Another one of those pesky rumors that just wouldn't go away over the past couple of weeks was apparently not a rumor at all. Apple has unveiled today that with iPhone OS 4 they will be launching iAd, a new ad platform integrated into the iPhone OS.
The reason Apple decided to launch iAd was because, in their words, most of the advertising in current apps "sucks." The reason being is that in-app ads in their current form are usually visually unappealing and bring the user out of the app.
Apple's iAd, since it will be integrated into the OS, will be able to display high-quality interactive and video content to the user without ever leaving the app. Ads will pop-up when tapped on inside of the app, creating an interactive environment which should, in theory, generate more ad clicks. All of this is made possible thanks to HTML5.
Apple will be the one selling and hosting iAds and because of this they will be going with a 60/40 split (60 to developers) instead of their usual 70/30. According to Apple, developers will be able to add an iAd to their apps "in an afternoon."
So what do you folks think? Will fully interactive in-app ads make you more likely to click on them? Or are you now worried that every developer will want to include ads, even in paid apps?
