The search engine giant Google has announced a pilot program for making revenue from its Google Play Store and in which, application developers can buy a top placement in the Google Play Store search result when a user is searching related to it.
Google Play Store is an answer from Google to Apple App Store and in the meanwhile, it doesn’t allow the application developers to promote it in their applications. Till date, Google has only relied on algorithms and user ratings for displaying application on the shelves of the store.
Google announced that it will start to display the advertisement in the Google Play Store for only limited set of users in the upcoming weeks. Google’s ad program will ask the users to download the application or will prompt them to run the existing application in the Android device. Mark May, an analyst from Citigroup estimated that the search engine giant can generate up to $3 billion from Google Play Store by 2016.
It mainly depends on, how the company is scaling up its new Google ad program and others suggests that the new program will generate $300 million from this ad program itself. In the meanwhile, there is an absolute benefit to the mobile users too, and in such a way that, it will also give a chance to the application developers to make their application to reach in the top results too.
On Thursday, Google has acquired a new startup, Red Hot Labs Inc., which is mainly specialized in the process of creating a Facebook advertisement for software developers. Also with the help of this technology, Google can monetize more revenue from their new ad program.
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