How is it insane. Owning distribution channels has been valuable since the beginning of commerce. It's no different than a newspaper company saying they own the paper so they have the power to print ads in it.
You really aren't paying attention. They weren't talking about distribution channels. They were talking about capturing user data - "we know who's in the LG household. We know which devices are there. We know what you're exposed to on TV and we know how to extend that reach into mobile."
Having a device that can distribute ads to consumers is a distribution channel. Measuring ad impressions is a core part of ad distribution.
You still aren’t paying attention. They capture data about people in (and nearby) the household that aren’t even using the product.