US government investigating Apple's AdMob exclusion
The US government is reportedly now investigating Apple for the terms in the iOS 4 GM license that restrict rival ad networks owned by competing platforms -- i.e. Google's AdMob. Independent ad networks are not effected, nor is Apple's own iAd platform.
According to two people close to the situation, US regulators have already taken an interest in Apple’s actions, though it is not yet clear whether it will be left to the Federal Trade Commission, which carried out the recent Google investigation, or the Department of Justice to take an investigation forward.
This follows other reported probes into Apple's restriction on cross-compilers -- i.e. Adobe's Flash CS5 packager for iPhone, and its position in music -- i.e. Apple's decision to not promote tracks that gave rival Amazon MP3 a 24hr exclusive.
Google's AdMob acquisition itself faced intense US government scrutiny due to its dominant position in the online advertising market. Both Apple and Google want to buy AdMob, with Google winning out and Apple purchasing Quatro Wireless to power their new iOS iAd platform instead.
If one thing is clear, it looks like PC-underdog Apple is a high profile investigative target in the mobile space.
Editor-in-Chief of iMore, Executive Producer at Mobile Nations, co-host of Iterate and ZEN and TECH, cook, grappler, photon wrangler.
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Given that we got no where with the Google voice investigation I could care less
I am trying to wrap my head about how much it does stifle ad companies. And the closest I come to this is that while Apple places limitations on iOS, it does not place any restrictions on any Mac/OS product.
Or is my analogy flawed? That there are no comparable OS/Mac product like iPhones/iPads apps.
This is truly sad. I had hoped Apple wouldn't exclude AdMob because as a fellow developer, that's cutting into personal income. There are a LOT of AdMob ads in iPhone apps. What Apple just told developers is: "screw you". Loyalty gets thin when one's money is involved.
There will be posts that follow saying: "So what? I don't click on the ads anyway." But you'd be surprised how many do click and how much one app can make from 17 cents or so per click.
Steve-O said "Google got into the cell phone business" and made it sound like Google was taking things personally. Well, Google isn't a "search" company. Google is an "advertising agency". They use search to help companies strategically place ads. The fact that Apple bought Quattro (a logical and smart business decision) means that 'Apple got into Google's main business'. So yeah, it is personal. And Apple made it such.
If Apple holds true to form, does this mean that Android developers should start/stop using Quattro Wireless in their apps? Will this escalate beyond mobile operating systems into ad wars? Will Microsoft purchase Millennial Media to get their cut?
Come back next time. Same Bat time, same Bat channel!
As I understand it... AdMob is not banned from the iPhone, they're just banned from sending data out to Google, their parent company, for analysis that can be used on Android. It would be one thing if AdMob was actually banned but the media is not reporting this story correctly.
@Fraydog
I hope you're right. If my scenario is played out, it would be bad for consumers and developers alike.
Google screwed me without explanation because they rejected clicks coming from iPhones. Now they want in the iOS mobile platform by buying AdMob? Screw Google and their mom.
Fraydog
No. Admob can't collect data so they're banned in practice
"The collection, use or disclosure is for the purpose of serving advertising to Your Application; is provided to an independent advertising service provider whose primary business is serving mobile ads (for example, an advertising service provider owned by or affiliated with a developer or distributor of mobile devices, mobile operating systems or development environments other than Apple would not qualify as independent); and the disclosure is limited to UDID, user location data, and other data specifically designated by Apple as available for advertising purposes."
@Fraydog. Thanks for highlighting what IS written in the iOS4 terms.
@Fraydog
What I read is that it bans Admob from collecting, not as you say collecting then sending, the data, which is vital to advertisements.
You are mistaken. AdMob, as a Google subsidiary, is banned from collecting analytics and sending out...to anybody, including their clients. Since Ads without analytics are useless to advertisers, this prohibits AdMob from doing business on the palform.
@totally free iPhone
Ein?
@Tallbruva
There is nothing that stop Admob from just complying with Apples rules. Its BS that an advertising firm's on the internet have resorted to invading there developer's customers privacy to make ads.
