Monday, October 05, 2015

Phone operator to pioneer ad blocking

The newest article on ad blocking (the topic that professor mentioned several times during last class) talks about a new development in that sphere. In fact, a cell phone operator in the Carribean & Pacific - Digicel - has decided to completely block mobile ads. No input from consumers is required anymore - people don't need to install ad-blockers to prevent ads from appearing in their mobile browsers.
Right now the scale of this effort is completely insignificant. However, it's not a complicated thing to implement for large operators in the US and other countries. So if the project is successful it will quickly be replicated by other companies in different countries and on a much bigger scale.
As good as it may seem from a consumer point of view at the first glance, I think all it will ultimately lead to is a margin increase for the mobile service providers. Why? Because Google, Yahoo and other platforms will first sue and then offer money to the operators to stop blocking their ads (which bring a lot of revenue to them). So the operators will either start charging their customers for the ad-blocking service or will make a deal with the tech companies and continue doing ads.

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