Google snaps up mobile ad firm for $750m

GOOGLE is snapping up mobile advertising company AdMob for $750m (&pound;448m) in a bid to make more cash from mobile phone handsets. <br /><br />The all-stock deal gives Google, whose Android software is increasingly used to power smartphones such as the Motorola Droid, an important element to monetise mobile internet traffic.<br /><br />Privately held AdMob makes technology that serves display ads on mobile phones and then tracks the effectiveness of those ads.<br /><br />&ldquo;Mobile advertising has enormous potential as a marketing medium and, while this industry is still in the early stages of development, AdMob has already made exceptional progress in a very short time,&rdquo; said Google&rsquo;s vice president of product management Susan Wojcicki.<br /><br />Google, the world&rsquo;s biggest search engine, does not disclose how much of its revenue, which totalled nearly $22bn in 2008, comes from mobile ads.<br /><br />Last month, it said its mobile searches increased 30 per cent quarter-over-quarter in the third quarter.<br /><br />Google boss Eric Schmidt also said last month the firm would hit the acquisition trail, after taking a breather during the slump.