Google AdWords advertisers will now be able to display video ads across the AdSense network. These video ads will be in a click-to-play video format. So the ads will not be not be too obtrustive or intrusive of the user experience. These ads will be available as both site targeted ads as well as on a keyword basis. However, publishers will not be able to opt out of ad format.

Bismarck, from the Video Ads team, has provided the following details:
First, as with all AdWords ad formats, video ads will compete for placement on sites in the Google content network with other text, Flash and image ads — and, as with our other image ad placements, you can choose to bid on a CPC or CPM basis.

Second, these ads will be supported by both site- and keyword-targeted campaigns. You can choose to serve your video ad on a specific site or on pages in our content network that relate to your product or service. As always, you have the ability to geo-target your video ads internationally, nationally, or locally.

Finally, unlike some intrusive advertising, users will have complete control. When a page loads, only a static image will be visible; the video will not start playing until the user initiates it. He or she will be able to advance the video, pause it, adjust the volume or click through to the advertiser's site, as you can see in the example below:

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