Google Invests in AppStack, Set To Dominate Mobile Ad Space Like Search Engine Space

Google Mobile AdIt wouldn’t be too long before the 500-pound gorilla of the search engine kingdom overlaps to become the main contender for mobile ad revenues. Google, which was already touted to gain mobile ad revenues to the tune of $4 billion by end of 2012 by research firm Piper Jaffray, has just led a venture round with $1.5 million in AppStack, an upcoming leader in the mobile ad segment.

Android Gaining Ground Over Apple iOS In Mobile Ads

Reaching the top of the mountain wouldn’t be without giving due credit to Android’s growing popularity, and the fact that, only in the first quarter of this year, it held 50% of worldwide market share. Piper Jaffray analyst Gene Munster forecasts that Google’s OS will “ultimately become the biggest platform for mobile advertising both for Google and the industry.” Last year, Google’s AdMob controls 24 percent of the mobile advertising segment, ahead of independent Millennial Media at 17 percent and Apple’s iAd at 15 percent. That control translated to nearly $40 billion in digital ad sales in 2011 across all platforms.

Andy Rubin, Google’s Senior VP of Mobile recently announced the company activates more than 700,000 new Android-powered devices each day. That resonated with Piper Jaffray’s reading, “On the advertising side, one source shows that Android is doing well as a percentage of mobile ad impressions on their network, which we believe makes sense since a greater portion of Android apps are free versus paid.”watch Below Her Mouth film online now

AppStack Investment, A Strategic Early-Movers Advantage

The largest reseller of Google mobile ads, AppStack offers mobile web and advertising services optimized for the SME business segment. The investment, involving a leading $1.5 million from Google Ventures, was joined in by Tomorrow Ventures, led by Google Executive Chairman Eric Schmidt, 500 Startups, and a few other IT sector investors. The company supplies hosted mobile websites and corresponding Google AdWords optimization services at very cost-effective rates, and has grabbed a whopping 2500 customers in a short-span of 3 months. For Google, the investment marks just one of the few it intends to make, solidifying its control over the mobile ad segment, and living up to the giant’s legacy of staying ahead of the game.

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