Here is my problem in no other industry does advertising companies attempt to invade your privacy then the internet. Commercials on your television does not tell the ad companies what type of TV i have and when i watch and what i watch. But on mobile phones groups like Admob just want to steal my data on how i use the phone, what type of phone i have, what i have on my phone, and ect. It used to be that when a company wanted to know more about there customers they hit them with surveys that the customer could avoid but companies like Admob just bypass that.
This argument that Admob has has nothing to do with helping the developer. Voiding my privacy should be my choice.. Sorry but as far as privacy is concerned it should be my choice to give my data to a company... Not Admob's choice.
as for Analytics being a MUST for advertisers well thats BS. The idea of advertising is you have a product.. you pay to show it off. A business model of needing analytics on customers without their consent is BS.
You can use any argument you want to say "I am helping the devs!!" but issue still is your helping at the cost of my privacy.
@Lollipopjones
I must have missed where you have that choice with iAd. Considering Jobs himself is the creator on a patent to freeze the OS on a device until an ad is watched, analytics seems far less evil than Apple's intentions. ( http://tinyurl.com/yjfnss4 )
Or do you only have a problem with companies that aren't Apple?
@Lollipopjones
So Apple won't collect any data from iAds and they won't do any analytics.
Jimbo we all know that you think whatever apple does is evil and by the way they have already demo'd iAds. It will not freeze your device so stop lying you stupid idiot.
iAds is not supposed to collect any analytics on its targets. Nothing stopping Admob and what not from placing ads in apps. So whats the problem? You think Analytics is fine then go get an Android its loaded with privacy intrusive software. How is it alright for a company to make money on my private information and do all this without my consent? I am sure Jumbo you will find nothing wrong with any apple competitor... your the same idiot that is trying to say the app store is a monopoly...
End all be all is Advertising based on Analytics is actually a vioaltion of your Privacy. If either you two READ about your rights on Privacy both iAd and Admob has to have you waive your rights in order to use YOUR DATA. However Analytics firms have gotten away with this because of bumbling idiot consumers who act like the business practice is fine. These companies are supposed to ask if they may use this data and get our consent to waive our rights for Privacy.
As for the EVIL comment of Jimbo. We deal with commercials every day when we watch TV. So your saying APPLE is evil for freezing out Analytics firms when said firms can basically do the samething as iAds as long as they do not collect data on the user. Already an Ad agency has come out and attacked Admob's stance on Apple's new rule stating that it will not hurt competition at all.
My god jimbo you are such an idiot.
@lollipopjones
"iAds is not supposed to collect any analytics on its targets."
Are you sure about this? If the licensing allows other ad companies (the ones not associated with other mobile device companies) to collect analytics, I have to assume iAds does too. And if other companies can do it, I'm sure there must be some advantages gained (your bringing up the tv commercial survey/Nielsen ratings notwithstanding) as which ad company a company decides to use.
@lollipopjones
"iAds is not supposed to collect any analytics on its target"
Are you sure? So, Apple allow other companies to track data and use analytics and they won't do it. Do you people is asshole?
"its loaded with privacy intrusive software"
And which software is that?
Once you open your Bus, er- ah, Ad platform to all riders, er- ah, advertisers, you can't treat black riders, er- ah, some advertisers differently than another.
If one advertiser gets analytics, they all get analytics.
PC underdog Apple?
How is this germane to the topic at hand?
And you did so well posting the story in an even handed unbiased tone up to that point.
the way the agreement leaves open the possibility of "independent" ad services collecting analytics seems to suggest that apple will be collecting some manner of analytics as well.
judging by the example ads apple has been throwing out there, it seems like they're focusing on ads that are meant for mass consumption, coming from major, universally known clients.
something more like television ads than narrowly targeted search ads. apple might not require in-depth analytics if they are promoting a mega-brand oriented, shotgun distribution approach.
"and its position in music — i.e. Apple’s decision to not promote tracks that gave rival Amazon MP3 a 24hr exclusive."
Last I checked, the government can't force a company to promote a product that a competitor is selling. Apple has all the right in the world to not promote something that Amazon is doing.
"Google’s AdMob acquisition itself faced intense US government scrutiny due to its dominant position in the online advertising market."
How many ad companies would this make for Google so far? They already own DoubleClick.
Many people like using the whole "App Store is like WalMart" example. If we continue to use it, we could also say that WalMart has the right to reject magazines from being sold in their stores if they disagree with a particular set of advertisements in them.