Feedburner is positioning its Headline Animator service as a new type of banner advertising for sites that use news feeds.

Here’s how Feedburner explains it:

By connecting the simple-to-use Headline Animator service to our world-class feed advertising network we can give content publishers the ability to create their very own dynamic, feed-powered ad units and place them in the feed ad network (all by themselves). No sales folks, no ad trafficking to ensure the creative is current. No speed bumps. Just you and your content, going more places. This is the fast-track method for putting dynamic content in front of an audience subscribed to the most popular feeds on the series of tubes. If the world’s top blue-chip advertisers can advertise in feeds, why not you too?

In other words, Headline Animator lets you create banner ads that are dynamically updated with information from your news feed. This means that you can place banner ads that will automatically update to promote your latest news, podcast or video podcast.

While many people have concerns about putting all your eggs in Feedburner’s basket, their approach to dynamic, news-driven banners has merit.

Details are available at the Feedburner site.