RIM Looking to Acquire a Mobile Advertising Network?

The latest news in the mobile world is that Research In Motion, the famed Blackberry maker, is looking to buy a mobile advertising network.

RIM firmly believes that the only way to take on its arch rivals Apple and Google is to buy a mobile ad network which is big enough to challenge the networks of its rivals. It is said the company has been negotiating with Millennial Media, a Baltimore based advertising network. The talks, however, were not a success as the ad network expected a huge sum – somewhere in the range of $400-500 million.

RIM, understandably, is concerned about paying such a huge price as it believes that it is too expensive a price to pay to acquire the network. If you remember, Apple paid close to $300 million to acquire Quattro and Google paid an astronomical $750 million to acquire AdMob.

Millennial Media, according to sources, is not very interested in the deal as it believes that it has a bright future as an independent company. Also, it believes that an acquisition by RIM would limit its ability to serve targeted ads to the iPhone, iPad, and iPod platforms, which would eventually affect its relationship with Apple. So, it is not willing to give the nod unless it gets the right price.

Since the talks with Millennial Media were less than satisfactory, RIM is also believed to be looking for other mobile advertising networks like Greystripe and JumpTap.

The reason why RIM is so desperate to acquire a mobile ad network is not hard to understand. Its share in the global smartphone market slumped from 19.1 percent to 17.8 percent recently and most of its latest launches like Blackberry Storm, Storm2, and Blackberry Torch have not been a great success. So, to catch up with the rapid growth of Google Android and Apple OS, it believes it has to have its own mobile advertising network. While both Millennial Media and Research In Motion have declined to comment publicly on the developments, it is said that we could expect some big news, particularly from the RIM camp, in the near future.

Categories: Cell Phone Advertising, All things mobile phones, RIM.

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AT&T Orders 8 Million Windows Phone 7 Devices - What Does It Mean for the Future of Microsoft and AT&T?

The mobile industry is abuzz with the news about AT&T placing an order for 8 million Windows Phone 7 devices. The news comes from Michael Gartenberg, who is a well known name in the mobile industry. This news has surprised many for two reasons.

1. AT&T still remains the exclusive iPhone carrier in the U.S. The unprecedented success of the iPhone has helped AT&T increase its subscriber base significantly. In such a case, a shift towards Microsoft is seen by many as a shift away from Apple.

2. Microsoft is not a very big name in the mobile phone domain today, which is ruled by two of its greatest rivals – Google and Apple. So, many believe that AT&T will not gain much from a partnership with Microsoft.

On the surface, it looks like AT&T is taking a big risk by ordering such a huge number of Windows Mobile 7 devices. However, if you take a closer look, you will realize that it is not as risky as it seems.

First, there are rumors that the exclusive deal between AT&T and Apple might end soon. Industry insiders say that a Verizon version and a T-Mobile version of the iPhone might be in the offing, which would effectively end AT&T’s stint as the exclusive iPhone carrier in the country. If these rumors are indeed true, it makes sense for AT&T to look for an alternative since the iPhone will be no longer unique to its network.

Microsoft, due to various reasons, is still struggling to compete with Apple and Google and is desperately trying to become a dominant force in the mobile phone domain for ages. It is betting big on Windows Phone 7, which is expected to be loaded with highly advanced features. If Windows Phone 7 becomes a success, AT&T will be able to retain its position as a prominent carrier in the country and Microsoft will be able to gain a much needed foothold in the mobile phone market. So, whichever way you look at it, it is certainly an interesting move by AT&T. Will it pay off? Let us wait and watch.

Categories: All things mobile phones, Microsoft.

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Mobimag - Print Medium Goes Mobile in the Middle East

Mobivision, a digital media solutions provider based in Dubai, has developed a first-of-its-kind mobile application called Mobimag, which allows people to read magazines and newspapers on their mobile phones.

Mobimag is an ad-funded platform, which means it is available free to customers. The developers call it an intuitive, effective, and interactive advertising platform. They say the adverts could be in the form of small applications, games, videos, or animations, which gives advertisers a variety of choices to reach their target customer base. The platform has a ‘click to call’ button which customers can use to respond to the adverts.

The USP of the application is that it displays magazines and newspapers exactly in the same format as their print versions. It allows users to open and view the content in a mobile friendly format. Accessing print material on mobile phones is a fairly new concept in the Middle East, so, understandably, the application has garnered a lot of attention quickly.

