Should Google Send Thank You Flowers to Apple for FTC Approval of AdMob Deal?
The folks at Google should be very happy. And thankful. Today, the Federal Trade Commission (FTC) voted unanimously to approve and allow Google's hefty $750 million acquisition of AdMob, a mobile advertising firm that was expected to give Google even more power in its arsenal of tools than it presently has.
So what caused the Federal Trade Commission to back off from its concerns about Google's acquisition of the company? As it turns out, when it comes to Google, the FTC isn't worried about anti-trust any longer. And Apple's iAd platform is the primary reason for that change of heart, as Cupertino is about to infuse "great competition" in the mobile marketing space.
On Friday, the FTC said that Apple's ambitions "overshadow" any previous concerns about Google gaining too much power and influence with the purchase of AdMob. "As a result of Apple’s entry, AdMob's success to date on the iPhone platform is unlikely to be an accurate predictor of AdMob's competitive significance going forward, whether AdMob is owned by Google or not," stated the FTC.
The FTC is also posturing itself to deal with the newest and biggest trend in the mobile marketing space - acquisitions. As a result, the body said that "fast-growing new markets like mobile advertising" do not deserve the vast and intense scrutiny that would easily befall other industries looking to gobble up too much power. Because Apple, in this example, "is poised to become a strong competitor in the mobile advertising market," Google is now free to do with AdMob as it pleases.
So Google.... what will it be? Tulips or roses for Apple?