Speaking at today's ISBA annual conference, Freudenstein said that consumer choice should not cause advertisers fear.
"If consumers take advantage of technological advances, it means that television is becoming a more compelling medium," he said.
In a week when it was revealed that Britons with access to only terrestrial TV channels were now in a minority, he said that if television did not involve audiences, it will be increasingly threatened by platforms such as the internet and mobile phones.
He said that interactive TV would lead to opportunities for brand owners to contribute to content and should be seen as the chance for them to build stronger, more loyal relationships with customers.
Freudenstein also took the opportunity to lambast what he described as the "discriminating and outdated media regulations", preventing Sky from moving into terrestrial. He said that British broadcasters would stay "minnows on the world stage" if they remained shackled by current legislation.
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