Google Buying Mobile Advertising Company

Google, Inc. has signed an agreement to acquire AdMob, a company specializing in mobile advertising, both on websites and in software.

This search giant is a powerhouse in online advertising, but is less influential in ads run on smartphones. At this point, no company has a lion's share of this specific market.

This deal was made to widen Google's ability to offer ads. Its focus has been on mobile search ads, while AdMob's focus has been mobile display ads and in-application ads.

From Google's Perspective
Google believes its latest acquisition will bring benefits to developers, advertisers, and users. A statement from the company says:

For publishers of mobile websites and applications, this deal will mean better products and tools and more effective monetization of their content — allowing them to focus more on their users and less on how to generate revenue.

For advertisers who want to reach users when they are engaged with mobile content, this deal will bring better, more relevant ads and greater reach. It will also mean more interesting, engaging ad formats.

Last, but certainly not least, we believe users will benefit from this deal — through more mobile content and through better mobile ads that deliver useful information.

Google is paying $750 million for AdMob.

Source: Google