Verizon's AOL has signed its first major virtual reality ad deal since it announced it purchased VR and 360-degree video company RYOT.
The deal, which a spokesperson for AOL said was worth seven figures, will leverage RYOT to create a branded video series, written articles, social media posts and 360-degree/VR videos in partnership with American Family Insurance and media agency Mindshare. The series will focus on heroes inside their communities overcoming their challenges. It will run from late October until the end of the year.
"This is our first big project that we've launched together with AOL Partner Studios and HuffPost where we can really flex our technology muscle and use this to bring people inside," RYOT co-founder Bryn Mooser told CNBC.
RYOT was acquired by Verizon in April, and was placed in a division under AOL's Huffington Post. Deloitte Global has estimated that virtual reality would reach $1 billion in revenue this year, with $700 million worth of headset sales.