As world of gadgets grows, online industry tunes in to video ads

SAN FRANCISCO (Reuters) – Internet video ads, long a sideshow in the online advertising market, are gaining in importance to marketers and Web publishers as they look to capitalize on consumers’ changing viewing habits and tap a $ 70 billion television market.

The ever-expanding array of gadgets that display online video, from tablets to Internet-connected TVs and DVD players, along with technology such as social media that facilitates distribution, has spurred new interest.

The growing trend means websites like Google Inc’s YouTube, Yahoo , AOL and Hulu have a better shot at tapping the mother lode of television advertising budgets, though video ads have a long way to go before they become as dominant a part of the marketing landscape as TV ads.

Research firm eMarketer says video is the fastest growing form of online advertising, with spending increasing 46 percent last year, and outpacing popular formats such as search ads and display ads.

Google does not break out financial results for its YouTube business, but CEO Larry Page said on Tuesday that spending among YouTube’s top 100 advertisers increased by more than 50 percent in 2012 compared with the year before.

There have been media reports that Facebook is developing a video ad service, and analysts will likely be looking for answers on that avenue when the social networking giant delivers its quarterly results on Wednesday.

At Yahoo, “one of our highest priorities was to create more online video experiences, because that’s where the demand is for advertising,” said Tim Morse, the former Yahoo finance chief who became CFO of video advertising technology company Adap.TV this month.

Advertisers are increasingly fond of video ads, Morse said, because of the similarities to TV.

“It’s the closest to what they’ve had offline. They’re looking for the same kind of medium where they can connect with consumers,” he told Reuters.

TURNING POINT

Chevrolet has been running online video ads for several years, but significantly ramped up its activities and investment in 2012, said Carolin Probst-Iyer, the manager of digital consumer engagement for the General Motors division.

“Last year was a bit of a turning point,” she said, as Chevrolet put greater emphasis on creating original video ads and looking for new ways to distribute spots, rather than simply running existing TV ads on YouTube and TV network websites.

One recent ad for the buzz-worthy new Corvette Stingray was viewed more times on mobile devices than it was on PCs, she said.

For Web publishers, video ads are good business. While typical banner ad rates can generate a few dollars per thousand views, video ad rates can reach $ 20 per thousand views, said eMarketer’s David Hallerman.

“All of the Internet advertising to date has come from print sources,” such as newspapers, magazines and yellow pages, said RBC Capital Markets analyst Mark Mahaney.

“We’re are at a point where television ad budgets are likely to come online.”

The explosion of new screens such as smartphones and tablets greatly increases the venues where consumers can watch video, whether they’re at their desks or on a bus. And social networking, which makes it easy for users to share favorite videos, has given marketers added incentive to produce video ads that can gain additional exposure by tapping into the social slipstream.

YouTube’s head of industry development, Suzie Reider, said marketers are increasingly developing ads that are tailored for specific audiences, making it more likely that Web surfers will actually watch them.

“We’re living in a day and age where nobody has to watch an ad that they don’t want to watch,” said Reider. “You can skip them on the Web, you can skip them on TV.”

To make its website more appealing to advertisers, YouTube has helped create hundreds of “premium channels” featuring professionally produced video as opposed to the amateur clips YouTube is famous for. And it’s developed a type of video ad that users can skip after five seconds – advertisers only pay if the ad is watched all the way through.

PRICE DEFLATION?

Despite the growth in Web video ad spending, which eMarketer estimates reached $ 2.93 billion in the United States last year, the firm said the spending still represents only about 10 percent of the broader online advertising market.

And that is a mere drop in the bucket compared with the $ 68 billion that Kantar Media estimates was spent on television advertising in 2011.

One potential constraint is the way big brands and agencies organize their marketing budgets, says Pivotal Research Group analyst Brian Wieser. Online video ads are typically funded from Web ad budgets rather than a much larger pool set aside for TV.

