Apple to buy mobile ad company Quattro Wireless - report

Posted:
in General Discussion edited January 2014
Apple is poised to announce that it has acquired mobile advertising outfit Quattro Wireless for $275 million.



Apple is set to announce the purchase of mobile advertiser Quattro Wireless for $275 million, according to Kara Swisher at AllThingsDigital. Apple's announcement may come as early as Tuesday.



Quattro's advertising network includes iPhone, Android, and other Smartphone apps as well as thousands of mobile websites. The Waltham, Mass.-based company has a client list containing names such as Disney, Visa, and Ford.



Quattro is a direct competitor to AdMob, a company that Apple had reportedly courted before it was ultimately acquired by Google early in November for $750 million.



The FTC has been actively reviewing the AdMob acquisition due to concerns that Google could effectively monopolize the mobile ad market by leveraging its existing AdSense and DoubleClick programs.



Apple's acquisition of Quattro Wireless can be seen as an attempt to win back some of the market it lost when AdMob was purchased by Google.



The Google/Apple rivalry is poised to heat up even more with the Google's forthcoming announcement of the Android-powered Nexus One, a phone that Google plans on selling directly via the web. Today, it was reported that user interest and satisfaction in the Android OS was approaching that of the iPhone.

«13

Comments

  • Reply 1 of 45
    mactrippermactripper Posts: 1,328member
    Now do people here understand when I said it was a mistake allowing Eric on the board of Apple?



    Can't you see what's going on?





    Either Steve and Eric got together and decided to carve up the world or Eric was at Apple to be a mole for his own endeavors.
  • Reply 2 of 45
    hmurchisonhmurchison Posts: 12,125member
    Meh? advertising is potentially lucrative but hardly grounbreaking.
  • Reply 3 of 45
    -ag--ag- Posts: 123member
    Quote:
    Originally Posted by MacTripper View Post


    Now do people here understand when I said it was a mistake allowing Eric on the board of Apple?



    Can't you see what's going on?





    Either Steve and Eric got together and decided to carve up the world or Eric was at Apple to be a mole for his own endeavors.



    I think the second scenario is more likely.



    Eric even looks like a mole man.
  • Reply 4 of 45
    sheffsheff Posts: 1,407member
    Its funny that microsoft did not buy this company. They kinda needed it seeing as they are in the search business and all. Apple does not search and niether does it display any ads anywhere (not even on their Comps, hint hint Made for Windows 7 logos) . Ultimately, unless apple plans to do search, it will be hard for them to match their efforts against Google.



    Maybe they'll team up with Bing to create the iBing, but honestly this is more of a defensive move then any challenge to Google. Android on the other hand...
  • Reply 5 of 45
    boogabooga Posts: 1,075member
    Quote:
    Originally Posted by sheff View Post


    Its funny that microsoft did not buy this company. They kinda needed it seeing as they are in the search business and all. Apple does not search and niether does it display any ads anywhere (not even on their Comps, hint hint Made for Windows 7 logos) . Ultimately, unless apple plans to do search, it will be hard for them to match their efforts against Google.



    Maybe they'll team up with Bing to create the iBing, but honestly this is more of a defensive move then any challenge to Google. Android on the other hand...



    Apple doesn't show ads, but one of their most valuable assets is their iPhone SDK, and there is a lot of ad-supported software on their platform. Including some sort of ad service in the iPhone SDK for third party apps could both enable more apps and give Apple a cut of all that revenue.
  • Reply 6 of 45
    Wow. This is the beginning of AAPL's play seriously moving into the wireless arena. Today they do this compete with Google, tomorrow...? Remember, the Apple war chest keeps growing and there are a lot of undervalued companies that could be great acquisitions for them.



    This is a smart move. Not only will Apple own the content creation tools, but the distribution AND the advertising. Talk about a 360 degree program!



