Exaggerating The Mobile Threat To Google

from the sorry,-don't-see-it dept

There's a Business Week article making the rounds saying that it's not Microsoft or Yahoo that's a real threat to Google, but the rise of the mobile web, which will somehow shrink ad inventory and cause headaches for Google. It's a nice theory, but it's hard to square with reality. Increasing use of the mobile screen is hardly likely to decrease usage of a full computer screen. If anything, it will likely make desktop computing more useful in some cases. The article also makes a few other questionable statements. First, it points out that the mobile screen is smaller, so there's less ad inventory, and then it points out that the growing acceptance of the mobile web is due to the web browser on the iPhone. That sounds good, but the points contradict each other. The success of the iPhone's browser is due to the fact that it presents a full (not limited) web browsing experience -- so it doesn't really limit the inventory available to Google. Furthermore, even if the inventory was limited (which seems unlikely) that's not necessarily a bad thing for Google. Google's success has been based on making ads more relevant -- not just more available. This was what resulted in so much confusion during Google's recent earnings announcement. Google had made some changes to drive more relevant clickthroughs -- and while that may lower actual clickthroughs, it increases revenue. So, even if inventory is limited, if Google is still the best at making ads relevant, it will do just fine.

Filed Under: ads, mobile, real estate, search
Companies: apple, google


Reader Comments

Subscribe: RSS

View by: Time | Thread


  1. identicon
    Pete Valle, 30 Apr 2008 @ 7:18am

    Mobile web to actually go down.

    With the advent of gadgets like the iPhones and imitators to come, as well as the ever increasing connection speeds offered by mobile carriers, won't the so called "mobile web" eventually disappear? As more devices are capable of browsing the full web, the need for a "mobile web" will consistently diminish.

Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here



Subscribe to the Techdirt Daily newsletter




Comment Options:

  • Use markdown. Use plain text.
  • Remember name/email/url (set a cookie)

Follow Techdirt
Techdirt Gear
Shop Now: I Invented Email
Advertisement
Report this ad  |  Hide Techdirt ads
Essential Reading
Techdirt Deals
Report this ad  |  Hide Techdirt ads
Techdirt Insider Chat
Advertisement
Report this ad  |  Hide Techdirt ads
Recent Stories
Advertisement
Report this ad  |  Hide Techdirt ads

Close

Email This

This feature is only available to registered users. Register or sign in to use it.