CNBC and its deal with Cisco Systems

Brian Steinberg of Advertising Age writes Tuesday about a deal between business news network CNBC and tech company Cisco Systems in which the news organization is using Cisco’s videoconferencing technology on the air in return for having its name mentioned on the screen.

Steinberg writes, “The involvement doesn’t affect CNBC’s business coverage, news executives added. If Cisco becomes part of a story, CNBC will report on the company and suspend on-air use of its products.

“In spite of those precautions, the deal suggests a blurring of the lines. Cisco’s on-screen appearances are likely worth at least thousands of dollars in promotional time. And the pact shows the lengths to which marketers will go as they attempt to creep into what is perhaps the last TV genre to keep them at bay: news programming.

“Cisco’s technology and brand name are appearing in CNBC programming, for example, as part of a business deal under which CNBC uses the equipment at favorable terms in recognition of the exposure Cisco is getting. At the end of every news segment featuring a TelePresence interview, viewers see an on-screen ‘billboard’ telling them that ‘promotional consideration has been provided by Cisco.'”

Read more here.