Apple Starting Ad Network
Certainly Steve Job’s recent comment, “Google do no evil is bullshit” reflected a certain frustration with his new enemy. There has been a lot of speculation on how Google utilized it’s Apple relationship to make inroads into its own mobile offering. Job’s isn’t one to miss a good fight and may be setting the stage with an Apple mobile ad network to compete with Google’s AdMob.
As reported in New Media Age, Apple has hired several mobile advertising executives with focuses on Europe, Middle East, and Africa. One such executive is Todd Tran, who has been hired as general manager of Apple’s European mobile ad network. The article points out that Apple is building a network of publishers and advertisers to play a role in it’s mobile devices.
Apple recently bought mobile network Quattro Wireless, and named the Andy Miller, vice president of Mobile Advertising. Speculation is that Apple purchased the company for $275 million after missing the opportunity to buy AdMob, which Google picked up for $750 Million.
A quote from New Media Age distills the thinking, “While Apple is new to the ad business, its App Store for the iPhone and iPod touch includes a wealth of free applications available that are often supported by advertising. And with the huge success of the App Store, now with 140,000 options and counting, Apple sees advertising as an important revenue opportunity in the company’s future. In terms of Quattro and Lala we acquired Quattro because we wanted to offer a seamless way for developers to make more money on their apps, especially free apps,” Apple Chief Financial Officer Peter Oppenheimer said during Apple’s earning call last week. “We acquire companies from time to time for their technology and talent — that’s why we do it.”
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