Mobile giant Three to block online advertising
Summary
Three one of the many well recognized mobile network providers is going to become the first provider to block online advertising, but others are considering it. However, this is/has caused a clash with digital publishers and advertising companies who are worried for there revenues if Three customers can't see adverts.Three announced a deal with 'Shine' to carry out this motion of blocking mobile advertising in Feb 2016 with the controversial Israeli tech company a specialist company in blocking advertisements. It seems that Italy and the UK were the first to implement the blockage. The operators announcement was seen as a watershed in the mobile industry. It is said that Three have been envious of the profits that Google and Facebook are getting and are sometimes irritated by the interruption that mobile advertising causes for their customers. Three believes advertisers should pay for the data consumed by their messages. Three has blocked almost all mobile advertising and demanded that the likes of Google and Facebook and publishers share their revenues with it.
Key Statistics
- Three's nine million customers won't see mobile advertisements
- Three is attempting to acquire mobile network provider o2 for £10.25bn
My Opinion
I think that in the interest of customer service and satisfaction three are doing a good think by removing adverts on their network which lets face it none of us really want to see. However, with them blocking mobile advertising and some of the other mobile network providers looking to follow it does not say much for the future of advertising companies. However, if at some point in the future once the blockage has been put in place Three's revenues dramatically dropped they do not have anything to fall back on to recoup those losses. Apart from heavily advertising the products and different types of contracts that they offer which if they over do it nobody will pay attention to. If though they have a back up plan then the blockage is not such a bad idea.
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