What AdMob means to Google…

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Google has acquired Admob for $750million in GOOG stock. The third largest acquisition for Google after Youtube and DoubleClick. So why would Google dish out $750 million for Admob. For two, maybe three, main reasons me thinks.

The 8 largest Mobile Ad networks in the wwworld are:

  1. Millennial: 45.6 million
  2. Yahoo: 36.1 million
  3. Google: 31.9 million
  4. AOL/Platform-Aโ€™s Third Screen Media: 28.6 million
  5. AdMob: 25.7 million
  6. Microsoftโ€™s MSN Ad Network: 25.4 million
  7. Jumptap: 23.4 million
  8. Quattro Wireless: 23 million
Worldwide Handset Data - September 2009

This according to mocoNews. Now if you add Google’s traffic and Admob’s traffic, what do you get? The largest Mobile advertiser in the wwworld by nearly 20 million monthly unique visitors. Yahoo will need to acquire at least two of the top 8 just to compete.

One of the other reasons you might be thinking is the huge iPhone or US market share Admob has but have a look at this data from Admob’s September 2009 Mobile Metrics Report. The Nokias, Samsungs, Motorolla, SonyEricsson and especially the other phone make up an even bigger piece of the admob pie. Unlinke in the US where every second person has an iPhone, in the rest of the word, especially emerging markets, mobile phones with simple web browsers, make up the biggest part of the mobile browsing market.

In emerging regions the iPhone doesn’t even feature but those emerging regions are also the areas promising the largest growth potential for Mobile advertising.

What are your thoughts on the Google Admob acquisition?

Mobile Phone Market Share South Africa September 2009
Mobile Phone Market Share South Africa September 2009
Worldwide Handset Data – September 2009
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