Google CEO Eric Schmidt has hit back at US regulators saying it should have its AdMob acquisition approved following Apple’s entry into the online advertising market with iAds.
On Friday, Apple CEO Steve Jobs launched a new mobile advertising platform that will run on the iphone, iPod Touch and iPad from this summer. The platform, called iAds, will directly compete with Google.
Apple’s move into mobile advertising shows the market is competitive and Google’s bid for AdMob should now be approved by US regulators, says Schmidt.
He told the American Society of News Editors conference over the weekend that, “It’s evidence of a highly competitive market,” adding that the $750 million (£486m) AdMob purchase, proposed in November, “should go through.”
Mobile marketing and advertising present unique capabilities for advertisers and marketers, and offers a new level of information access for consumers, according to Mike Wehrs, President and CEO of the Mobile Marketing Association.
He is positive about Google’s acquisition believing that for the world’s biggest advertising network to make such a significant investment is an acknowledgement of the proven results, growth opportunity, creativity and professionalism of the wider mobile marketing industry.
However, the purchase still needs approval from the Federal Trade Commission.
US regulators have asked for sworn declarations from Google competitors and advertisers, indicating that the government may also challenge the deal.
AdMob sells ads that appear on web pages and applications on mobile phones.
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