Google is the biggest online advertising company with its revenues about USD$23 billion in 2009 including pay-per-click (PPC) advertising and site-targeted advertising for text, banner, and rich-media ads (cf. Wikipedia contributors 2010). Providing a variety of useful and easy-to-use services, Google has achieved on one hand to attract many internet users and a huge potential audience for advertisement and on the other hand to provide tools for its customers for creating and monitoring the success of advertisement for its customers. The online advertising, in which Google operates, is divided just between few big companies.
Mobile phones enable to enlarge the online advertisement with an enormous share. Furthermore, this share provides a lot of personal data, since coming from a personal device. Apple joined this market this year with its launch of iAds. The advertising providers have realized that mobile devices need a different approach of advertising than other online platforms (cf. Gundotra, 2010; Jobs, 2010). In order to stay ahead of competition, Google has to exploit the new mobile market for advertisement. But this idea is a new concept with a lot of challengers in different aspects.
The whole research paper you find on this links:
Research paper: Google as Advertising Service Provider (947)
Presentation: Google as Advertising Service Provider - Presentation (1070)