By the third quarter of 2013, mobile advertising accounting for nearly half of Facebook’s overall ad revenue — up from almost nothing at the start of 2012. That trend is expected to continue in 2014 as mobile becomes the greatest area of ad revenue, according to JPMorgan’s annual Nothing But ‘Net report released this week.
Indeed, the report authored by analyst Doug Anmuth projects mobile advertising surpassed desktop advertising in the fourth quarter of 2013 and will rise to 63% of total ad dollars this year.
“Quite simply, mobile has moved from a headwind in 2013 to a tailwind in 2014,” he wrote. “We note that Facebook’s mobile revenue growth has been robust, despite relatively modest ad load increases, suggesting users, usage and ad-quality improvements can continue to drive strong revenue growth going forward.”