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Mobile ad spending to surge, but still represents small portion

Mobile ad spending to surge, but still represents small portion

According to new projections from Juniper Research, worldwide mobile Internet ad spending is expected to grow fourfold over the next five years, mostly fueled by emerging markets. However, it will still account for a small portion of all advertising dollars for the foreseeable future, GigaOM reported.

Mobile Web ad revenues worldwide will jump to nearly $2 billion by 2014 from $500 million this year, thanks to surging traffic from markets such as India and China, where fixed-line Internet access is limited, according to Juniper. The overall mobile ad market, including online as well as text ads, Bluetooth-based campaigns, etc., is expected to increase at a similar pace, up from $1.4 billion this year to $6 billion in 2014.

However, recent data from IDC just indicated how small mobile is compared to the overall online advertising. Worldwide online ad spending totaled $13.9 billion in the second quarter this year, with $6.2 billion contributed by the U.S.

According to Rutberg & Co., "the traditional media industry may be under fire as the weak economy crushes advertising spending, but companies and investors are scrambling to stake out new territory in the world of mobile content...In our view, the uncertainty is less around whether $100MM+ exits will occur and more around whether $1B+ exits will occur," GigaOM reported.


Erina Lin


2009-08-26 17:23

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