Google Could Yank YouTube from Apple Over Skirmish
If you thought the imbroglio between Apple and Adobe was heated, perhaps the brewing tension between Apple and Google will make the Adobe quarrel look like a lover's spat. Unlike the bedrock of rumors that often drive the tech blogosphere, what we know about Google is concrete - the search engine giant isn't taking kindly to being effectively locked-out of Apple's new iAds platform.
When the first generation iPhone was introduced, Apple and Google had an enormously positive relationship. After all, one of the coolest attributes of this new thing called the iPhone in 2007 was the YouTube app, which came about as a result of close ties between the two companies and their chief executives. But that was the past. And the present is pointing to a turn for the worse between these former "friends." Who's to blame? In this case, Apple has clearly irked it's old chum by rolling out the very ambitious iAd platform that officially commences July 1st with better than $60 million in major advertising commitments already in place. According to Steve Jobs, iAds may capture nearly half of the entire mobile advertising market share by the end of 2010.
Google's anger, of course, is the product of being shut out of iAds. More specifically, Apple is excluding AdMob, the biggest mobile advertising firm in the world, and the biggest acquisition (by Google) observed in the mobile ad space to date. While Steve Jobs says Apple isn't seeking to be anti-competitive, regulators disagree and plan to investigate Apple’s clear anti-Google posturing. Ultimately, however, regulators may not be able to punish Apple as badly as Google could.
There is rampant talk that Google could cut off Apple and its myriad products from YouTube, delivering a massive contact blow to the runaway success of Apple's mobile devices that, quiet frankly, now seem ingrained as going hand-in-hand with YouTube. But will Google actually go through with it or some other form of payback? Unless Apple changes its restrictive policies in a hurry, there's an excellent possibility that Google won't go quietly into the night.