Wednesday, September 9th, 2026 – 9:00 am. Telly, the innovative company revolutionizing the connected TV (CTV) landscape by offering free smart TVs in exchange for user data and ad exposure, is significantly expanding its advertising capabilities. The company has officially opened its home screen ad inventory to programmatic buying, a strategic move designed to attract substantial advertiser spend and simultaneously push for standardized industry practices that benefit all stakeholders in the burgeoning CTV advertising ecosystem.
This development marks a critical juncture for Telly, which differentiates itself by providing a unique viewing experience. Its smart TVs are equipped with a distinctive secondary screen positioned below the main display. This auxiliary screen serves as a continuous stream of curated content, including news updates and advertisements. It is within this secondary screen environment that Telly is now making its home screen ads available for programmatic acquisition. These ads leverage the sophisticated infrastructure of Magnite’s SpringServe ad server for delivery, with demand originating from major players in the programmatic space such as The Trade Desk and Teads, among others.
The imperative for Telly to embrace programmatic advertising for its home screen inventory is rooted in the fundamental requirement for scale. As Mike Shehan, Telly’s Chief Revenue Officer, articulated to AdExchanger, "For home screen ads to stick, they need scale, which is where programmatic enablement comes in." Shehan’s extensive background in the ad tech industry, including his previous role as CEO of SpotX, a video supply-side platform acquired by Magnite for a substantial $1.17 billion in 2021, lends significant weight to his strategic vision for Telly. His expertise in navigating the complexities of the ad supply chain is proving instrumental in Telly’s ambitious expansion plans.
While Telly is a prominent entrant in this specific niche, it is not the first to recognize the potential of programmatic home screen advertising. The broader ad tech sector has been steadily moving in this direction. For instance, Nexxen, an ad tech platform, began offering its native home screen ads programmatically across a growing roster of TV manufacturers, including V (formerly VIDAA) and TiVo, as early as last year. Similarly, Supply-Side Platforms (SSPs) like Magnite have been enabling programmatic buying for ad formats like pause ads for a considerable period.
Telly’s distinct approach, however, lies in its proactive engagement with industry bodies to foster standardization. Shehan highlighted Telly’s close collaboration with the IAB Tech Lab, an organization dedicated to developing global technical standards for digital advertising. This partnership is focused on creating standardized specifications for home screen ads within the bidstream. The IAB Tech Lab concluded its public comment period for proposed spec updates at the end of June 2026 and subsequently finalized these crucial signal updates in July. This commitment to standardization is a deliberate strategy to instill confidence in advertisers and agencies, making it easier for them to allocate budgets to this new ad format.
Shehan further elaborated on Telly’s competitive advantage, emphasizing the unique value proposition offered by its second screens and its access to rich first-party customer data. This combination, he argues, provides unparalleled capabilities for precise targeting of home screen ads and, consequently, for driving demonstrable business results for advertisers.
Go Big or Go Home Screen: Telly’s Data-Driven Approach to Advertiser Engagement
The foundation of Telly’s advertising model is built upon a deep understanding of its user base. When consumers opt to receive a Telly device, they are required to complete a comprehensive onboarding questionnaire. This survey delves into a wide array of demographic and lifestyle information, including household income, the number of individuals residing in the home, and detailed insights into interests and behaviors. Crucially, this includes questions about brand preferences, insurance providers, the types of vehicles owned by household members, and whether these vehicles are leased or purchased outright.
"The questionnaire goes very deep on demographics, lifestyle, and brand loyalty," Shehan explained. This granular data, when combined with Automatic Content Recognition (ACR) data—which tracks the content users are viewing on their main screens—enables a level of targeting sophistication previously unattainable in the CTV space. For example, an insurance provider could precisely target households identified as actively seeking new policy options, significantly increasing the efficiency and effectiveness of their advertising campaigns.
The dual-screen functionality of Telly devices extends beyond mere data collection. The independent operation of the second screen allows for the seamless integration of advertisements without disrupting the primary viewing experience. This means ads can be displayed while users are engaged with their main content, circumventing the traditional interruption of ad breaks. Moreover, Telly’s model allows advertisers to reach a segment of consumers who opt for ad-free streaming services on their main screen, a demographic often difficult to engage with traditional ad placements.
Beyond programmatic enablement, Telly is also exploring innovative ad formats and buying methods. The company is now offering longer-form home screen ads, extending up to five minutes in duration, available through private marketplace deals facilitated by Magnite. Shehan believes that the combination of this extended duration and the non-intrusive placement of home screen ads is a powerful driver of user engagement. He cited an anonymized case study involving a streaming service that experienced a five-fold increase in app opens when utilizing a five-minute home screen ad compared to a two-minute ad, underscoring the potential of longer, contextually relevant ad experiences.
This approach has already garnered positive attention from media buyers. Mike Treon, Head of CTV and Video Strategy at PMG, commented, "The home screen has always been a powerful front door for us to engage viewers. Telly extends that opportunity, giving brands a persistent presence that enhances engagement." Treon’s statement reflects a growing sentiment among industry professionals that the home screen represents a prime real estate for impactful advertising.
The Broader Implications: Standardisation, Data Privacy, and the Future of CTV Advertising
Telly’s push for standardized specifications in the bidstream is a critical step towards maturing the CTV advertising market. The fragmentation of ad formats and measurement methodologies has long been a barrier to entry and efficient investment for advertisers. By working with the IAB Tech Lab, Telly is contributing to a more cohesive and predictable advertising environment. This standardization is likely to accelerate the adoption of programmatic advertising across the CTV ecosystem, as it simplifies the buying process and provides greater assurance regarding ad delivery and performance.
The reliance on first-party data, as employed by Telly, also aligns with the industry’s evolving landscape, marked by increasing privacy regulations and the deprecation of third-party cookies. Telly’s model, which prioritizes explicit user consent for data collection in exchange for a valuable product (the free TV), positions it favorably in the privacy-conscious era. This approach fosters transparency and empowers consumers with control over their data, a crucial factor for long-term user trust and engagement.
The success of Telly’s strategy hinges on its ability to consistently deliver valuable audiences and measurable results to advertisers. While early indicators and statements from media buyers are promising, the true test will be the sustained investment from brands and agencies. As the CTV market continues its rapid expansion, with projections indicating continued double-digit growth in ad spend, companies like Telly that offer innovative solutions and a commitment to industry best practices are poised to play a significant role in shaping its future.
The integration of programmatic buying on Telly’s home screen, coupled with its data-rich environment and commitment to standardization, presents a compelling proposition for advertisers seeking to capture the attention of engaged viewers. The question now is whether this enthusiasm will translate into enduring, large-scale financial commitments, solidifying Telly’s position as a key innovator in the evolving world of television advertising. The company’s proactive approach to industry collaboration suggests a long-term vision, aiming not just for its own success, but for the broader advancement of the entire CTV advertising ecosystem.
