
As mobile users increasingly flock to the fancy applications on their smartphones -- and potentially spend less time on the mobile web, where Google has staked its lead -- the search giant had to find a way into those apps. So it is using its contextual ad program to serve up text and display ads inside mobile applications.
Popularized by Apple's iPhone, mobile applications have become a big hit with users who tap the rich-media utilities for everything from restaurant recommendations to apartment hunting. The iPhone App Store has logged more than a billion downloads since it opened for business last summer.
While Google has been able to translate its lead in desktop search to the mobile environment, owning 47% of the mobile search traffic to Yahoo's 25%, according to ComScore, the web may turn out not to be the de facto entry point for search on the phone the way it had been for wired PCs.
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