Will Facebook Advertising Model Help Revolutionize Mobile?

  • Since Facebook went public, it has been under significant pressure to accelerate its revenue growth. This led Facebook to launch its own mobile advertising network, which Business Insider says could “dramatically increase the amount of money media and tech companies are able to make in the next decade.”
  • Many Web publishers can create targeted advertising because they can track cookies on Web browsers. But mobile presents a more difficult challenge, as iPhone browsers do not download cookies.
  • This leads mobile applications to follow an outdated model. Advertisers do not like to spend money when they do not know specifically who they are targeting, the result of which could impact the mobile advertising business.
  • But the Facebook advertising system could solve these dilemmas. When Facebook users connect to mobile, Facebook can use the username to cross-reference with the version of the user. This means Facebook can transfer the cookie-data to its mobile entity.
  • This development could also help users, argues Business Insider, because app developers will have more money, and will be able to create better applications.

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