During period T 1  content is broadcast using logical channel  1 . During period T 2  when the commercial break occurs, the program is interrupted and the matched advertisement inserted earlier in the device is displayed to the user. During period T 3  the broadcasting of program resumes on a time shifted basis.  
         [0024]     Advertisers can also pay higher rates to ensure their ads are preferentially cached when competing for the same commercial breaks. Assume, for example, that two or more advertisements intended for broadcast during a particular commercial break are matched to a group of users. To secure the right to advertisement during a commercial break, the advertisers enter into a bidding contest and bid up their offers until the advertiser whose offer is accepted secured the right to broadcast its advertisement during that break. In one embodiment, the bidding adjustment is carried out in real time—to increase the likelihood that the advertisement is cached—based on the feedback that the advertiser receives, as described further below.  
         [0025]     Referring to  FIG. 1 , standards such as DVB-H and Media FLO, include provisions for a reverse channel  116 , which enable the user to send data back to the broadcaster through the handset&#39;s mobile phone data link, e.g., GSM, EDGE, WCDMA or other physical layers). In accordance with one embodiment of the present invention, the reverse channel  116  is used, in part, to provide real-time feedback to the advertiser regarding the number of subscriber tag profiles that have matched an advertisement&#39;s target tag for any given commercial break, and/or provide feedback regarding the location of the subscriber handsets/terminals. As described above, an advertiser may, in response to the feedback, change the advertisement, offer to pay a higher rate or a better financial package for the right to broadcast the commercial during the target commercial break so as to increase the rate at which the advertisement is cached. The bidding may can continue until the commercial break occurs. As also described above, in some embodiments, the advertiser who has paid a lock-in rate is accorded the time slot for its commercial. The lock-in rate may be fixed or float to match or exceed the highest bid. Advertisers may be charged based on the frequency that their bids win matches as well as the particular times during which the advertisement is scheduled to be broadcast. For example, the cost for advertisement varies depending on the time of the day or the programs during which the advertisement(s) is scheduled to be played.  
         [0026]      FIG. 3  is a flowchart  300  of steps used to cache an advertisement, in accordance with one embodiment of the present invention. The advertisement is received  302  via a broadcast channel. Next, a matching operation  304 , using any one of a number of algorithms or a quantitative metrics, is performed to determine whether a match exists between the subscriber&#39;s profile tag and the target tag of the advertisement. If an acceptable match is not detected  308 , the advertisement is discarded and thus is not cached. If an acceptable match is detected  304 , and the advertiser has an offer that is accepted or the advertiser has a lock-in rate  306 , the advertisement is cached  314  and a corresponding notification is sent to the service provider via a reverse channel. If an acceptable match is detected  304  but the advertiser&#39;s offer is not accepted by the service provider, the advertisement is discarded  310  and a corresponding notification is sent to the service provider via the reverse channel.  
         [0027]     Assuming an agreement is reached between the advertiser and the service provider, after the advertisement is played  316 , if the user chooses not to interact  324  with the played advertisement, the user is provided with an option to save the advertisement  324 . The advertisement is either discarded  322  or is saved  324  in the subscriber cache, depending on the user&#39;s selected option. The user may select to act upon the viewed commercial  318 . If the user so selects, in one embodiment, a web browser is loaded to enable the user to make additional inquiries about, or to attempt to purchase, the advertised product/service from the advertiser or related companies. The web access may be carried out to keep a count of the activity and the tag profile of the user making the web access. To maintain the subscriber&#39;s privacy, the identity of the subscriber is disassociated from his/her profile. In another embodiment, in response to the user&#39;s selection  318 , a phone number is dialed to enable the user to make additional inquiries about, or to attempt to purchase, the advertised product/service.  
         [0028]      FIG. 4  is a flowchart  400  of steps used to bid for an advertisement to be viewed during a commercial break, in accordance with another embodiment of the present invention. The advertiser offers to pay  402  a basic fee to have its advertisement viewed. The service provider receives the offer price and transmits  404  the advertisement. Thereafter, the number of users whose tag profiles match the target tag of that advertisement is determined and fed back  406  to the advertiser. The advertiser is thus enabled to adjust the offer price based on the number of matches until the advertisement is played  408 . The advertiser pays a final rate  410  based on the number of advertisements that are cached and viewed.  
         [0029]     In some embodiments, the advertisements are inserted at a frequency determined entirely by the subscription rate that the viewer is paying. This allows the viewer to trade off subscription cost for the convenience of advertisement-free viewing. To achieve this, in one embodiment, the service provider can broadcast a given program over a channel continuously without inserting any commercial breaks. The handset, based on a subscriber&#39;s level of payments, is adapted to select the frequency with which commercial breaks occur and insert a matching advertisement by retrieving it from the viewer&#39;s advertisement cache. While the advertisement is being displayed, the regular programming is stored in a buffer which is thereafter retrieved and played in a time-shifted manner and after the advertisement is played.  
         [0030]     Such embodiment may be used in demographic segments that are relatively more price sensitive and are willing to endure more frequent commercial breaks in order to reduce their monthly subscription rates. The advertisement frequency is determined using the information stored in the handset related to subscription rates. The subscriber may choose to watch certain programs and channels without advertising by paying an additional amount over a subscription that would normally have the advertisement.  
         [0031]     Some embodiments of the present invention may credit the user for watching certain advertisement and to reduce the occurrence of future advertisements as a consequence. For example, a played long infomercial may allow one or more future programs to have no or a relatively reduced number of advertisements. A positive reaction by the subscriber to a viewed advertisement that leads to a call to advertiser or to a loading of an advertiser&#39;s web page may also accumulate credits. Accordingly, in such embodiments, enhanced exposure to advertisements provides credits toward viewing future commercial-free programs.  
         [0032]     The above embodiments of the present invention are illustrative and not limiting. Various alternatives and equivalents are possible. The invention is not limited by the type of digital device, mobile, etc. used for targeted advertisement. The invention is not limited by the rate used to transfer the data. Other additions, subtractions or modifications are obvious in view of the present disclosure and are intended to fall within the scope of the appended claims.
A method for targeted advertisement includes storing a profile tag associated with each user in a device maintained by that user. Each profile tag includes the demographic information of its associated user. A multitude of target tags are also transmitted to the users. Each target tag is associated with an advertiser and includes the demographic information of the users. The advertisements and their corresponding target tags are transmitted and cached in the devices maintained by the users. The number of matches between the target tags and the user profiles are supplied to their respective advertisers. The advertisers use the matching number to modify the prices they are willing to offer for the commercial break. The target tags include information that is used to select one of the cached advertisement for playing during the commercial break.