The Mobile Internet Report Key Themes*

At Margin, Advertising + Online Commerce Likely to Ramp on
Mobiles, Content Purchases Likely to Ramp on Desktops
• If iTunes existed in 1995 and key content providers agreed to partner with Apple,
monetization of digital content would have evolved on the desktop Internet very
differently and (we believe) positively. Without a centralized clearing house (like
iTunes), content providers relied for the most part on advertising for revenue.
• The proof of concept for monetizing digital content: Apple’s cumulative ~$9B in
iTunes store-related revenue (CQ2:03 – CQ3:09).
• In the future, both consumers and advertisers / vendors will supply revenue
growth for digital content + advertising + commerce on both mobiles and
desktops.
• For advertisers / vendors, market direction (and payment mechanisms) are clearly
forming to allow creative players to drive new forms of revenue on both mobiles
and desktops.
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