Analysts also note that the rich rates websites collect for video ads will decrease as more Internet sites open to ads – something that’s already happening thanks to technology that automatically pairs ads with videos on websites.

Still, many analysts and industry executives are optimistic about what they see as the bigger picture.

“The number of people watching TV seems to be stagnating or declining, and the number of people turning to the Internet for entertainment is surging,” said RBC’s Mahaney. “It almost inevitably drives these TV budgets online”

(Reporting By Alexei Oreskovic; additional reporting by Gerry Shih; Editing by Leslie Adler)

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'Skyfall,' 'Game of Thrones' win SAG stunt awards

LOS ANGELES (AP) — The James Bond adventure "Skyfall" and the fantasy series "Game of Thrones" have picked up prizes for best stunt work from the Screen Actors Guild.

The stunt honors were announced Sunday on the red carpet before the official SAG Awards ceremony, as stars were gathering for their guild's big night.

JoBeth Williams and Scott Bakula announced the winners, noting the value of stunt players, who often are overlooked for their contributions to film and television.

"The stunt men and women of our union are critical to the work that gets done," Bakula said. "They keep us healthy, they keep us alive, they keep us working. They keep our shows working."

Among the early arrivals were Sally Field, Peter Facinelli, Steve Buscemi, Ellie Kemper, Busy Phillips and Alec Baldwin, who has won six-straight SAG awards for actor in a comedy series.

"It's all the actors. It's all the tribe," Sally Field, a supporting-actress nominee for the Civil War epic "Lincoln," said of the SAG honors. "I've always been incredibly proud to be a member of the tribe."

"You get to see everyone here at the SAG Awards," said Facinelli, a co-star of the "Twilight" movies and "Nurse Jackie," which is nominated for best TV comedy cast. "It's where the reunion happens."

The SAG honors are the latest show in a puzzling Academy Awards season in which Hollywood's top prize, the best-picture Oscar, looks up for grabs among several key nominees.

Among nominees for the 19th annual guild awards are Oscar winners Field, Daniel Day-Lewis and Tommy Lee Jones for "Lincoln"; Hugh Jackman and Anne Hathaway for the Victor Hugo musical adaptation "Les Miserables"; and Jennifer Lawrence, Bradley Cooper and Oscar recipient Robert De Niro for the oddball romance "Silver Linings Playbook."

De Niro and Jones are in an exclusive supporting-actors group where all five nominees are past Oscar winners. The others are Alan Arkin for the Iran hostage-crisis thriller "Argo," Javier Bardem for the James Bond adventure "Skyfall" and Philip Seymour Hoffman for the cult drama "The Master."

Honors from the actors union, next weekend's Directors Guild of America Awards and Saturday night's Producers Guild of America Awards — whose top honor went to "Argo" — typically help to establish clear favorites for the Oscars.

But Oscar night on Feb. 24 looks more uncertain this time after some top directing prospects, including Ben Affleck for "Argo" and Kathryn Bigelow for "Zero Dark Thirty," missed out on nominations. Both films were nominated for best picture, but a movie rarely wins the top Oscar if its director is not also in the running.

Steven Spielberg's "Lincoln" would seem the Oscar favorite with 12 nominations. Yet "Argo" and Affleck were surprise best-drama and director winners at the Golden Globes, and then there's Saturday's Producers Guild win for "Argo," leaving the Oscar race looking like anybody's guess.

Affleck has made some nice jokes about his directing snub, wisecracking at one point that no one seemed surprised he didn't get an acting nomination for "Argo," either.

His colleagues just seem happy for all the attention the film has received.

"The thing is, we're all very pleased we've been nominated for so many things," ''Argo" co-star John Goodman said before the SAG Awards.

The Screen Actors Guild honors at least should help to establish solid front-runners for the stars. All four of the guild's individual acting winners often go on to receive the same prizes at the Academy Awards.

