Apple-Quattro, Google-AdMob: Mobile Dominance Is The Endgame

The purchase follows days of speculation that Apple would scoop up Waltham, Mass.-based Quattro for roughly $275 million in a bid to go head-to-head against Google, which is in the process of acquiring Quattro rival AdMob to the tune of $750 million. The terms of Apple's Quattro acquisition were not released.

"We are thrilled to let you know that Apple has acquired Quattro," Andy Miller, former Quattro Wireless CEO and now vice president of mobile advertising for Apple, wrote in the post on Quattro Wireless' Web site.

According to Miller, under Apple's watchful eye Quattro will continue to deliver advertising to mobile devices while also improving the measurement and execution of digital ad campaigns.

"Together with Apple, we look forward to developing exciting new opportunities in the future that will benefit our customers," Miller wrote.

Miller noted that Quattro Wireless' current offerings and services will not be immediately affected and the Quattro Wireless network will continue to operate across devices and platforms. In addition, Miller wrote that client and support teams will not change.

So now that both Apple and Google have a strong stake in the mobile advertising game, what does it mean?

Both Quattro Wireless and AdMob serve and deliver advertisements to smartphones and other mobile devices, including Apple's now-iconic iPhone and handhelds using Google's Android mobile operating system. And with Google's unveiling this week of the Nexus One, billed as a solid competitor to Apple and the iPhone, the competition between the smartphone rivals has been rekindled.

Apple's Quattro acquisition and Google's AdMob buy also illustrate that the companies are looking beyond standard hardware, software and applications for mobile dominance. The ability to sell ads on the iPhone will make Apple's smartphone and mobility business that much more lucrative. And with rumors still lingering about a possible Apple Tablet, it is certain Apple has ad sales in its eyes there too.

For Google, the ability to sell mobile advertisements is another feather in its cap as it continues the uphill battle of competing with Apple on the smartphone and mobility battlefield. Google will also have the opportunity to generate a new revenue stream through mobile ad sales.

Both the Quattro Wireless and AdMob acquisitions are big wins for Apple and Google, respectively, as now each brings aboard a new revenue stream and the ability to sell advertisements that they know will reach consumers, as mobile devices and smartphones have become critical consumer and business tools.