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PODCAST: Mobile ad fail, sequester scale

For all kinds of industries the future revenue stream is all about mobile advertising. But as ads shrink to fit our phones, are they still effective?

Global stock markets fell sharply this morning after preliminary election results in Italy indicated no political party won a clear majority in parliament.

Barring a political miracle, the budget hacking we know as the sequester will start Friday: $1.2 trillion over 10 years. The first round of cuts will be about $85 billion for the fiscal year ending September 30. Sounds bad -- and it may delay the economic recovery and cost jobs -- but the sequester isn’t the biggest spending cut ever, economists say.

For all kinds of industries, future success hinges on mobile advertising -- those little pop ups and banner ads that appear when you are using an app on your cellphone or tablet. But as ads shrink to fit our mobile screens, are they still grabbing our attention? Derek Thompson of the Atlantic joins Marketplace Morning Report host Jeremy Hobson to explain why mobile ads are nowhere near as effective as they need to be.

About the author

Jeremy Hobson is host of Marketplace Morning Report, where he looks at business news from a global perspective to prepare listeners for the day ahead.
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'Little pop ups and banner ads" don't really apply to where the industry is taking mobile ads. Developers need to monetize apps through ads because it's getting harder to charge for them in the app stores of the world. So take a look around at what ad networks are doing - Airpush, Millennial Media, Tapjoy, etc. Airpush especially is coming up with groundbreaking ad formats that are so far beyond the "little pop up and banners" that new standards are being set as we speak - http://www.airpush.com/android-developers/

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