Google Inc.'s (NASDAQ: GOOG) advertising success on the web has slowed down in the last few months, proving that the all-powerful Google is not immune to the slowdown in advertising hitting all mediums during the recession. Add mobile advertising from Google to that list as well.
Although Google partner T-Mobile USA has sold more than one million Google Android-powered smartphones so far, that doesn't year compare to smartphone sales made by Research in Motion Ltd.'s (NASDAQ: RIMM) and Apple Inc.'s (NASDAQ: AAPL). Yet, those two platforms don't inherently have advertising embedded into them. Yet.
As more and more sales of Google Android-powered phones hit markets worldwide, ad dollars -- while staying flat or decelerating in some mediums -- will grow. The holy grail for advertisers has centered around monetizing the billion-plus mobile users around the world (even emerging markets) instead of the hundreds of millions watching television or cruising the web.
Yes, just as advertising slowdowns are crippling markets like publication news and terrestrial radio, web advertising -- while not growing like gangbusters at this time -- and mobile advertising are picking up the slack. Google's command of web advertising revenue is still formidable. And, if it keeps pushing out Android smartphones and turning on unobtrusive and relevant ads that users actually appreciate, Google's entrenchment into mobile advertising could prove every bit as powerful -- even in the midst of a recession.
Closing Bell: Economic Catapult for Thanksgiving & Black Friday (WMT, TGT, GRMN, GOOG, MSFT)
Deere up on Q4 earnings performance
Reid Hoffman: LinkedIn will go public (at some point)
Add your comments