Google might be preparing for the launch of the Android powered G1, but they are still very interested in the iPhone and a user base that will top 10 million by year's end. Being the default search engine for mobile Safari has a potential to be a money maker for Google and now comes word they are going to start offering options for advertisers to target iPhone owners directly.
Google has met with a number of ad agencies and shortly, they will be offering a new option to show an iPhone specific ads as part of a companies search campaign. While the iPhone has the capability to show the full Internet, the ads would be mobile specific. For example, and American Airlines ad could have a click to action that would call to book a flight.
It appears that Apple is on track to meet their goal of 10 million iPhones sold by the end of 2008 and might have already eclipsed that number. As more and more consumers move to smartphones and in particular the iPhone, ad companies like AdMob are looking to capitalize on the success of the iPhone by finding new advertising opportunities. The trojan horse to insert relevant ads into your mobile experience appears to be free applications.
According to Apple, more than 100 million apps have been downloaded since the store launched in July. Twenty percent of these apps are free, but they account for 90% of downloads. People love free stuff and software is no different. Add to the fact that some free apps are well written apps that high in demand. Social networking apps, games and location based apps account for a larger percentage of these apps. Advertising companies are finding unique opportunities to deliver relevant ads based upon your location and some developers are looking at ad revenue as an alertnative to paid apps. Larger developers such as Loopt see the ad-subsidized model as method to keep Loopt "free across the board". Pandora Radio now features ads from Best Buy and Beck.