Last year, the guild went just three-for-four — with lead actor Jean Dujardin of "The Artist" and supporting players Octavia Spencer of "The Help" and Christopher Plummer of "Beginners" also taking home Oscars. The guild's lead-actress winner, Viola Davis of "The Help," missed out on the Oscar, which went to Meryl Streep for "The Iron Lady."

The guild also presents an award for overall cast performance, its equivalent of a best-picture honor. The nominees are "Argo," ''The Best Exotic Marigold Hotel," ''Les Miserables," ''Lincoln" and "Silver Linings Playbook."

Yet the cast prize has a spotty record at predicting the eventual best-picture recipient at the Oscars. Only eight of 17 times since the guild added the category has the cast winner gone on to take the best-picture Oscar. "The Help" won the guild's cast prize last year, while Oscar voters named "The Artist" as best picture.

Such past guild cast winners as "The Birdcage," ''Gosford Park" and "Inglourious Basterds" also failed to take the top Oscar.

Airing live on TNT and TBS, the show features nine television categories, as well.

Receiving the guild's life-achievement award is Dick Van Dyke, who presented the same prize last year to his "The Dick Van Dyke Show" co-star, Mary Tyler Moore. Van Dyke's award will be presented by his 1960s sitcom's creator and co-star, Carl Reiner, and Alec Baldwin.

___

Associated Press writer Beth Harris contributed to this report.

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Ariel Sharon Brain Scan Shows Response to Stimuli

JERUSALEM — A brain scan performed on Ariel Sharon, the former Israeli prime minister who had a devastating stroke seven years ago and is presumed to be in a vegetative state, revealed significant brain activity in response to external stimuli, raising the chances that he is able to hear and understand, a scientist involved in the test said Sunday.

Scientists showed Mr. Sharon, 84, pictures of his family, had him listen to a recording of the voice of one of his sons and used tactile stimulation to assess the extent of his brain’s response.

“We were surprised that there was activity in the proper parts of the brain,” said Prof. Alon Friedman, a neuroscientist at Ben-Gurion University of the Negev and a member of the team that carried out the test. “It raises the chances that he hears and understands, but we cannot be sure. The test did not prove that.”

The activity in specific regions of the brain indicated appropriate processing of the stimulations, according to a statement from Ben-Gurion University, but additional tests to assess Mr. Sharon’s level of consciousness were less conclusive.

“While there were some encouraging signs, these were subtle and not as strong,” the statement added.

The test was carried out last week at the Soroka University Medical Center in the southern Israeli city of Beersheba using a state-of-the-art M.R.I. machine and methods recently developed by Prof. Martin M. Monti of the University of California, Los Angeles. Professor Monti took part in the test, which lasted approximately two hours.

Mr. Sharon’s son Gilad said in October 2011 that he believed that his father responded to some requests. “When he is awake, he looks at me and moves fingers when I ask him to,” he said at the time, adding, “I am sure he hears me.”

Professor Friedman said in a telephone interview that the test results “say nothing about the future” but may be of some help to the family and the regular medical staff caring for Mr. Sharon at a hospital outside Tel Aviv.

“There is a small chance that he is conscious but has no way of expressing it,” Professor Friedman said, but he added, “We do not know to what extent he is conscious.”

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LOOKING AHEAD: Economic Reports for the Week of Jan. 28

ECONOMIC REPORTS Data to be released this week includes durable goods for December; pending home sales for December (Monday); the Standard &Poor’s/Case-Shiller housing price index for November; consumer confidence for January; A.D.P. employment for January and fourth-quarter weekly jobless claims; personal income and spending for December (Thursday); and unemployment for January (Friday).

