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Monday, 07 June 2010 21:32

Steve Jobs demonstrates iAd platform

Written by Jon Worrel

Image

Estimated worth of $250 million in 2010 alone


The next major announcement that Steve Jobs made during WWDC 2010 was an overview of the iAd platform. In perspective, he noted that the company was going through with its own mobile advertisement system for one reason: “to help our developers earn money so that they can continue to make free and low-cost apps.” The keynote demonstration emphasized focus on both emotion and interactivity throughout the platform.

“The worst thing you want as a user is to tap on a banner and be hijacked out to the browser,” said Steve. “In this case, iAd is built right into iOS 4. You don’t have to write an app to put an ad like this into your app. Apple sells and hosts the ads so all you have to do is tell us where to put them, and then make money.”

Jobs went on to explain that advertisers and developers will profit by receiving 60 percent of the revenues. In addition, they will be paid via iTunes Connect in the same manner that app developers are paid for apps. According to the demonstration, some of Apple’s leading brand partnerships are with Nissan, citi, Liberty Mutual, State Farm, Unilevel, AT&T, Chanel, GE, Geico, Cambell’s, Sears, JC penny, Target and Best Buy.

“How successful are we going to be? We don’t know what we’re doing, but we’ve attracked some pretty exciting brands and they’ve committed over $60 million for the second year and a half.” According to analytics form JP Morgan, they believe the mobile advertising space for 2010 will roughly equate to $250 million. In perspective, 48 percent of the second half of 2010.

Last modified on Monday, 07 June 2010 21:36

Jon Worrel

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