Similar to the desktop version of AdSense, mobile text ad prices will be set through an auction. If a consumer clicks on an ad, the advertiser pays Google a fee that is shared with the publisher of the mobile Web page.
The mobile advertising market remains relatively small but its potential for growth cannot be ignored, and Google is well aware of that. The company is rumored to be working on its own mobile operating system software to ensure its efforts to distribute ads aren't undermined by the owners of proprietary wireless networks and handsets. Furthermore, the company has shown interest to bid in the upcoming 700MHz spectrum auction that could enable the search giant to roll out its own wireless services across the country.