CORPORATE EARNINGS Companies scheduled to report results this week include Biogen Idec, Caterpillar and Yahoo (Monday); AK Steel, Boston Scientific, the CIT Group, Corning, Eli Lilly, Ford Motor, D.R. Horton, JetBlue Airways, Pfizer, U.S. SteelAmazon.com (Tuesday); Boeing, Fiat, Northrop Grumman, ConocoPhillips, Electronic Arts and Facebook (Wednesday); Aetna, Altria, Blackstone, Colgate-Palmolive, Deutsche Bank, Dow Chemical, MasterCard, Nasdaq OMX, Pulte Group, Royal Dutch Shell, United Parcel Service, Viacom, WhirlpoolEastman Chemical (Thursday); and Exxon Mobil, Chevron, Mattel, Merck, Newell Rubbermaid and Tyson Foods (Friday).

IN THE UNITED STATES .

On Tuesday, a District Court judge in New Orleans will decide whether to approve BP’s plea agreement with the government concerning damage caused by the 2010 gulf oil spill.

On Wednesday, the Federal Open Market Committee will issue a statement at the conclusion of a two-day meeting.

On Friday, automakers will report their sales for January.

OVERSEAS On Monday, Toyota Motor will disclose its global production data for 2012.

On Wednesday, Research in Motion will introduce the BlackBerry 10 at events worldwide.

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Chávez Is Optimistic, Says Venezuelan Vice President

CARACAS, Venezuela — President Hugo Chávez is experiencing the “best moment” yet of his recovery from cancer surgery, Vice President Nicolás Maduro said Saturday.

He emphatically added that Mr. Chávez would return to Venezuela take charge of the government again.

Mr. Maduro spoke on his return from Cuba, where Mr. Chávez had surgery on Dec. 11.

“The commander is in the best moment that we have seen him in all these days of struggle and battle,” Mr. Maduro said. “He is smiling, he has a look full of light, he has a special illumination in his thought.”

Mr. Maduro said that Mr. Chávez had asked him to deliver a brief message to Venezuelans.

“He said tell the people that he is optimistic and has lots of faith in what we’re doing,” Mr. Maduro said, adding that Mr. Chávez was referring to his medical treatment. He said the president was “holding tight to Christ and to life.”

He went on to predict Mr. Chávez’s return, but did not say when that might occur.

“This blessed land of the Liberator will see our commander president, it will see him, in his time, in his time it will see him here,” Mr. Maduro said. “We’re going to have him, as he should be, as president, in charge of our country.”

Mr. Chávez has not been seen since his surgery last month. Unlike the president’s previous trips to Cuba for treatment, this time there have been no photographs or videos or television appearances, and Mr. Chávez has not called in to government run television programs to make his voice heard.

The political opposition has demanded more information about his condition and has asked for a team of medical experts to travel to Cuba to get an update on his health, but the government has rebuffed those requests.

Mr. Chávez has refused to say what kind of cancer he has or exactly where it was found in his body. Government officials have not offered many details about his most recent cancer surgery, his fourth since June 2011. But on Saturday, Information Minister Ernesto Villegas said that the purpose of the surgery was “to remove a malignant lesion in the pelvis.” He added that Mr. Chávez had overcome a severe lung infection that occurred after the surgery and was now receiving additional medical treatment, which he did not describe.

Mr. Chávez, who was re-elected in October, was unable to return to Venezuela for the inauguration for his new term, which began Jan. 10. The long absence has plunged the country into uncertainty and has led many to question whether he will be able to regain his health and continue as president.

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How to Share Vine Videos on Tumblr

When Twitter launched Vine Thursday it omitted one important social network from its sharing options: Tumblr. Looped GIF images are extremely popular on Tumblr, so the audience there for Vine videos is potentially huge.

Just because there’s no native way to share Vines on Tumblr, doesn’t mean you can’t share your creations on the site. Here are few different ways you can include Vine videos in your Tumblr posts:

[More from Mashable: Facebook Explains Why Vine Can’t Access Your Friends]

Upload Directly To Tumblr

If you want to share your Vine on Tumblr, one of the easiest ways is to just upload it directly to your Tumblr from your iOS device using Tumblr’s app.

