BlackBerry maker Research In Motion is looking to get into the mobile advertising business, according to a report from The Wall Street Journal Thursday.
Following in the footsteps of rivals Apple and Google, RIM is looking to acquire a mobile advertising network to help it jump-start its advertising and marketing efforts. The Wall Street Journal reports that RIM is eyeing a Baltimore-based company called Millennial Media. The two companies were supposedly in talks, but the deal has stalled as the companies have not come to agreement on Millennial's worth.
AdMob was acquired by Google for $750 million in November 2009. And Quattro Wireless was acquired by Apple in January for an undisclosed amount. Reportedly, Apple paid $250 million for the company. Since then Apple has decided to close down the Quattro ad network, replacing it with its new iAd platform.
Millennial is supposedly asking RIM to pay between $400 and $500 million, The Wall Street Journal reports. But RIM has balked at the high price of the deal, the newspaper said.
Even though RIM continues to dominate the smartphone market with a No. 1 market position in the U.S. and is No. 2 worldwide, the company's market share is slipping. Mobile marketing and advertising are expected to be the next wave of innovation and growth in the mobile market. Apple's and Google's acquisitions have put pressure on RIM to make its move. Without this company or a similar way to get into the mobile ad business, RIM could miss out on a big opportunity.