The startup, named Telly, announced on Thursday that it has started shipping out its free TV sets to customers who signed up to be a part of the initial batch.
Yes, you heard this right. A 55-inch 4K TV is now rolling out to its first wave of customers who have agreed to be part of the beta program of this ad-supported TV set.
Telly Started Giving Away Free Ad-Supported TVs
Through the beta program, Telly would be able to test its product and its integration with some of its new partners. Users must agree to on-screen advertising and activity tracking in exchange for the use of the TV.
Among Telly's partners are the TV viewership tracking firm Neilsen, Magnite, and Microsoft Advertising, which will be charged with creating ad opportunities.
The TV features a different kind of design from their modern counterparts. It has a second screen on the bottom, which is significantly smaller than the main 55-inch screen, that will stream non-stop ads throughout the viewing experience.
It also has an integrated soundbar and a camera. This entirely new kind of TV was invented by Pluto TV co-founder Ilya Pozin, who is the CEO of Telly.
Instead of obstructing the main screen with ads, there will be another screen on the bottom, which is also the reason why the entire device is free.
Non-Stop Running Ads for Revenue
The Telly TV will function as a normal television in which users can stream from different platforms available on the device or have users connect their preferred streaming device like black boxes or sticks.
It can also connect to the internet and bring 4K HDR resolution to its massive screen. The only catch is that there would be non-stop running ads on the bottom screen, where the company will get revenue from advertisers.
Ad-Supported Services
The words uninterrupted, non-stop, and ad-free can no longer be applied in the streaming industry, as it now sees a minor setback in its premium content offerings.
Companies such as Netflix and Disney+ have all looked into offering ad-supported subscription tiers that leverage a cheaper monthly fee at the expense of several advertisements dropping in. However, Telly aimed to change it through its ad-supported televisions with a dual screen.
Even if it is continuously running ads at all times, Telly revolutionizes it by not changing anything on the main screen but by adding a second screen at the bottom, which will run different advertisements.
Telly is planning to ship half a million TVs by the end of the year and millions more the next year. Those interested in getting their own Telly 55-inch 4K HDR TV for free must sign up on the company's website to reserve one.
So what's the catch? Telly requires the user to give detailed info about themselves, such as their name, age, home address, gender, ethnicity, viewing habits, and purchasing behaviors.
Users must also use the Telly TV as their household's primary television and always keep the TV connected to the internet. The use of any ad-blocking software and physical modifications to the TV not expressly approved by Telly is also not allowed.
If the users do not abide by the conditions set on the company's terms of service, Telly could demand that the TV be shipped back, or it will charge up to $1,000 to the credit card associated with the user's account.