A small piece of cardboard inserted in a page holds a mini screen and has adverts for Pepsi Max and the American TV network, CBS.
In-built speakers have also been provided to make the advert audible. small chip containing the footage gets activated and displays the video when the page is turned to. Each chip can store up to 40 minutes of clippings.
The slim screens are as good as cell phone displays and work on rechargeable battery.
The BBC quoted Pepsi's chief marketing officer, Frank Cooper, as saying: "This is an extraordinary way to refresh how we interact with consumers."
Copies of the magazine video advert containing mag will be sold in Los Angeles and New York.