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Nokia steps into the Ad serving business

nokia_logo_2Nokia surprised much of the mobile advertising community recently by announcing two major initiatives. The first, Nokia Ad Service, offers a fully managed service to enable advertisers to run targeted advertising campaigns linked to various mobile services and applications. The second initiative, Nokia Advertising Connector, is a private label service for third party publishers and advertising networks that want to capitalize on emerging opportunities in mobile advertising.

The Nokia Ad Service incorporates a network of mobile publishers, including Nokia’s own site which has over 100 million visits per month from over 100 countries. These publishers have an inventory of mobile ads that can be reached through the Nokia Ad Service platform. The platform has tools to support all aspects of campaign management, including planning, targeting, reporting, optimizing, learning. Ads can include banners, ads in applications, and videos.

For publishers wanting to join the Nokia Ad Service network, the implementation process consists of signing up with Nokia, receiving ad tags from Nokia Ad Service, and placing them in the desired location in the mobile internet service. Full reporting is available.

The Nokia Ad Service is live in Europe, and will be rolled out globally in second half 2007.

The Nokia Advertising Connector (also referred to as Nokia Advertising Gateway in some Nokia releases) is a service platform that will allow publishers, aggregators, and mobile operators to implement mobile advertising. It can server text, image, audio and video ads, and supports CPA (cost per action) charging model, targeted ad delivery, full reporting and analytics. Pilot implementations will start this spring, with full commercial availability in second half 2007.

MobiAD Comment: Nokia has once again shown an independent streak, moving well outside their core business of designing and selling mobile handsets. Previous forays such as this met with strong pushback from their partners and customers in the industry (remember Club Nokia). However, this time it looks like the only people they will be upsetting are the competitors that also offer ad-serving platforms – perhaps not as big a concern for Nokia.

Another observation: over the past year its been clear that the Nokia Networks side of Nokia came to believe that operators are more willing to buy services instead of platforms, especially for new services with unproven revenue streams. This is one of the first products from Nokia offered from day one as a service. Also, it is interesting that the Nokia Ad Service is being offered by the handset side of Nokia, when it actually has more of a “network” feel to it. Maybe an artifact of the recent decision to spin off the Network division into a Siemens joint venture.

Press release HERE.

A special Nokia website focussing on the Nokia Ad Service is HERE.

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