14 DAY TRIAL // Apple and Google haven't exactly been seeing eye to eye lately. The two are increasingly stepping over each other's feet, mostly Google so far, and it's creating friction between the once very friendly companies. Which makes this latest post from Google, on the Public Policy blog, all the more surprising, at least at first glance. The search giant, or rather, the advertising giant is congratulating Apple for its latest acquisition of the mobile advertising company Quattro.
What this, you say, Google lauding one of its increasingly fierce competitors for a move in a market itself is very, very interested in? How incredibly gallant of Google, very sporting indeed. Not so fast though, while Google may be one of the most likable tech giants even it isn't so well mannered. The praise has a more practical and self-serving interest, one that isn't that obscure and one that Google doesn't try to hide either.
"When we announced our planned acquisition of AdMob in November, we noted that the mobile advertising space is highly competitive -- with more than a dozen mobile ad networks," Paul Feng, Google's Group product manager, writes. "Today's news that Apple is acquiring one of AdMob's competitors, Quattro Wireless, is further proof that the mobile advertising space continues to be competitive. And with more investments and acquisitions in the space, including from established players like Apple and Google, that's a sign that vigorous growth and competition will continue."
Google doesn't exactly spell it out, but the message is squarely aimed at government regulators which are becoming increasingly interested in every move the giant makes. Recently, it made a bid for AdMob, one of the biggest names in mobile advertising, for the healthy sum of $750 million. The deal hasn't been approved yet by the anti-trust regulators which fear it would add to Google's increasing dominance in the online ad sector. The mobile ad space though is very small at this point and, though everyone is predicting big growth, it will stay like this for a few years to come, so maybe the regulators don't have anything to fear yet. In any case, the Apple deal can only serve to help Google get some breathing room as the company has certainly been feeling the pressure lately from the government.