After a lot of regulatory hubbub, Google finally closed its $750 million purchase of AdMob. Now the mobile advertising battle with Apple can commence.
This mobile ad battle between Apple and Google has been months in the making. Google announced plans to buy AdMob in November. Apple picked up Quattro Wireless in January. The mission in both cases: Develop mobile advertising and garner the revenue on their respective platforms.
Apple doesn't want Google to run off with the mobile ad revenue on its platform. And Google isn't about to cede mobile advertising space to Apple. Now we have a nice bit of timing. Google is closing the AdMob deal just ahead of Apple's WWDC conference where iPhone 4.0 and its iAd platform will be ready for prime time.
Google said in a blog post announcing the closing of the AdMob deal:
AdMob was one of the first companies to serve ads inside mobile applications on the Android and iPhone platforms. They’ve developed a host of engaging and creative ad units for Android and iPhone apps—for example, interactive video ad units and expandable rich media ads. Google has also been developing new features for in-app ads.
It’s clear that mobile advertising is growing incredibly fast with lots of businesses innovating at great speed. Every day, more marketers are looking to take advantage of the mobile-specific capabilities, extended reach, great returns and value that mobile advertising provides. Advertisers are now starting to see mobile as an essential part of their overall campaigns, not just a silo-ed experiment on the side.
Funny that's what Apple's Quattro Wireless says. Apple CEO Steve Jobs says mobile "most of this mobile advertising really sucks, and we thought we might be able to make some contributions."
Now this mobile ad skirmish won't be a blow-by-blow heavyweight fight. Quattro's Web site talks about iPhone advertising and it's quite possible that the ad unit eventually focuses only on the Apple ecosystem. Google has broader ambitions. In any case, mobile advertising is about to get a lot more interesting.
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- Knowledge@Wharton: Going Mobile: How iAd and AdMob Move Apple vs. Google to a New Playing Field