MediaMemo » Yahoo

Google Buys Ad Optimizer Teracent

Peter Kafka — Mon, 23 Nov 2009 17:52:03 +0000

Google’s (GOOG) acquisition spree continues: It has bought Teracent, a startup that customizes online ads on the fly. All Things Digital had reported in September that Google was interested in the San Mateo-based company, which is filled with veterans of… Yahoo (YHOO).

No purchase price disclosed, but I’m fairly confident this was in the sub-$50 million category. Teracent had been looking to raise something like $5 million earlier this year,

Consumers: We Don't Absolutely Hate Mobile Ads

Peter Kafka — Fri, 20 Nov 2009 13:58:29 +0000

Here’s your half-empty/half-full stat for the day: Four in 10 consumers don’t want to see ads on their phones. Is that good or bad for the nascent mobile ad business?

Call me Professor Positive if you must, but I don’t think that’s terrible: It means that 60 percent of phone users are okay with ads. And I suspect the number will be higher once the ads move from the theoretical/novelty realm into something you see whenever you use your phone or in exchange for getting something of value.

(And yes, I understand that a vocal minority absolutely hates advertising of all sorts and is reading this story on a computer that runs ad-blocking software. Good for you! Please let me know how you’d like to pay for this stuff and everything else you consume on the Web).

Here’s the research from Parks Associates, via Mediapost (click to enlarge):

Remember that even if mobile ads do take off as expected, it’s still going to be a relatively small business for some time. Bernstein Research figures mobile ads may generate $2.2 billion by 2013, which is nothing to sneeze at, but still a small fraction of the $32 billion Web ad market. Most of the mobile ad dollars, of course, are expected to flow to Google (GOOG) and Yahoo (YHOO).

Who's Going to Pay for Online Content? A) A Few of You B) Barely Anyone C) You're Already Paying

Peter Kafka — Mon, 16 Nov 2009 15:05:47 +0000

The new conventional wisdom is that sooner or later, consumers will have to start paying for some of the stuff they currently get for free on the Web.

But will they actually pay up? Here, the conventional wisdom is not so helpful. Nor are studies predicting consumer behavior. To wit:

Nearly 50 percent of U.S. Web users are willing to pay for online news, says the Boston Consulting Group.
Not a chance, says Forrester (FORR): Try 20 percent.

For what it’s worth, my money’s on the Forrester number, or one that’s even lower. My gut says people love consuming news, but only in the broadest sense–Obama doesn’t really Twitter! What was Belichick thinking?–and that sort of stuff, which appeals to a very large audience, will always be free, and you’ll get it from Google (GOOG) or something like Yahoo (YHOO). Which leaves you with a small audience willing to pay for everything else.

But! We should note that people are indeed paying for “content” right now. In fact, they’re paying for a lot of it: $115 a month, up seven percent from last year, says NPD Group. The breakdown:

As of August 2009, 81 percent of U.S. households subscribed to a television service (satellite TV, basic/premium cable, or fiber-optic television service). A similar percentage of households (76 percent) paid for Internet subscriptions. Seventeen percent subscribed to an online music service or satellite radio; and 14 percent subscribed to online gaming subscription services.

More traditional forms of entertainment subscriptions, however, did not fare so well. The number of people subscribing to newspapers fell by 2 percentage points to reach 29 percent in August 2009. Forty-one percent of consumers subscribed to magazines this year, compared to 43 percent who did so last year.

According to NPD, an influx of new smartphone owners has led to an increase in mobile data-plan subscriptions: 9 percent of U.S. consumers had mobile data subscriptions this year, versus just 6 percent last year. Fourteen percent of consumers subscribed to a home-video subscription service, like Netflix, this year, which is 2 percentage points higher than last year.

Ah, see? Problem solved: If you want Americans to pony up for stuff on the Web, just link it to something they’re already paying for, like their cable or Internet subscription.

This is what smart guys like John Malone have been talking about for a while, and it’s also the core of the strategy behind the Time Warner (TWX)/Comcast (CMCSA)/everyone else “TV Everywhere” gambit. But it’s also what many people have been trying to do for a very long time–ask the music industry–with limited success.

Waiting for Online Ads to Roar Back? Be Patient.

Peter Kafka — Wed, 11 Nov 2009 14:02:40 +0000

Add one more voice to the chorus of conventional wisdom: The Web ad market has stopped getting worse, but it’s going to be a while before it starts getting healthy.

