Don’t kid yourselves, ad companies: Apple really does want to own the in-app ad market

invisibleSHIELD case for iPad“Is Apple really trying to shut out other ad networks from its iPhones and iPad apps? That’s what it looked like at first blush last month,” Peter Kafka reports for AllThingsD.

“Recently, though, I’ve talked to some mobile ad companies that are more hopeful,” Kafka reports. ” They think Apple will let them compete with its iAd platform in a fair fight.”

Kafka reports, “Maybe they’re saying that because they have to appear optimistic. Maybe they really believe it. But I think they’re wrong. I think Apple intends to own the ad market for its app ecosystem.”

Full article here.

MacDailyNews Take: Obviously, Apple wouldn’t enter, or create, a market that it didn’t intend to own.


  1. Of course they want the add market for their app. ecosystem. Why wouldn’t they? Doesn’t NBC want to control the add market on their network?

    I don’t see a problem in this, so-long-as we can get to the open internet and make our own choices as well.

    I hate adds for the most part. Unless I am looking for something and one helps me. That is not too often.

  2. Mobile advertising is different, offering an “immediate need” service, combined with location services, and “always available (portability) service. It will change the ways that advertising is made, sold, its profitability and the players in the ad market.

    Of course, Google, Apple, Microsoft, Amazon, Facebook and essentially every company involved with ads wants a piece of the new market. What do you think Android and Chrome are really about?

    There is nothing anti-competitive about Apple’s move into this new area. Unless, of course, Apple does the ads “better” than the competition.

  3. I don’t think Apple wants to own this. I think they’re pushing another part of the world into a paradigm shift in order to further Apple’s ideas. Imagine that proving the world isn’t flat as not being that big of an idea to Isabella and Ferdinand. “Uh, there’s lots of Gold and Spices.” “Good, Chris, anything else?” “Uh, you’ll be the talk of all the royalty….” Steve said what he had in mind: It’s an opportunity for ad agencies to exercise creativity (and make more money, wink, wink). You make money, we make money – it’s win, win.

  4. Good ads are made by ad agencies.
    Ad agencies will place their ads on behalf of their clients on the iPad.
    To do this, the agencies will buy time on Apples platform and then re-sell the time to their clients. Apple wins, Ad agencies win and client wins.

  5. Were Google ads created in the spirit of a fee, open-source platform that anyone could use? I only see the occasional competitor (like Adsense) who have developed their own propreitary systems. The most I can say for Google is focusing on text-only, targeted advertising. But the bottom line, which has been brought up time and time again is that everyone engages in proprietary practices, so why is Apple being demonized for this?

  6. Apple sees that Google is nothing more than an internet ad company that has the money to dabble in all sorts of other ares. Without ads, Google is nothing. With iAds, Apple has an endless stream of revenue without having to make new sales. What better way to build the war chest to dwarf the U.S. debt?

    So Apple wants a piece of the pie, and also doesn’t want to be caught being dependent on Google for any reason. Also, Apple wants to control the experience of its devices, mobile in particular, and wants the ad experience to be very Apple-like and not have the inconsistencies and total crap that exists on other platforms. Finally, Apple controlling ads on its mobile devices can help ensure there are not poorly-coded ads which crash the device or even just hang up apps like Safari.

  7. Oooo, there’s an idea – Apple buys the U.S. in a few years. Then maybe things will work properly in our country, and dealing with governmental entities will actually be a pleasant experience.

  8. There is a difference between “owning” through competition via superior products, and “owning” through lockout of competitors. Maybe I’m misreading what he said, but it seems to me he thinks Apple will force out other mobile advertisers, and that’s just wrong. I love Apple, but I love the free market and competition more. Apple got my business because they made a superior product in a competitive environment, they should do the same in the Ad market.

  9. Of course it’ll be a fair fight. The difference is that Apple will offer a better revenue stream than the other ad offerings. A 60-40 split and more clicks.

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