Prominent UAE publishers including Campaign Middle East, Gulf Business Magazine, and the 7DAYS newspaper are available on the platform. Mobivision plans to have at least 20 publishers onboard within the end of the year. It should not be a problem as the platform offers a solution to a problem that most publishers in the region face – lack of multiple revenue streams. So, publishers are most likely to use this platform to deliver their content to the fast-growing mobile phone user base in the region.

Mobimag is compatible with more than 240 mobile phones, including Windows Mobile and Symbian based smartphones and certain models of Samsung, Sony Ericsson, LG, and HTC. Surprisingly, it is not compatible with the Blackberry, Android, and the iPhone – three of the fastest growing smartphone markets in the Middle Eastern region today. The company, however, has stated that customized applications for the Blackberry, Android, and the iPhone will be released later this year. It has also mentioned that a very special application for the iPad will be released shortly.

Categories: Cell Phone Advertising, All things mobile phones, Mobile Applications.

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The FTC Approves Google’s Acquisition of AdMob

It has finally happened folks. The United States Federal Trade Commission has approved Google’s acquisition of AdMob. While this is something that we all knew would happen, there is an unexpected twist to the story. The approval was made possible because of Apple – Google’s arch rival. Incredible, don’t you think?

The FTC was reluctant to approve Google’s $750 million acquisition of AdMob because of just one reason – it thought the move would give Google an edge over all its competitors and make it a monopoly in the mobile advertising market. It thought the deal would make Google too big for any competitor to take on. Apple’s acquisition of Quattro Wireless in January, however, changed everything.

The acquisition of Quattro gave Apple a strong chance to dominate the mobile ad market. Moreover, an increasingly large number of people are using Apple iPhone and iPad to access the web on the go. So, the FTC decided that Apple’s deal with Quattro Wireless, coupled with the fact that the company has a significant presence in the smartphone market, will definitely mitigate the dominance of Google as a mobile advertising powerhouse and approved the latter’s acquisition of AdMob.

The FTC, in its own words, admitted that the decision was very difficult to make as the parties involved in the deal (Google and AdMob) are two of the most powerful mobile advertising networks in the world today. The regulators were worried about antitrust issues, which is one of the main reasons why they did not approve of the deal right away. The deal between Apple and Quattro Wireless changed their opinion and overshadowed their concerns. As a result, Google can now breathe a sigh of relief.

This, in my opinion, is the best thing that could have happened to the mobile advertising industry. Apple, which recently released the iPad, is poised to become a dominant force in the market and Google, with its Android OS, is already making waves in the market. As of now, the top players in the market include Apple, Symbian, Blackberry, Android, and Microsoft. The AdMob deal, however, gives Google a definite edge over its competitors.

The deal has made Google the largest mobile advertising network in the world today. As some of you already know, AdMob recently served its 200 billionth ad and serves, on average, 8.5 billion mobile ads every month. The company has its presence in more than 160 countries and has some of the biggest companies in the world as its clients. So, Google is all set to become the most dominant player in the market. Its competitors have their work cut out. It should be an interesting battle.

Categories: Cell Phone Advertising, Google, Apple.

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German Company To Try QR Code Based Mobile Advertising

Sennheiser, a Germany based audio technology company, says that its print ad on the latest issue of InTune Magazine will contain an interactive QR code linked to an application. The application contains music related content that could be useful for teachers who teach music and students who learn music.

InTune Magazine has joined hands with Didmo, a mobile business solutions provider based in Sweden, to use its custom QR codes in print ads. When a mobile user scans the QR code using his mobile phone, he will be directed to Magmito applications that contain lots of content related to teaching and learning music. It could be text, images, or audio and video tutorials.

The best part about these applications is that the content they have is not just limited for high end phones or smartphones like the iPhone. The basic content can be accessed by anyone with a mobile phone. Multimedia content like audio and video clips and certain additional features and experiences are, however, meant only for people who have high end mobile phones.

Using QR codes in mobile advertising is not exactly a new idea. It has been tried and tested by a lot of companies before. These codes, like I have already mentioned several times on this blog, bridge the gap between print content and mobile content. With interactive QR codes, you can mobilize a print ad. People, instead of visiting your website or calling your company to know more details, could just scan the code, download the application, and get more information in a matter of just a few seconds. This, needless to say, is a huge advantage for any business as it increases the response rate significantly.

The technology of QR code based mobile advertising is still in its infant stage. However, as more and more companies start to realize just how advantageous it can be for their business, we will certainly see a sharp increase in the number of QR code embedded print ads on magazines and newspapers.

Categories: Cell Phone Advertising, All things mobile phones.

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