Earlier this year, in February, Apple promised its iAd developers that they would increase their payouts later on in the year. This would give the developers who use the iAd service a 10% increase from the current 60% of total earnings. Apple’s decision to raise the payouts isn’t all that surprising, when considering that Apple currently pays its iOS app developers 70% of the total revenue, 30% of which Apple keeps for themselves.

Now, the iAd platform is on the same level of iOS development in terms of profit for both the developers and the Cupertino based company. During iAd’s initial launch, it gained only a small network of advertisers willing to put up with Apple’s higher than usual prices, and a number of restrictions by which they must comply. The minimum buy-in for the mobile ad platform was decreased by Apple from $1 million to $100,000 since its launch in July 2010 with iOS 4.

This new price is down from a $300,000 minimum which took effect last July. AdMob is the leading mobile ad service of choice, particularly on the Android platform, because of its abilities to support multiple platforms at once, and with its substantially higher adoption and usage than Apple’s iAd. With this increase in payouts, Apple may increase the number of developers in its iAd program, however, the company still has much improvement before the service experiences increased adoption.

{via iMore}

An article in AppleInsider [appleinsider.com] discusses some of the opportunity and ways advertisers plan on exploiting the iPad. Two of the key buzzwords in use in the run up to the iPad launch are interactive advertisements and dynamic content. While the article was not particularly forthcoming about the ways advertisers plan on exploiting the new platform, it did note the iPhone 3.2 SDK now allows for inserting of advertisements in more spots throughout an application. The static placement model most iPhone users are know familiar with will change in ways we can only imagine.

While we don’t yet have any details on how the iPad advertising model will develop, hints at interactive advertisements and dynamic content inevitably lead to video. Traditional video advertisements would be a good match for the iPad as long as it stayed on topic and within the context of the current application. They could fill lulls in the action of a game (in between level loads for example) and the advertiser would have a captive audience for their commercial. If the video somehow promoted a level of interactivity it would also fight the urge a user might have to tune it out. I don’t know about you but I don’t even notice the ads inserted into iPhone apps any more. It is this invisibility factor advertisers need to fight and the iPad may be the perfect device for it.

As with many aspects of media, the iPad is poised to change the world of advertising as well. It will be interesting to see what mobile advertising companies do with the tools the iPad and iPhone OS SDK gives them.

What do you think? Is the iPad platform a golden opportunity for the marketers? Would you just as easily tune out an interactive commercial as a banner ad? Let us know in the comments section.

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