01 June 2007

Report: Mobile Advertising to Reach $9.5 billion

The global mobile advertising market is estimated to reach $9.5 billion in gross revenues by 2011 according to a report from EJL Wireless Research. The U.S. mobile advertising market is expected to make up about 25% of that market by 2011, reaching $2.3 billion.
The report predicts the largest segment will be mobile couponing, with that segment expected to reach almost $4 billion by 2011.
"We believe that the recent transaction involving Third Screen Media and AOL is the tip of the M&A iceberg for the mobile advertising industry and anticipate and recommend a significant consolidation of the industry to create market efficiencies that will eventually lead to explosive growth" said EJL Wireless Founder and President, Earl Lum, in a statement. "However we note that issues regarding 3G services, data plan pricing, ARPU, personal behavior and negative advertising stigma remain significant market barriers for the mobile advertising industry."


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