This assertion comes from the analysts at Bernstein Research, who I think have been pretty levelheaded about this stuff over the past year or so. From the “stuff you probably already knew” file:

The ad business is still declining–in the U.S., Web ads will be down three percent for 2009–but should start moving up again next year, when Bernstein thinks they’ll climb 7.6 percent. Remember that those numbers will be off a depressed base.
Search is improving more quickly than display.
Google’s (GOOG) grip on search isn’t weakening a bit–if Microsoft’s (MSFT) Bing push is having any effect, it’s at Yahoo’s (YHOO) expense.
The mobile Web is going to be big, but not that big. Mobile ads may account for seven percent of U.S. Web spending in 2012.

Okay. Back to work.

More Money for "Real Time" Ad Tech: AppNexus Raises $5 Million

Peter Kafka — Tue, 10 Nov 2009 13:11:16 +0000

More money for ad technology: AppNexus, an ad-buying “platform,” has raised $5 million in a round led by Kodiak Venture Partners, along with Venrock and First Round Capital. The company is one of many trying to take advantage of “real-time” bidding for Web display ad inventory.

The funding is an “inside round”–only existing investors participated in the funding–which sometimes, but not always, raises a red flag. In this case, AppNexus says the funding is also an “up round”–its existing investors now think the start-up is worth more than they did the last time they bought in–but didn’t disclose a valuation.

There’s also a bit of fuzziness, still, about what exactly AppNexus does. The company says it provides a “gateway” to ad buyers who want access to ad exchanges like the ones operated by Google (GOOG) and Yahoo (YHOO)–Microsoft (MSFT) will launch its exchange next year–though many industry types think that AppNexus is itself an ad exchange.

The company certainly boasts lots of ad exchange bona fides. Co-founders Brian O’Kelley and Mike Nolet are both veterans of Right Media, the ad exchange Yahoo bought in 2007. And in September, the company brought on Michael Rubenstein, who had been running Google’s exchange.

Two Yahoo Music Veterans Resurface with DashBox, a Service You'll Never Use (Unless You're a Music Pro)

Peter Kafka — Wed, 28 Oct 2009 17:21:59 +0000

Digital music entrepreneurs Dave Goldberg and Bob Roback, who built up Launch Media in the 1990s and ran Yahoo’s music group for much of this decade, are trying their hands at tunes again.

This time, though, they’re not trying to convince consumers to pay for music or asking advertisers to subsidize it. Instead, they’re trying to act as a middleman between labels and publishers who own music and advertisers, Hollywood and other folks who want to use the tunes for commercial purposes.

Via Twain Media, their personal investment company, Goldberg and Roback have purchased a smallish start-up called mSoft and renamed it Dashbox, which they describe as a “subscription service that aggregates and manages all of your production music and sound effects.” The idea is to link up people who need to buy music for commercial reasons with rights holders, who are often scattered and hard to track down.

Roback will take the CEO spot at the renamed company; Goldberg, who has a day job running SurveyMonkey, will be chairman. The company hasn’t disclosed the terms of its mSoft purchase, but people familiar with the transaction tell me they bought the company for under $10 million.

Roback and Goldberg founded Launch Media in 1994, and sold it to Yahoo (YHOO) in 2001; the two stayed on to run Yahoo Music until 2007. Earlier this year, Goldberg invested in and took over SurveyMonkey, an online survey coordinator.

Goldberg is one of many former digital music executives I’ve talked to who thinks the music business is fundamentally broken, so at first blush it’s a tiny bit surprising to see him back in it again.

But he and Roback are essentially investing in an entirely different industry–it’s a business-to-business market that really hasn’t been affected much by the digital revolution. If you want to use a song in your TV show, you can’t steal it via BitTorrent or stream it for free on Spotify.

Nor has the digital revolution affected the industry’s infrastructure, which remains pretty ancient. Music supervisors for TV shows and movies still end up resorting to faxes and phone calls to track down tunes they’d like to use.

So there are some obvious opportunities for someone who can amass scale and decrease friction here. It may not be as sexy as providing consumers with all the free music they want, but it may end up being more profitable.

Looking for Microsoft's Ad Exchange? Wait Until (Early) Next Year.

