How Streaming Services Dynamically Insert Targeted Ads Into Videos
A method for streaming services to stitch personalized advertisements into video content by dynamically generating playlists that match the user's profile and internet speed.
Original patent title: “Method and apparatus for providing streaming media programs and targeted advertisements using multiple advertisement version segments”
A method for streaming services to stitch personalized advertisements into video content by dynamically generating playlists that match the user's profile and internet speed. Granted to Hulu LLC in 2017 with 21 claims and 1 forward citation.
Key facts
Coverage
What does this patent actually cover?
This patent describes a system for delivering video content and advertisements that adapt to both a user's internet connection speed and their demographic profile. It works by breaking down both the main video and the ads into small, bitrate-specific segments. When a user requests a video, the system identifies the user and selects a specific ad tailored to them. It then creates a master playlist that includes addresses for both the video and the chosen ad, ensuring the ad matches the quality of the video stream without requiring the server to constantly track the ad's state during playback.
The gap
What does this patent NOT cover?
- Does not cover ads that are hard-coded or 'burned' directly into the video file before streaming.
- Does not cover client-side ad insertion where the video player itself fetches ads from a separate server independently of the master playlist.
- Does not cover methods that rely on maintaining a persistent server-side session state for the advertisement throughout the entire viewing duration.
These exclusions are unique to PatentBrief — derived from the actual claim language, not patent-office boilerplate.
What made this novel
The system embeds the advertisement's identity directly into the media playlist addresses. This allows the server to remain 'stateless' regarding the ad, meaning it doesn't have to remember which ad it chose for a specific user session once the playlist is sent.
Schematic visualization of the patent's claim structure. Hand-drawn diagrams in progress for each landmark patent.
Where you've seen this
Real-world examples
Hulu ad-supported tier
Peacock streaming service
YouTube TV ad insertion
Dynamic Ad Insertion (DAI) in OTT platforms
Why it matters
The bigger picture
This technology is fundamental to modern ad-supported streaming services like Hulu, Peacock, and YouTube. By allowing ads to be selected and stitched into a stream at the moment of request, it enables the high-precision targeting that drives the streaming economy while maintaining a smooth, high-quality viewing experience for the user.
Filed
November 19, 2010
Granted
August 1, 2017
Market context
Who's building on this
Companies in this space
Hulu, now part of The Walt Disney Company, remains a primary user of this technology. Major streaming infrastructure providers like Akamai and Amazon Web Services also build on similar principles of manifest manipulation to enable large-scale, personalized video delivery.
Market impact
This patent helped standardize the 'server-side ad insertion' (SSAI) model, which replaced clunky, buffering-prone ad breaks with seamless transitions. It effectively enabled the shift from traditional broadcast-style advertising to the highly targeted, personalized ad models that now sustain the multi-billion dollar streaming industry.
Claim 1 — Plain English
What this patent covers
This patent describes a system for delivering video content and advertisements that adapt to both a user's internet connection speed and their demographic profile. It works by breaking down both the main video and the ads into small, bitrate-specific segments. When a user requests a video, the system identifies the user and selects a specific ad tailored to them. It then creates a master playlist that includes addresses for both the video and the chosen ad, ensuring the ad matches the quality of the video stream without requiring the server to constantly track the ad's state during playback.
The clever bit
The system embeds the advertisement's identity directly into the media playlist addresses. This allows the server to remain 'stateless' regarding the ad, meaning it doesn't have to remember which ad it chose for a specific user session once the playlist is sent.
What it does not cover
- Does not cover ads that are hard-coded or 'burned' directly into the video file before streaming.
- Does not cover client-side ad insertion where the video player itself fetches ads from a separate server independently of the master playlist.
- Does not cover methods that rely on maintaining a persistent server-side session state for the advertisement throughout the entire viewing duration.
Patent timeline
Application submitted to the patent office
Application published, typically 18 months after filing
Patent officially issued
PatentBrief Score
Impact Score
Early stage
Citation count
6/40
Early citations
Claim breadth
14/20
Broad claimsclaimsThe numbered statements at the end of a patent that legally define what the inventor owns.Read more →
Recency
10/20
Granted 5–10 years ago
Assignee scale
0/20
Independent or smaller assigneeassigneeThe entity that owns the patent — usually the inventor's employer or a company.Read more →
PatentBrief Impact Score — based on citation count, claim breadth, recency, and assignee scale. Not a legal assessment.
Heuristic Value Estimate
What this patent might be worth
$48K – $153K
Midpoint $96K · 4.4 yr remaining · industry ×1.4
Heuristic only — blends forward/backward citation counts, claim scope, time remaining, litigation history, and CPC-derived industry baseline. Real valuations need a professional appraisal.
The original legal language
Original claims
21 claims as filed with the patent office.
Concepts involved
Citations
Patent lineage
Cite this patent
Holt, W. Z., Wu, X., Gutarin, A. V., Coudurier, B., & Li, E. S. (2017). How Streaming Services Dynamically Insert Targeted Ads Into Videos (U.S. Patent No. 9,721,254). U.S. Patent and Trademark Office. https://patentbrief.org/patent/us/9721254/uber-ride-hailing-platform
Auto-generated from the patent record. Double-check author order and the issue date against the official USPTO document before submitting.
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Common Questions
Frequently Asked Questions
What does How Streaming Services Dynamically Insert Targeted Ads Into Videos cover?
A method for streaming services to stitch personalized advertisements into video content by dynamically generating playlists that match the user's profile and internet speed.
Who owns patent US 9721254?
Hulu LLC owns this patent, granted in 2017.
When does this patent expire?
This patent is expected to expire on August 1, 2037, when the invention enters the public domain.
What is patent US 9721254 cited by?
This patent has been cited by 1 later patents that build on its ideas.
What problem does this patent solve?
This technology is fundamental to modern ad-supported streaming services like Hulu, Peacock, and YouTube. By allowing ads to be selected and stitched into a stream at the moment of request, it enables the high-precision targeting that drives the streaming economy while maintaining a smooth, high-quality viewing experience for the user.
What does this patent NOT cover?
Does not cover ads that are hard-coded or 'burned' directly into the video file before streaming.
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