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Video units enable AdSense publishers to display relevant, targeted video content within a customized, embedded player that’s ad-supported. Google is working with select YouTube content partners including TV Guide Broadband, Expert Village, Mondo Media, lonelygirl15, Extreme Elements, and Ford Models to supply the video content. The video units are user-initiated and will play only after a user has clicked to play the video.
The ads within the video unit are targeted based on a combination of the video content and the publisher’s site content. Advertisers are charged on a cost-per-click or cost-per-impression basis. Ads appear as a companion banner ad at the top of the video unit and as a text ad on the bottom portion of the video once the video begins playing. AdSense publishers and YouTube content partners will receive a share of the ad revenue.
Content distribution on AdSense improves the overall web experience by connecting consumers with more relevant information and entertainment on the sites they visit. This new program is a scalable and cost-effective way to distribute content online, creates a new revenue opportunity for publishers and content owners, and helps advertisers reach their target audiences in new and innovative ways. It will also allow AdSense publishers a unique way to enhance their sites with fresh, dynamic content.
Video units are now available in the U.S. for English language websites. Over the coming months, we will expand the program to include other types of content to bring these benefits to content owners no matter their medium of choice.
For more information, please see: http://adsense.blogspot.com/.
Google, YouTube, and AdSense are trademarks of Google Inc. All other company and product names may be trademarks of the respective companies with which they are associated. - Source: Google Press Release
That was a press release from Google on Adsense and YouTube; however, at least in USA many people report that the feature is not available and is not working properly. There is a very informative discussion at Webmasterworld on Google's Adsense new video feature.
Those who already see the feature report disappointments. One member writes: "Although this is better than nothing, the release is still a huge disappointment. The content providers seem to be very limited, as well as it seems that the videos are selected based on content provider channels, and not individual videos. What many have been waiting for is getting Revver type of Adsense video monetization format for the masses of video content producers, via Youtube or not. It would be nice to embed any youtube video and have the same type of Adsense video player option."
Adsense Adviser (known also Google Guy) commented the following: "We don't have a date for when video units will be available for non-US publishers, but US publishers should now be seeing the option in their accounts. (Sorry for any confusion caused by the slightly premature announcement.) Please continue to share your feedback about this new feature, and I'll be sure to pass your thoughts along to our engineers and product managers. -ASA"