    Also interesting to note that Quattro is an Android dev and they work with WAP, J2ME, RIM, Symbian and Palm.
  • Reply 7 of 45
    gazoobeegazoobee Posts: 3,754member
    Quote:
    Originally Posted by Booga View Post


    Apple doesn't show ads, but one of their most valuable assets is their iPhone SDK, and there is a lot of ad-supported software on their platform. Including some sort of ad service in the iPhone SDK for third party apps could both enable more apps and give Apple a cut of all that revenue.



    I dunno, I guess I'm old fashioned but advertising is just shite to me. Hearing Apple bought an advertising company is like hearing a well liked friend secretly has some bizarre fetish that just disgusts you.



    The kind of apps that are "ad supported" are all garbage. They are deceptive rip-offs at the best of times. Apple making it easier for those kind of apps to be made and taking a cut of the revenue sounds again kind of like they are just getting into things that they shouldn't.



    I also find it ironic that Apple is being so uber-christian and squeaky clean about apps in the app store (because nudity is immoral and sex is bad or something?), but they turn around and sell advertising?



    If anything is closer to being "of the devil" or immoral, it's advertising, not sex. The entire industry is based on deception and misdirection.
  • Reply 8 of 45
    Maybe digital ads for the tablet. Electronic magazines and streaming television subscriptions with digital ads?



    Or maybe they will just use them to profile their iTunes users to recommend Apps and other content.



    Perhaps it is just to get the DOJ off of Googles back? A secret plot to kill Bing?
  • Reply 9 of 45
    Quote:
    Originally Posted by Gazoobee View Post


    I dunno, I guess I'm old fashioned but advertising is just shite to me. Hearing Apple bought an advertising company is like hearing a well liked friend secretly has some bizarre fetish that just disgusts you.



    The kind of apps that are "ad supported" are all garbage. They are deceptive rip-offs at the best of times. Apple making it easier for those kind of apps to be made and taking a cut of the revenue sounds again kind of like they are just getting into things that they shouldn't.



    I also find it ironic that Apple is being so uber-christian and squeaky clean about apps in the app store (because nudity is immoral and sex is bad or something?), but they turn around and sell advertising?



    If anything is closer to being "of the devil" or immoral, it's advertising, not sex. The entire industry is based on deception and misdirection.



    Nah... well done advertising is the stuff that turns good products into great products by creating a story for the consumer. A story that makes people dream and talk about that product like they may never have a complete life until they own it, and they might well be talked about like a pariah behind their back until they can hold this magical product in their own hands like a baby... Ladies and gentlemen, introducing the Apple iWedgie™!
  • Reply 10 of 45
    Can these ad companies provide any type of technical additions to AAPL which they could leverage?



    Normally othervise it's traditionally wise to let other companies get a share of revenue to make them happya and loyal. Trying to be everything can in the long run proove difficult and even devastating.
  • Reply 11 of 45
    Quote:
    Originally Posted by Gazoobee View Post


    I dunno, I guess I'm old fashioned but advertising is just shite to me. Hearing Apple bought an advertising company is like hearing a well liked friend secretly has some bizarre fetish that just disgusts you.



    The kind of apps that are "ad supported" are all garbage. They are deceptive rip-offs at the best of times. Apple making it easier for those kind of apps to be made and taking a cut of the revenue sounds again kind of like they are just getting into things that they shouldn't.



    I also find it ironic that Apple is being so uber-christian and squeaky clean about apps in the app store (because nudity is immoral and sex is bad or something?), but they turn around and sell advertising?



    If anything is closer to being "of the devil" or immoral, it's advertising, not sex. The entire industry is based on deception and misdirection.



    Right on!



    Quote:
    Originally Posted by SpamSandwich View Post


    Nah... well done advertising is the stuff that turns good products into great products by creating a story for the consumer. A story that makes people dream and talk about that product like they may never have a complete life until they own it, and they might well be talked about like a pariah behind their back until they can hold this magical product in their own hands like a baby... Ladies and gentlemen, introducing the Apple iWedgie?!