Every Vine you create is automatically saved to the camera roll on your device. To upload to Tumblr:

[More from Mashable: John Tesh Thanks 500 Helpful Tweeters With $ 5 Gift Cards]

• Launch the Tumblr app on your phone


• Create a new post


• Select video from the options


• Choose existing video


• Select the Vine you’d like to upload from the video clips stored on your phone

Vine videos shared this way will just play through once rather than loop. To get that looped effect, you can import the video clip into your favorite mobile video editor (Splice is a good example, but there are many others) and copy it several times, laying the copies down on the timeline, one after another. Once you’ve reached your desired length, export the video and upload it just as you would a traditional video through Tumblr.

If you don’t have a video editor on your phone, you can email the clip to yourself from your phone’s Photo Library and edit it on your computer instead.

Embed a Tweet

Embedding a tweet on Tumblr is the easiest way to share the looped version of your Vine. To embed a tweet:

• Share your Vine on Twitter


• Go to Twitter.com


• Click on the More button on the tweet associated with your Vine


• Select Embed Tweet


• Copy the code generated by Twitter and add it to a post on Tumblr

If you don’t want to share all your Vines through your own Twitter stream but want the ability to embed them, consider creating a Twitter account just for your Vines. Once you tweet them, you’ll be able to copy/paste tweets or links to your Vine from your special account to your main account fairly easily, and you won’t pollute your traditional Twitter stream.

Upload To Your Favorite Video Service

iOS devices offer the ability to upload video clips directly from your Photo Library to YouTube.

Vine video files are saved as MOV’s so you can upload the file to almost any video service and then embed that player into your Tumblr blog.

The file can also be downloaded onto your computer and uploaded to Tumblr (or other sites) any way you’d like.

Have you tried sharing Vine videos on Tumblr, or another site? Let us know your own tips and tricks for sharing the video clips in the comments.

Click here to view the gallery: How To Use Vine

Photo by Emily Price, Mashable

This story originally published on Mashable here.

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Kutcher takes on tech idol Steve Jobs in 'jOBS'

PARK CITY, Utah (AP) — Ashton Kutcher says playing Steve Jobs on screen "was honestly one of the most terrifying things I've ever tried to do in my life."

The 34-year-old actor helped premiere the biopic "jOBS" Friday, which was the closing-night film at the Sundance Film Festival.

Kutcher plays the Apple Inc. founder from the company's humble origins in the 1970s until the launch of the first iPod in 2001. A digital entrepreneur himself, Kutcher said he considers Jobs a personal hero.

"He's a guy who failed and got back on the horse," Kutcher said. "I think we can all sort of relate to that at some point in life."

Kutcher even embodied the Jobs character as he pursued his own high-tech interests off-screen.

"What was nice was when I was preparing for the character, I could still work on product development for technology companies, and I would sort of stay in character, in the mode of the character," he said. "But I didn't feel like I was compromising the work on the film by working on technology stuff because it was pretty much in the same field."

But playing the real-life tech icon who died in 2011 still felt risky, he said, because "he's fresh in our minds."

"It was kind of like throwing myself into this gauntlet of, I know, massive amounts of criticism because somebody's going to go 'well, it wasn't exactly...,'" Kutcher said.

While the filmmakers say they tried to be as historically accurate as possible, there was also a disclaimer at the very end of the credits that said portions of the film might not be completely accurate.

Still, realism was always the focus for Kutcher, who watched "hundreds of hours of footage," listened to Jobs' past speeches and interviewed several of his friends to prepare for the role.

The actor even adopted the entrepreneur's "fruitarian diet," which he said "can lead to some serious issues."

"I ended up in the hospital two days before we started shooting the movie," he said. "I was like doubled over in pain, and my pancreas levels were completely out of whack, which was completely terrifying, considering everything."

Jobs died of complications from pancreatic cancer.

Still, Kutcher was up to the challenge of playing Jobs, in part because of his admiration for the man who created the Macintosh computer and the iPod.

