Toni Sacconaghi in Barron’s:
iAd’s unique value proposition is that it can serve interactive, multimedia advertisements within apps; moreover, these ads are likely to be highly targeted based on location, intent and demographics
OK, how much is that worth in monetary terms? Barron’s Eric Seitz:
As for revenues, Sacconaghi sees big potential. He estimates FY 2010 run-rate iAd revenue could be over $800 million for Apple by the end of FY 2010; that includes an estimated $550 million in annualized revenue from apps, and another $265 million or so for ads placed in videos, newspapers and other media.
That’s some kind of expensive advertising.
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