Apple is set to shut down Quattro Wireless less than a year after it acquired the mobile advertisement firm for $275 million.
The company is planning a different advertising strategy for itself, focussing on its recently launched iAd mobile advertisement service for its iPhone, iPod Touch and the iPad devices.
In a letter to existing customers, former Quattro Wireless CEO Andy Miller wrote: “We believe iAd is the best mobile ad network in the world, and starting next month we're going to focus all of our resources on the iAd advertising platform.”
Apple has said that it will stop taking new Quattro Wireless advertisement contracts and will wind-down existing campaigns in the months to come.
The Wall Street Journal has cited unnamed advertisers claiming that Apple's iAd platform is having a hard-time taking off.
The reason for this is that Apple is exercising a tight control over the advert creation process, making it difficult for advertisers to place their adverts on the platform.