"I admire this man so much and what he's done. I admire the way he built things," Kutcher said. "This guy created a tool that we use every day in our life, and he believed in it when nobody else did."

The film also shows Jobs' less appealing side, withholding stock options from some of the company's original employees and denying child support to the mother of his eldest child.

Kutcher still found the man inspiring. Jobs had a singular focus, Kutcher said, and felt like anyone could change the world.

"I don't know if there's ever been an entrepreneur who's had more compassion and care for his consumer than Steve Jobs," Kutcher said. "He wanted to put something in your hand that you could use and you could use it easily... and he really cared about that."

___

AP Entertainment Writer Sandy Cohen is on Twitter: www.twitter.com/APSandy.

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Religious Groups and Employers Battle Contraception Mandate

Shawn Thew/European Pressphoto Agency

President Obama, with his health secretary, Kathleen Sebelius, offering a compromise on the contraception mandate last year.

In a flood of lawsuits, Roman Catholics, evangelicals and Mennonites are challenging a provision in the new health care law that requires employers to cover birth control in employee health plans — a high-stakes clash between religious freedom and health care access that appears headed to the Supreme Court.

In recent months, federal courts have seen dozens of lawsuits brought not only by religious institutions like Catholic dioceses but also by private employers ranging from a pizza mogul to produce transporters who say the government is forcing them to violate core tenets of their faith. Some have been turned away by judges convinced that access to contraception is a vital health need and a compelling state interest. Others have been told that their beliefs appear to outweigh any state interest and that they may hold off complying with the law until their cases have been judged. New suits are filed nearly weekly.

“This is highly likely to end up at the Supreme Court,” said Douglas Laycock, a law professor at the University of Virginia and one of the country’s top scholars on church-state conflicts. “There are so many cases, and we are already getting strong disagreements among the circuit courts.”

President Obama’s health care law, known as the Affordable Care Act, was the most fought-over piece of legislation in his first term and was the focus of a highly contentious Supreme Court decision last year that found it to be constitutional.

But a provision requiring the full coverage of contraception remains a matter of fierce controversy. The law says that companies must fully cover all “contraceptive methods and sterilization procedures” approved by the Food and Drug Administration, including “morning-after pills” and intrauterine devices whose effects some contend are akin to abortion.

As applied by the Health and Human Services Department, the law offers an exemption for “religious employers,” meaning those who meet a four-part test: that their purpose is to inculcate religious values, that they primarily employ and serve people who share their religious tenets, and that they are nonprofit groups under federal tax law.

But many institutions, including religious schools and colleges, do not meet those criteria because they employ and teach members of other religions and have a broader purpose than inculcating religious values.

“We represent a Catholic college founded by Benedictine monks,” said Kyle Duncan, general counsel of the Becket Fund for Religious Liberty, which has brought a number of the cases to court. “They don’t qualify as a house of worship and don’t turn away people in hiring or as students because they are not Catholic.”

In that case, involving Belmont Abbey College in North Carolina, a federal appeals court panel in Washington told the college last month that it could hold off on complying with the law while the federal government works on a promised exemption for religiously-affiliated institutions. The court told the government that it wanted an update by mid-February.

Defenders of the provision say employers may not be permitted to impose their views on employees, especially when something so central as health care is concerned.

“Ninety-nine percent of women use contraceptives at some time in their lives,” said Judy Waxman, a vice president of the National Women’s Law Center, which filed a brief supporting the government in one of the cases. “There is a strong and legitimate government interest because it affects the health of women and babies.”

She added, referring to the Centers for Disease Control and Prevention, “Contraception was declared by the C.D.C. to be one of the 10 greatest public health achievements of the 20th century.”

Officials at the Justice Department and the Health and Human Services Department declined to comment, saying the cases were pending.

A compromise for religious institutions may be worked out. The government hopes that by placing the burden on insurance companies rather than on the organizations, the objections will be overcome. Even more challenging cases involve private companies run by people who reject all or many forms of contraception.