Peter Kafka — Wed, 28 Oct 2009 10:01:08 +0000

Microsoft bought ad exchange company AdECN more than two years ago. And unless you’ve been paying very close attention to advertising technology, that’s the last you ever heard of it.

This should finally change next year. People familiar with Microsoft’s (MSFT) plans say the company intends to open the exchange, which will allow online ad buyers and sellers to match up in real time, in January. That will put it several months behind Google (GOOG), which turned on its real-time ad exchange in September.

But on the plus side, AdECN will offer lots of intriguing inventory from the get-go: It will sell space on Microsoft’s giant MSN network, as well as inventory on sites the company reps, like Facebook, Digg and News Corp.’s (NWS) Fox Sports.

Here’s Microsoft’s formal statement about AdECN’s the timeline:

AdECN and Microsoft remain fully committed to the AdECN Exchange and exchange business. AdECN has been running a Pilot of its Federated, real-time bidding technology within Microsoft for the past several months and will be rolling that product out to a select group of participants in the coming months.

Real-time ad exchanges are a big deal for people trying to automate advertising buying and selling. They differ from older ad exchanges, like Yahoo’s (YHOO) Right Media, in that they’re supposed to let buyers and sellers negotiate a price within milliseconds on specific pieces of inventory.

But it’s not clear that buyers and sellers will embrace real-time exchanges. In order to use them, for instance, they’ll have to build, buy or rent technology that allows them to make and process orders at lightning speed.

AdECN manager Jeff Green left Microsoft earlier this month without explaining what he intended to do next. Jed Nahum, Microsoft’s director of network strategy and planning, is running the unit in the interim.

(Disclosure: News Corp. owns Dow Jones, which owns this site.)

[Image credit: rednuht]

Rise of the Machines: Why Demand Media Is Worth More Than the New York Times

Peter Kafka — Tue, 20 Oct 2009 10:00:04 +0000

The New York Times’s model for content creation, which revolves around well-paid professionals who rely on their experience and judgment, looks increasingly threatened. What does a new model look like? Perhaps one where a computer spits out assignments to day laborers who work furiously for low pay.

That’s the worrisome conclusion you can draw from Dan Roth’s excellent profile of Demand Media in the new issue of Wired. The piece is well-worth reading, but here’s the very short version: Demand has figured out how to generate a massive stream of low-cost stories designed to extract the maximum dollars from Google’s (GOOG) advertisers.

The company has plenty of competitors that do similar stuff–Associated Content, Mahalo, and About.com, owned by the New York Times (NYT)–but Demand’s secret sauce is an algorithm that helps it figure out the most valuable stories to assign, based on search terms and keyword prices. Which leads to stories like “Where can I donate a car in Dallas?”

Demand currently produces about 4,000 new stories a month, paying the freelancers who create them between $15 and $20 a piece. But CEO Richard Rosenblatt wants to up that to a million per year. At that point, Roth notes, “the payouts could easily hit $200 million a year, less than a third of what The New York Times shells out in wages and benefits to produce its roughly 5,000 articles a month.”

Which is why Demand is constantly floated as a potential acquisition candidate for the likes of Yahoo (YHOO), at price tags of $1.5 billion or more. Investors, who bid up Times stock a bit after the company announced plans to cut its newsroom headcount by eight percent, currently value the publisher at $1.3 billion.

All of that make you queasy? Then you’re going to hate reading paragraphs like this:

Here is the thing that Rosenblatt has since discovered: Online content is not worth very much. This may be a truism, but Rosenblatt has the hard, mathematical proof. It’s right there in black and white, in the Demand Media database–the lifetime value of every story, algorithmically derived, and very, very small. Most media companies are trying hard to increase those numbers, to boost the value of their online content until it matches the amount of money it costs to produce. But Rosenblatt thinks they have it exactly backward. Instead of trying to raise the market value of online content to match the cost of producing it–perhaps an impossible proposition–the secret is to cut costs until they match the market value.

I think there’s an equally worrisome story–worrisome, that is, from the admittedly self-interested perspective of content creators like me–about the pressure from advertisers, armed with their own technology, to push the value of online content down even further. But we’ll save that for later. One downer a day is plenty.

Want to know what the face of new media looks like? Here’s a 2008 interview Kara Swisher conducted with the preternaturally peppy Rosenblatt:

[ See post to watch video ]

Is There Anything You People Won't Watch on the Web? Nope: Video Views Up 25 Percent.

