iAds Worth Billions to Apple, Developers

An analyst from Broadpoint AmTech suggests that Apple could stand to make over $4 billion per year in revenue from their new iAds, revenue Apple will receive after developers snag 60% off the top. This estimate is on the high side, assuming that Apple will net $0.032 per ad view (or $32/1,000 viewers), but even on the lowest estimates of only $0.002 per ad view Apple stands to make $292 million from their 40% share of the ad revenue. That’s not a bad amount of revenue for sitting around and doing nothing. And although that number is not likely to cause Apple’s board to get excited, it would more than cover the cost of acquiring Quattro Wireless earlier this year.

AmTech’s ad pricing assumption is below.

[via AppleInsider]

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