The Alliance Defending Freedom — like Becket, a conservative group — has brought a case on behalf of Hercules Industries, a company in Denver that makes sheet metal products. It was granted an injunction by a judge in Colorado who said the religious values of the family owners were infringed by the law.

“Two-thirds of the cases have had injunctions against Obamacare, and most are headed to courts of appeals,” said Matt Bowman, senior legal counsel for the alliance. “It is clear that a substantial number of these cases will vindicate religious freedom over Obamacare. But it seems likely that the Supreme Court will ultimately resolve the dispute.”

The timing of these cases remains in flux. Half a dozen will probably be argued by this summer, perhaps in time for inclusion on the Supreme Court’s docket next term. So far, two- and three-judge panels on four federal appeals courts have weighed in, granting some injunctions while denying others.

One of the biggest cases involves Hobby Lobby, which started as a picture framing shop in an Oklahoma City garage with $600 and is now one of the country’s largest arts and crafts retailers, with more than 500 stores in 41 states.

David Green, the company’s founder, is an evangelical Christian who says he runs his company on biblical principles, including closing on Sunday so employees can be with their families, paying nearly double the minimum wage and providing employees with comprehensive health insurance.

Mr. Green does not object to covering contraception but considers morning-after pills to be abortion-inducing and therefore wrong.

“Our family is now being forced to choose between following the laws of the land that we love or maintaining the religious beliefs that have made our business successful and have supported our family and thousands of our employees and their families,” Mr. Green said in a statement. “We simply cannot abandon our religious beliefs to comply with this mandate.”

The United States Court of Appeals for the 10th Circuit last month turned down his family’s request for a preliminary injunction, but the company has found a legal way to delay compliance for some months.

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7 Die in Fire At Factory In Bangladesh

A.M. Ahad/Associated Press

Firefighters and volunteers worked to extinguish the fire at a small garment factory in Bangladesh’s capital on Saturday.

DHAKA, Bangladesh — In the latest blow to Bangladesh’s garment industry, seven workers died Saturday after a fire swept through a factory here not long after seamstresses had returned from a lunch break. Workers said supervisors had locked one of the factory exits, forcing some people to jump out of windows to save their lives.

Abir Abdullah/European Pressphoto Agency

Relatives mourned beside the bodies of workers killed in the fire at a hospital in Dhaka.

Reuters

People sifted through the wreckage at the Smart Fashions factory.

The fatal fire comes roughly two months after the blaze at the Tazreen Fashions factory left 112 workers dead and focused global attention on unsafe conditions in Bangladesh’s garment industry. Tazreen Fashions, located just outside Dhaka, the capital, had been making clothing for some of the world’s biggest brands and retailers, including Walmart.

In the aftermath of the Tazreen Fashions fire, political and industrial leaders in Bangladesh pledged to quickly improve fire safety and even conducted high-profile, nationwide inspections of many of the country’s 5,000 clothing factories. And global brands promised they would not buy clothes from unsafe factories.

But Saturday’s fire in a densely populated section of Dhaka is a grim reminder that the problems remain. The blaze erupted about 2 p.m. at Smart Garment Export, a small factory that employed about 300 people, most of them young women who were making sweaters and jackets. All seven of the dead workers were women.

Masudur Rahman Akand, a supervisor in the fire department, said the factory’s workers were returning from lunch when the blaze erupted in a storage area. The factory was located on the second floor of a building, above a bakery, and it lacked proper exits and fire prevention equipment, Mr. Akand said.

“We did not find fire extinguishers,” he said. “We did not find any safety measures.”

With smoke filling the factory floor, workers apparently panicked. Mr. Akand said the seven workers who died either suffocated or were trampled by people trying to escape.

Eight other workers were hospitalized with injuries. Some of them told rescuers that many people could not quickly escape because one of the exits was blocked by a locked steel gate. Witnesses said people began jumping out of windows before the gate was unlocked.