Peter Kafka — Tue, 13 Oct 2009 18:22:55 +0000

Is there anything you people won’t watch online? Doesn’t look like it, based on the newest Web video numbers from Nielsen. While stats show that the overall size of the Internet video audience has increased by 12 percent in the last year, the amount of video consumed has shot up 25 percent.

Check it out (click tables to enlarge):

Note that these numbers are actually all down from August. Apparently some of you spent your last days before returning to work or school in front of your Web browser.

Meanwhile, Nielsen’s Top 10 list has the usual suspects. That is–Google’s (GOOG) YouTube and then everyone else. Interesting to note the disparity between total audience and total streams on Hulu compared to Yahoo (YHOO) and Microsoft’s (MSFT) MSN. Hulu is attracting a smaller but much more engaged audience than the big portals.

At some point, this could be a problem for the joint venture between News Corp.’s (NWS) Fox, GE’s (GE) NBC Universal and Disney’s (DIS) ABC since advertisers ultimately want reach. But it’s still astonishingly early for the site–recall that it only went out of beta in March 2008, and doesn’t have a major portal promoting it.

One caveat: Note that for whatever reason, Web video publishers tend to push the numbers they get from comScore (SCOR) more than the Nielsen numbers. But directionally, they tend to say the same thing.

Allrighty, then. If you’re going to spend so much time watching Web clips, best to make sure you’re watching something excellent. Like this clip from last night’s “The Daily Show”–a classic evisceration of CNN. Jon Stewart and crew often go after the cable channel and its brethren, but this one is particularly good. Warning! It is more than 11 minutes long!

The Daily Show With Jon Stewart

Mon – Thurs 11p / 10c

CNN Leaves It There

www.thedailyshow.com

Daily Show
Full Episodes

Political Humor

Ron Paul Interview

Exclusive: MySpace Gets a New Sales Boss–MTV Vet Nada Stirratt (Plus, an Internal Memo, Of Course!)

Peter Kafka — Fri, 09 Oct 2009 22:35:35 +0000

Employees at MySpace have been waiting to find out who their new ad sales boss will be, as All Things Digital reported earlier this week.

And here she is: Nada Stirratt, who until today was running digital sales for Viacom’s (VIA) MTV Networks. (You can read her goodbye memo to MTV colleagues below.)

It looks as if MySpace CEO Owen Van Natta is assembling a team of MTV veterans at his company, which he’s in the process of overhauling.

In addition to Stirratt, MySpace has brought former digital guru Jason Hirschhorn over as chief product officer. And Courtney Holt, who runs MySpace Music, had run digital music for MTV before Chris DeWolfe, Van Natta’s predecessor, brought him on board last year. Viacom hasn’t named a replacement for Stirratt.

Next week could be Stirratt’s debut in front of the entire advertising sales staff of MySpace, who are set to gather at a new seaside resort about 20 miles south of Los Angeles to get a first glimpse of the fresh direction the company is preparing to take under its new management.

The struggling social networking site, HQed in Beverly Hills, has been trying to reboot its image, spur innovation in its product and most of all, pull itself out of a too-long slump, even as longtime rival, Palo Alto, Calif.-based Facebook, has seen explosive growth.

In late August, MySpace sales and marketing head Jeff Berman left the company as MySpace hired MediaLink, a New York- and Los Angeles-based media consultancy, to help get its ad sales business back on track.

That effort has been led by MediaLink President Wenda Millard, who is well known in the ad industry and was longtime leader of the ad sales force at Yahoo (YHOO).

Getting an experienced top ad exec in place will round out a recent spate of new hiring by MySpace, including a new CTO, Alex Maghen, who moved over from its MySpace Music joint venture, and a new CFO, Mark Rosenbaum.

This has been part of Van Natta’s wholesale flushing out of most of the top execs who worked under DeWolfe.

Now, with a new team of execs, the News Corp. (NWS) property is putting the finishing touches on a master plan, which will include a new redesign of its hopelessly messy interface and doubling down on a product strategy that will center on, said one source, “what we own,” namely, music and entertainment.

Music is the obvious key leverage point, the still-bright spot of MySpace, followed by adding big entertainment categories like movies, television, gaming, video and other pop culture arenas.

Once the rejiggered product is in place, it will be up to Stirratt to sell it to advertisers.

