Amazon to launch new in-house mobile ad platform

Amazon to launch new in-house mobile ad platform

In a recently-published report, the Wall Street Journal (WSJ) has said that online retail giant Amazon is apparently set to foray into the mobile ad arena, to challenge Google AdWords with its new 'Amazon Sponsored Links' service.

According to the WSJ report, Settle-based Amazon is developing its own software, so that it can place online ads to leverage its knowledge of millions of active Internet shoppers. The company currently has a limited business placing online ads on other websites.

Going by the details shared in the WSJ report, Amazon will initially use its new Amazon Sponsored Links in-house ad placement platform to replace those ads on its pages which are primarily supplied by Google. Eventually, however, Amazon's online ad business will take on Google's advertising business which generates approximately $50 billion for the company every year.

With regard to the online ads platform being developed by Amazon, IDC analyst Karsten Weide said that "Amazon could use the data it has about buying behavior to help make these ads much more effective;" and added: "Marketers would love to have another viable option beyond Google and Facebook for their advertising."

Amazon has already informed its potential ad partners that the testing of the new ad placement platform Amazon Sponsored Links will likely begin later this year. The new Amazon service will, as per the WSJ report, facilitate marketers in reaching out to Amazon's nearly 250 million active users.

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