Google Pays $750 Million to Buy Mobile Advertising Network

­Google has announced that it is paying US$750 million to buy mobile advertising network, AdMob. The company is privately held and backed by Sequoia Capital, Accel, DFJ Growth fund and Northgate.

"Mobile advertising has enormous potential as a marketing medium and while this industry is still in the early stages of development, AdMob has already made exceptional progress in a very short time," said Susan Wojcicki, Vice President of Product Management at Google. "AdMob is the quintessential Silicon Valley startup - generating impressive year on year revenue growth - and we're excited to welcome this talented team to Google."

"Attracting the world's top engineering talent and people with entrepreneurial vision to Google has always been crucial to our success. AdMob's proven track record in innovating at speed will help maintain that culture - which is why we are so excited to be working with them," added Vic Gundotra, Vice President of Engineering at Google.

Both companies have approved the transaction, which is subject to customary closing conditions.

A rumour had emerged last week that Apple was looking to buy the company, for the much lower figure of US$400 million.

Posted to the site on 9th November 2009