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Facebook gaining ground on YouTube in video ads, report says

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Mark Zuckerberg, Facebook's co-founder and chief executive in Menlo Park, California, April 4, 2013. …

FRANKFURT/PARIS (Reuters) - Facebook is gaining ground on Google's YouTube as an outlet for big companies to market their products via online videos, the fastest growing category of Internet ads, a report published on Monday said.

The competition for video viewers opens up a new front in the clash between the two web giants that already compete in other types of advertising given their appeal to young and international consumers, Ampere Analysis said in a study.

London-based Ampere predicts a new advertising "arms race" between the two rivals, neck and neck in terms of audience sizes with around 1.