AdMob said to have been approached by Apple before inking $750 million Google deal

Apple Sale“AdMob Inc. was approached by Apple Inc. about an acquisition before the company agreed to a $750 million offer from Google Inc., according to people familiar with the matter,” Serena Saitto, Brian Womack and Connie Guglielmo report for Bloomberg.

“Apple contacted AdMob a few weeks before Google made its bid, said one of the people, who declined to be identified because the negotiations weren’t public,” Saitto, Womack and Guglielmo report. “AdMob, based in San Mateo, California, sells ads that appear on mobile phones.”

“The interest in AdMob highlights the increasing competition in the mobile-phone market between Apple, maker of the iPhone, and Google, the most popular search engine. Google Chief Executive Officer Eric Schmidt resigned from Apple’s board in July after serving for three years. At the time, Apple CEO Steve Jobs said that move was necessary because Google was entering ‘more of Apple’s core businesses,'” Saitto, Womack and Guglielmo report.

“Together, AdMob and Google will be the largest mobile- advertising company, with about 30 percent to 40 percent of the market, according to Karsten Weide, an analyst with researcher IDC in San Mateo,” Saitto, Womack and Guglielmo report. “Buying AdMob would have allowed Apple to expand into online advertising, a strategy that Nokia Oyj is pursuing, Weide said.”

Read more in the full article here.

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

31 Comments

  1. Funny thing about web ads?

    They annoy me so much that I go out of my way to NOT shop those who shove them in my face, and where possible, I send my money to their competitors.

  2. hahaha, nice Big Als MBP

    i really dont see apple and google being serious competitors. they seem to have an fairly symbiotic relationship

    am i the only one who sees a future utopia with apple dominating the high-end and google dominating the low-end (with uninspiring stale companies like micro$oft relegated to obscurity where they belong)?

  3. @ Sixvodkas
    That’s why I will never rent from netflix. Those bastards sneak their ads on my MBP, even with adblock, of course with a certain Mac news sites permission.

  4. @sixvodkas,
    I’m with you 100%! I go out of my way to avoid viewing the annoying ads, and I refuse to buy from those companies. Well-mannered ads that are not distracting are a different matter.

  5. I’m inclined to believe TommyBoy.

    With the percentage of mobile traffic generated thru the iPhone, imagine what would happen to AdMob if Apple developed a proprietary version of serving ads on exclusively on iPhone/ iPods.

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