The service will display rotating text ads along the bottom of a video. The ads will be displayed only on videos embedded on pages for participating publishers, but not on YouTube pages.
Publishers can limit the YouTube videos to individual sources, such as their own content, and run a selection of videos filtered by keywords.
Google proposes that publishers use the embedded players to bring in and retain visitors.
"Website publishers realise that getting people to visit your website is only half the equation," said Google product marketing manager Christine Lee in a posting to a company blog.
"Growing your audience is important, but keeping your audience engaged and staying on your site longer is just as important, if not more so."
Publishers will need accounts with AdSense and YouTube to use the service. The two accounts will be merged on registering for the AdSense video programme.
Similar to Google's text version of AdSense, advertisers are charged only when an individual clicks on an ad. In the video programme, however, the site publisher and the video producer will be given a share of the ad revenue.
Whether the content providers will need an AdSense account in order to get paid was not disclosed. The company did not return a request for comment from vnunet.com.
The service is currently available in the US only. Google did not disclose any details for an international launch.
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