Facebook Inc. (FB) Eyes $100 Billion Market By Launching Ad Network On April 30, 2014!

Must Read

Zomato Sets Eyes On $10.2 Billion Online Grocery Delivery Market in India

The 21-day nationwide lockdown imposed in India due to the Covid-19 outbreak fueled a massive change in...

Billionaire Mark Cuban’s Invaluable Advice for Startups in Crisis!

In an interview with CNBC last week, owner of NBA’s Dallas Mavericks, Mark Cuban, spoke out about...

Over 13.6 Crore Jobs in India Would Be Lost Due to Coronavirus Outbreak!

The 21-day lockdown induced by the deadly outbreak of the Covid-19 has completely dismantled and disrupted the...

Facebook Inc. (NASDAQ:FB) is apparently ready to launch an eternally anticipated Ad Network to challenge Google’s advertisement business. According to multiple sources familiar with the matter, the online social media giant is set to unveil its ad network, primarily focused on mobile traffic, at its upcoming “F8” developer conference scheduled for April 30 in San Francisco.

The move is being considered as Facebook’s best step forward in challenging Google’s ad empire till date. For both, Facebook and Google, a great share of revenue comes from advertisements. While Facebook had accumulated 76% of its Q4, 2013 revenue from advertisement, Google’s advertising revenue peaked to nearly 90% of its total Q1 2014 revenue. Therefore, getting a new competitor in the online ad space could definitely prove to be a challenge for Google.

In the last few years Facebook has seen an astounding growth in its mobile ad revenue, which has helped the company to grab 15.8% of global mobile ad revenue in 2013. In contrast, Google recorded a marginal improvement in its market share but grabbed more than three-folds of the market share for Facebook.

Advertisements

Global Mobile Ad Revenue 2013

The sources have confirmed that Facebook’s ad network is highly focused on mobile inventory and monetization of mobile traffic is the prime objective. Facebook hopes it will increase its revenue manifold in the next few quarters. This makes sense because in Q4 2013, 53% of Facebook’s total revenue was generated from mobile and 945 million monthly users were using the network from mobile devices.

We had told you earlier about Facebook’s intention to launch its own network and that the company was actively working to monetize its growing mobile network. In January, we also informed you how Facebook was testing its beta version of ad network with a few selected advertisers, specific to the mobile inventory.

Global Mobile Internet Ad Revenue in 2014 is estimated to grow by 75.1%. Facebook and Google, together, are projected to control 68% of the global mobile ad revenue, estimated to reach US$31.45 billion. In 2018, the industry is estimated to be worth $100 billion and Facebook is trying to grab hold of the biggest chunk of the pie by then.

mobile ad spending 2012 - 2018

The growing penetration of Smartphone and App-install base has also positioned the mobile ad industry as a promising bet. But Facebook is not the only one playing in the field, besides Google’s AdMob, Millennial Media, Flurry and other regional players are also eyeing this growth and making every possible move to influence the industry in their own favor. Twitter’s recent tie-up with MoPub – a mobile ad exchange – is only fueling the competition here. To be honest, the other players may not have that much on stake, but Google is likely to face the maximum heat from Facebook’s new product.

LEAVE A REPLY

Please enter your comment!
Please enter your name here
Advertisements

Latest News

Facebook Messenger Desktop App: The Rise Of Zoom Has Caught The Attention Of Zuckerberg?

Facebook Messenger Desktop app is making waves, and all because of an unexpected and sudden rise of...

A New Coronavirus Scam Is So Lucrative That People Are Falling Prey To Scammers Easily!

Fraudsters are out once again to steal your money and this time they are banking on a new Coronavirus scam.

What Businesses Need to Know About the Instagram Algorithm in 2020

Every social media platform, whether it’s Facebook or Instagram, is driven by an algorithm that controls the content exposure. This is the...

GRE And TOEFL Exams Now Will Be Undertaken From Home: Will Covid-19 Redefine Education Sector?

The sudden outbreak of the deadly pandemic Covid-19 has forced the existing education systems around the world to now rely on digital...

Over 13.6 Crore Jobs in India Would Be Lost Due to Coronavirus Outbreak!

The 21-day lockdown induced by the deadly outbreak of the Covid-19 has completely dismantled and disrupted the entire job market in India....

India Is Losing $4.6 Billion Due To Lockdown Every Day [REPORT]

The amount of havoc the Covid-19 outbreak and all the measures that have been imposed in place to curb it wreaked on...

In-Depth: Dprime

YouTube Should Have Bid Adieu To Dislike Button Much Earlier?

Online video sharing platform YouTube can be a ruthless place for content creators targeted by 'dislike mobs'. And the site owners totally understand that...

Facebook Has Pulled Off A Masterstroke By Integrating Its ‘Family Of Apps’?

It’s indeed hard to believe that ONE man sitting at Menlo Park, oversees how nearly a third of the world’s population interacts with each...

Facebook’s Crunch Conquest: By Relying Largely On The US Market, Is Facebook Running a Risk?

Two billion! That's Facebook, Inc. (NASDAQ: FB) for you - Right when you thought that this social-media giant has already connected the entire world, it's...

More Articles Like This