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Mobile Search Ad Costs To Exceed PC Search Ad Costs

By Anna Johnson on March 23rd, 2010

Google reckons that mobile search advertising rates – i.e. the rates for search ads displayed on mobile phones – could exceed standard, PC-based search ad rates, as smartphones become increasingly popular.

During an analyst webcast about Google’s mobile business, Google Engineering Vice President Vic Gundotra said that, already, mobile ad rates had increased “dramatically” in recent years, whilst the number of Google searches on mobile phones had increased five-fold in the last two years.

He said in relation to the cost per click of mobile ads:

“We hope and believe that there’s even a chance that we could exceed desktop in the future.”

Source: Reuters/Robert Galbraith, “Google sees mobile ad rates passing PC rates,” Reuters, March 15 2010

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