Until we see how she does in that key job, here’s her missive to MTVers:

From: Stirratt, Nada
To: MTVN Digital Advertising
Sent: Fri Oct 09 16:34:51 2009
Subject: Thank You for Everything

Hi Everybody–

It is with mixed emotions that I write to inform you that I will be leaving MTV Networks. I have accepted the job of Chief Revenue Officer at MySpace and will be starting there later in the month.

The past 3+ years have been such a wonderful experience and I thank you for the extraordinary work you all have done to make MTVNetworks Digital stand for a best-in-class sales organization unlike any other in the business. Truly. We rocked the industry with our innovation, ideas, relationships and results. And we had a ridiculous amount of fun along the way. So thank you for everything. And a special heartfelt thanks to my leadership team of Kevin, Brad, Jason and Heather: I have learned so much from each of you and will cherish your friendship.

Xo  Nada

(Full disclosure: News Corp. also owns Dow Jones, which owns this site.)

Waiting for the Ad Recovery? You May Need to Be Patient.

Peter Kafka — Wed, 07 Oct 2009 12:55:55 +0000

I’ve been reporting a steady drip of cautiously optimistic forecasts for the ad business, but this one is less sunny: A JP Morgan survey of ad buyers says they’re unlikely to boost spending until next year.

Analyst Imran Khan says he talked to 20 ad buyers and planners, who control a collective $1.6 billion in ad spending, and they tell him that they’ll spend more in the second half of 2009 than they did in the first six months. But that’s not useful information, since ad spending is traditionally weighted that way.

More tellingly, Khan’s correspondents tell him they think spending will be “roughly flat to down” in the last six months of 2009, compared to 2008. And as we’ve discussed before, ad spending started plummeting in the second half of 2008. So if it isn’t improving now, that’s unpleasant news.

More pleasant: Things should get better next year:

2010 ad budgets are looking positive. 25% of respondents see upside of 5-9% in 2010 and an additional 25% see upside of 10-14% vs. 2009. Approximately 40% think that ad spend in 2010 will be roughly flat with 2009 levels.

Looking for more concrete data? Wait a week. Earnings season kicks into high gear Thursday, Oct. 15, when Google (GOOG) hands in its Q3 report card; in the following weeks we’ll also get updates from big media players, including Yahoo (YHOO) and Time Warner (TWX).

Ask.com's Newest Offer: Discount Search

Peter Kafka — Tue, 06 Oct 2009 11:49:21 +0000

Barry Diller has tried just about every gambit possible to boost his Ask.com search engine, but he keeps coming up with more. The latest: Coupons.

IAC (IACI) has rolled out Ask.Deals, a dedicated section for bargain hunters and coupon clippers. The site has its own tab on the search engine, but Ask is also featuring it prominently in regular search results: Plug in “cheap ipods,” for example, and you’ll have to work very hard not to end up in the new section.

Can’t hurt. Can it help? Ask has been mired at just under four percent of the U.S. search market for a long time and it seems unlikely that rejiggering its search results will attract new users in significant numbers. It is possible that Ask can boost click-through rates, and thus dollars, though, which would be nice.

Then again, Yahoo (YHOO) and Microsoft (MSFT) are trying variants on the same idea. And perhaps more tellingly, Google (GOOG) isn’t doing much with this stuff at all.

Microsoft Says It's Done Buying Search. Writing Big Checks for Search? Different Story.

Peter Kafka — Mon, 05 Oct 2009 14:23:05 +0000

Because it’s her job, a Reuters reporter asked Steve Ballmer today if he’s planning to make any big, splashy M&A deals to boost his search business. And because it’s the truth, the Microsoft CEO said, no, he probably isn’t. Actual quote: “No, I wouldn’t expect it.”

What else would you expect Ballmer to say? Now that Microsoft (MSFT) has got its hands on Yahoo’s (YHOO) search business–without paying a “boatload” for it–there isn’t a whole lot left to buy.

Emphasis on the word “buy.” Microsoft may still be willing to write a big check to boost its search share, specifically to get its hands on queries controlled by Time Warner’s (TWX) AOL, which has about three percent of the domestic search market.

AOL currently outsources its queries to Google (GOOG) in a deal that is said to make quite a bit of money for both sides of the table because AOL’s core user base tends to click through at a much higher rate than the rest of the Web. But AOL’s Google contract is expiring, and both Mountain View and Redmond are thought to be in hot pursuit of a new one. AOL CEO Tim Armstrong, though, is taking his time about his decision.

