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Apple Wages War On Mobile Advertising

Apple Wages War On Mobile Advertising

Apple Inc. (NASDAQ: AAPL) is planning to roll out its latest operating system some time in the coming months, much to the dismay of mobile advertisers. The new system will allow users to install ad-blocking apps which will help pages load faster and make using Apple's Safari web browser on a smaller screen much easier

The ad blocking feature is likely to appeal to the thousands of people using Apple devices who would prefer to declutter their web browsing experience, but it could deliver a significant blow to the $70 billion per year mobile marketing business.

Mobile Revolution

Most firms have begun to tailor their marketing approach toward mobile browsing as more and more people abandon their laptops and computers and do more of their web surfing on their phones or tablets. The shift has spawned an entirely new industry focused on growing a companies' revenue based on mobile advertising. However, Apple's latest initiative could mark the beginning of the end for mobile advertisers.

Related Link: Is Apple's September 9 Event Teasing A Major Siri Announcement?

Great Customers

Apple's offer to block advertisements is likely to put pressure on Google Inc (NASDAQ: GOOG)'s Android system to do the same. However, since Google makes a large chunk of its revenue through advertising, that could pose a problem. Not only will more mobile users be expecting fast loading pages and fewer ads, but removing Apple customers from the pool of potential ad viewers will be detrimental to advertisers as well.

Apple customers tend to spend more than their Google counterparts, making them an attractive audience. However, the new iOS will take that group out of the mix and make them more difficult to reach.


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