Apple is not accepting anymore mobile ad campaigns and are closing down current ad campaigns through the Quattro Wireless ad network. Back in January, Apple purchased Quattro Wireless for a cool $275 million and it seems like they are already over the ad network after 8 months. With so much money invested into their new mobile ad network, I have to wonder what the reasoning behind Apple closing shop on their new cross platform ad network to focus on the iAd network?
This is good news for mobile advertising companies that have clients looking to execute mobile advertising on Android and other non-Apple platforms. There will be more available inventory options for smaller mobile ad players. However it will be impossible to execute a iAd campaign for a medium to smaller brand since the minimum buy is $10 million to execute. So really it’s a double edge sword, Apple has brought the light of understanding to major brands that big mobile media buys will be a norm and happen frequently. The catch is that no one with less than a $10 million for their mobile media budget will be able to run ads on iAds network.
Apple has always developed all their products to exist in an Apple eco-system. I think when Apple purchased Quattro, it was a little bit of a shock that they were extending their reach beyond the eco-system of their products. Perhaps Apple felt pressure due to the highly popularized and drawn out Google and Admob acquisition? Or was it an attempt to maintain dominance, they purchased a massive ad network to gain more control over their inventory? One thing is for sure, Apple is casting off the non-Apple inventory and ceasing to run campaigns on Quattro’s network of publishers. So what gives Apple?! I understand that you have $40 Billion in cash alone and $275 million won’t break or make you; but what do you have up your sleeve?