Also in the potential mix for Microsoft: A deal with News Corp. (NWS), which owns this site. Google’s $900 million search deal with News Corp.’s MySpace and IGN sites expires next year, but unlike the AOL deal, it has been a disappointment for Google.

It’s hard to imagine Ballmer spending much to wrest that one away, but News Corp. digital boss Jon Miller is doing what he can to drum up interest: He’s been talking up the idea of bundling multiple News Corp. properties–like, say, Dow Jones–into a larger deal. But since many of those properties have their own particular agreements and peculiarities, that’s going to take some doing.

Hollywood's How-To Guide to Web Piracy

Peter Kafka — Wed, 30 Sep 2009 19:05:28 +0000

This one circulated around the Web earlier this month, but I didn’t see it until Pali Capital analyst Rich Greenfield included it in a note yesterday: A 10-minute presentation delivered by Paramount COO Frederick D. Huntsberry that gives a thorough, if rudimentary, tutorial on how to steal the movies his company makes.

As the intro to the video notes, Huntsberry was delivering his chat at a Federal Communications Commission hearing earlier this month. And as best I can tell, he was trying to alarm the FCC by pointing out just how easy it is to grab this stuff.

Along the way, he notes how many “legitimate” companies participate, in their own way, in the piracy value chain. Everyone from small storage start-up Drop.io, which allows users to host big data files for little or no charge, to Google (GOOG) and Yahoo (YHOO), which can point people toward pirate havens, gets tarred by Huntsberry’s brush.

Not surprisingly, the video inspired all manner of invective from my fellow bloggers, who railed about Huntsberry’s lack of sophistication, his temerity for asking the FCC for help in stopping piracy, and other offenses real and imagined.

I find it hard to get worked up about it, though, since I hear this stuff from media executives all the time. The big difference is that the ones who are most impassioned about it usually don’t want the FCC to stop piracy. They want the industry to offer compelling alternatives to piracy.

For instance, here’s a site someone who works for a very big media company points me to with some regularity. Said executive says it’s the latest and greatest in piracy. I wouldn’t know, because the download scares me off (and in case my employer is wondering, I don’t condone piracy, but I do write about it). So I’ll take said executive’s word for it.

In any case, the idea is not to tip me off about a great place to hoover up a camcorded version of “Pandorum,” but to point out how fast this stuff evolves and how difficult it is stop. I don’t see any harm in noting that, right?

Why Google and Yahoo Will Have to Keep Waiting for Mobile Money

Peter Kafka — Wed, 30 Sep 2009 14:48:41 +0000

More and more people are using their phones to get onto the Web. When will advertisers follow in their footsteps?

Be patient, says a new report from Bernstein Research, which predicts that mobile ads will reach $2.2 billion by 2013. That’s a decent chunk of change, but still a small portion of the estimated $32 billion that will be spent on Web ads that year. And for Google (GOOG) and Yahoo (YHOO), it won’t be nearly enough to provide a meaningful boost to their business.

Bernstein analyst Jeffrey Lindsay isn’t down on mobile, by the way. Just realistic. He argues, sensibly enough, that mobile Web use is different from the kind you do at work or home: When you go online via your phone, you tend to look for specific bits of information, then hop off, as opposed to endless surfing from your desk or couch.

Which means that even as people transition to phones with good Web browsers like the one on Apple’s (AAPL) iPhone, their mobile Internet time won’t replace the time they spend on their PCs, but just augment it. Translation: By 2013, Lindsay figures that mobile will make up about seven percent of Web page views. Click table below to enlarge.

What does this mean for Yahoo and Google, both of which have been talking up mobile as a big growth sector? Not that much, Lindsay says. He figures U.S. mobile ads could generate $300 million for Yahoo in 2013–about four percent of revenue.

And he thinks Google, which dominates mobile search in the same way it dominates the wired world, could generate $600 million–less than two percent of its revenue. Lindsay’s math (click to enlarge):

Not included in Lindsay’s analysis: Any mention of mobile ad opportunities specific to the app ecosystem Apple is creating. As I noted earlier this week, Apple has now pushed out two billion apps to iPhone and iPod touch users, and the majority of these could support ads if there’s a market for them.

[Image credit: mistress_f]