09 April 2010 | Author: D. Warburton Search Copywriter

Apple breaks into mobile ad market with 'iAd'

Apple breaks into mobile ad market with 'iAd' Hot on the heels of his company's successful iPad launch, Apple founder Steve Jobs has revealed some of the new features coming to its trend-setting iPhone later this year.

The most talked-about feature unveiled by the CEO at Apple's California headquarters is the previously rumoured iAd service, Apple's first foray into the lucrative mobile advertising market. BBC technology reporter Maggie Shiels observed that this platform, which places ads in third party applications, will see Apple competing directly with Google's search engine advertising model.

Apple's move into mobile advertising has been anticipated since the company bought mobile ad network Quattro in January for $300 million (£196 million), after market leader AdMob was snapped up by Google.

Jobs made his feelings clear about Google's acquisition, which is currently being investigated by US antitrust regulators, explaining: "Google came in and snatched them because they didn't want us to have them."

The Apple boss observed that iPhone users tend to spend more time within applications than browsing the internet, so it made sense to include ads within this context. The iAd model will see developers taking 60 per cent of ad revenues.

Jobs confirmed that the iPhone OS 4.0 update will come to the iPhone and iPod Touch later this year, followed by the iPad.

Another service receiving its iPhone debut later this year is a multi-tasking feature that will allow users to run more than one application simultaneously. The CEO demonstrated an iPhone running online radio station Pandora at the same time as checking emails and reading news online, and confidently stated: "We weren't the first to this party but we're going to be the best."
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