    How many ads are worth a crap? 1%? I'm watching cable TV, and right now a cereal commercial is trying to sell the sugary kiddy crack because "it has vitamin D!". Whoopee!!! Lies, misdirection, and deception.
  • Reply 12 of 45
    mactelmactel Posts: 1,275member
    Another revenue stream that will play nice with the AppleTV and subsidize its content. Don't assume this is just for mobile advertising.



    I'm sure Apple will bring this to their mobile devices too and maybe shut-out competitors. The DOJ will be watching.
  • Reply 13 of 45
    I miss Apple Computer.\
  • Reply 14 of 45
    Doesn't this mean Apple can now make money off Android as it grows... and Google with admob makes money as the Appstore grows?
  • Reply 15 of 45
    So now Apple has LaLa and an ad-delivery company. Since they own a substantial platform (iPhone of course), they can optimize those services for that platform. But they're missing the biggest piece of the online picture: A search engine. The purchase of a search engine now seems inevitable. How long will it be before they buy one - and who will it be?
  • Reply 16 of 45
    maybe they should buy Bing!







    Quote:
    Originally Posted by Mister Snitch View Post


    So now Apple has LaLa and an ad-delivery company. Since they own a substantial platform (iPhone of course), they can optimize those services for that platform. But they're missing the biggest piece of the online picture: A search engine. The purchase of a search engine now seems inevitable. How long will it be before they buy one - and who will it be?



  • Reply 17 of 45
    -ag--ag- Posts: 123member
    Quote:
    Originally Posted by Mister Snitch View Post


    So now Apple has LaLa and an ad-delivery company. Since they own a substantial platform (iPhone of course), they can optimize those services for that platform. But they're missing the biggest piece of the online picture: A search engine. The purchase of a search engine now seems inevitable. How long will it be before they buy one - and who will it be?



    Thats a good point.



    Because technically they even have mapping and office apps that they can use too.



    So really search is the only area where they are lacking.



    But then with a lot of the companies starting to combine (eg yahoo and bing!) to compete with Google there is not that many unique search engines of merit out there.



    [Edit... maybe there are more than i realised]

    http://thesearchenginelist.com/
  • Reply 18 of 45
    jb510jb510 Posts: 124member
    This is brillant on Apple's part, IMHO.



    First they paid 1/3 of what Google did for a mobile advertising firm. I don't think Apple needed to buy the market leader (AdMob) since Apple is already the market leader (AppStore). I think they'll do just fine with Quattro.



    Second, Apple hs been losing money, or failing to capitalize on all the "free" ad supported iPhone apps. They'll start getting a cut from those free Apps, and don't be surprised to see some sort of incentive to use Apple/Quattro advertising model in the free apps... knowing Apple that might even be as heavy handed as forcing free apps to use Apple's banner ad servers with a reveune split between Apple and the developer... this would devestate AdMob.



    Third, recall Apple's patent on ad-supported OSs. I could easily see a tablet's 3G service get subsidized by Apple/Mobile OS served ads.



    Finally, the coup de grâce... recall Apple recently purchased a location based mapping company. Suddenly Apple is postioned to do location based advertising on both phones and tablets.



    I don't see them getting into generic search advertsing like Google does, just targeted location based advertising and mobile app banner advertising.
  • Reply 19 of 45
    Quote:
    Originally Posted by MacTripper View Post


    Now do people here understand when I said it was a mistake allowing Eric on the board of Apple?



    Can't you see what's going on?



    You must be some kind of techno-geek-genius.



    Yeah we all know that this has been happening for some time. This is not news. You must have been living under a rock for some time.



    Good for Apple. They need this. They should have tried to outbid Google for Admob but this is a start. Apple obviously knows they need to have more universal revenue streams to keep the company moving forwardly expanding.
  • Reply 20 of 45
    ivan.rnn01ivan.rnn01 Posts: 1,822member
    Not that I'm gonna say Apple are clueless about the situation, but reports drill that into our minds active.

    The advertising capability in itself is poor value. The value is in the fact, that the simple gesture by AdMob, being controlled by Google, can in theory make the whole G of app-crap makers slink right that second.
Sign In or Register to comment.