The internet is buzzing about the unveiling of Apple's 4.0 iPhone operating system. The next generation iPhone OS is expected to support multitasking (the ability to run multiple apps simultaneously), as well as feature an integrated geo-targeted mobile banner ad solution for the first time. Apple, which lost out to Google in a bidding war for AdMob last fall, purchased mobile ad company Quattro Wireless for $275 million in January and has been working on developing a working iPhone ad platform for advertisers.
Apple CEO Steve Jobs, criticizing existing current rich media and search-based mobile ad solutions, said the key to iAd's success will be the ability to serve actionable ads without having to leave the app you're using. The iAd platform will also allow advertisers to find out where users are and supply ads relevant to their current location. Apple will sell and host the ads which can appear as mini-applications that offer free content such as movie trailers, casual games or wallpapers - while developers will retain 60% of the revenue generated.
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