Wednesday, August 17, 2011

Advertisers Might Like Google Motorola Impact


Motorola’s patent portfolio may have been the driving force behind the Google acquisition of Motorola Mobility, but the $12.5 billion deal won’t just help Google fend off patent ligitgation or reshape the smart phone handset market.

The deal could also make the Android platform more appealing to advertisers. Since Google launched its open-source mobile operating system in November 2007, the company says more than 150 million Android devices have been activated around the world.

By the end of this year, eMarketer says 28 percent of U.S. smartphone users will own an Android, up from 24 percent in 2010 and 6 percent in 2009. But as fast as Android’s market share is growing, advertiser interest doesn’t appear to be keeping pace. A poll released this month from media software firm Strata found that while 87 percent of U.S. ad agencies considered the iPhone to be an interesting advertising venue, just two-thirds of the agencies felt similarly about Android devices.

But advertisers say they take the planned acquisition as a sign that positive changes lie ahead. Read more here.

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