Azizul Hoque, a police supervisor, said the investigation was continuing. “We do not know the reason or the source or the origin of the fire,” he said.

It was unclear whether the Smart Garment factory was making clothing for international brands or retailers. Dhaka’s industrial areas are filled with factories, large and small, that produce clothing for much of the Western world.

Julfikar Ali Manik reported from Dhaka, and Jim Yardley from New Delhi.

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A Staff Shake-Up at the White House

WASHINGTON — As he heads into a second term with sweeping ambition in an era of gridlock, President Obama is assembling a new White House team that looks much like the old one, choosing familiarity over freshness even at the risk of insularity.

Mr. Obama installed his longtime aide Denis R. McDonough on Friday as his fifth White House chief of staff and announced a host of other selections that suggested more stirring than shaking up his West Wing. Of 10 appointees named on Friday, all came from inside the administration or re-election campaign.

While aides played musical chairs, moving up and moving around to new positions, the overall continuity suggested that Mr. Obama felt no need to inject new energy into a team that brought him through re-election last year. Buffeted by one crisis after another, the president prefers to stick with the circle of advisers he has come to trust through four tumultuous years in office, wary of introducing new personalities after some unsuccessful experiments in his first term.

Outside the White House itself, the president’s cabinet selections have so far been a mix of administration veterans and new faces, although even there the outsiders have generally been close allies, like Senator John Kerry at the State Department. Appointments to come may bring more people from outside Mr. Obama’s orbit, including a new budget director. But Friday’s announcements made it clear that most of the faces Mr. Obama will see each day will be well known to him.

With stability comes some danger, a fact that Mr. Obama’s advisers said they recognized.

Veterans of his administration and its predecessors said one of the biggest concerns for a second-term president is listening to the same people so much that contrary voices from the outside are too easily dismissed. Moreover, the bone-crushing, 14-hour-plus days and six- or seven-day weeks wear down even the hardiest White House officials and, over time, can erode judgment.

Advisers to Mr. Obama said they hoped to avoid such pitfalls. “Our staffing, our cabinet selections, are not done, so I think you’ve got to wait for the full picture to evaluate,” said David Plouffe, the president’s departing senior adviser, whose last day on the job was Friday. “But this core White House team, I think, is going to be extraordinarily strong and cohesive.”

Mr. Plouffe and other Democrats said that moving veterans to new positions by itself would have a rejuvenating effect without the mistakes that invariably come from on-the-job training required of inexperienced newcomers.

“Working in the White House is like landing on an alien planet,” said Joel P. Johnson, who was brought in as a counselor to President Bill Clinton in his second term. “You just can’t bring somebody from the business community or private sector or a think tank and be assured they’re going to function at the level required in that kind of environment.”

To lead his second-term team, Mr. Obama turned to one of his closest advisers, Mr. McDonough, the latest to hold the corner office after Rahm Emanuel, Pete Rouse (as an interim chief), William M. Daley and Jacob J. Lew, who is leaving to become Treasury secretary if confirmed by the Senate.

Mr. McDonough, 43, has wielded influence that belied his title as principal deputy national security adviser. When he advocated a position, other officials understood that he was almost certainly channeling Mr. Obama, and no one is a fiercer defender of the president. Mr. McDonough has at times left bruised feelings elsewhere in the administration, particularly in the Pentagon and the State Department, where he is viewed by some as a brusque enforcer. But he is popular within the West Wing, where his loyalty and work ethic are highly valued.

The president called Mr. McDonough “one of my closest friends” and an “indispensable member of my national security team” who was central to every major foreign policy decision of the past four years, including the troop withdrawal from Iraq, the response to the earthquake in Haiti and the lifting of limits on service in the military by openly gay people.

“I have been counting on Denis for nearly a decade,” Mr. Obama said. “I relied on his intellect and good judgment, and that has continued ever since.”

Jackie Calmes contributed reporting.

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