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A new report out of Bloomberg is stating Apple may have been in in negotiations with AdMob about purchasing their company weeks before Google acquired them for $750 million. A purchase of AdMob—which makes their money in the mobile advertisement business—by Apple would have furthered the competition currently going on with Google, a company dominating search advertisements. With the Android and iPhone competing, there’s no wonder that both Apple and Google feel as if having the technology to make advertisement money off of their platforms would be even more beneficial for their companies. After all, AdMob advertisements already appear in a lot of third party applications on the iPhone, so if Apple could integrate this into the SDK somehow, they’d be ready to rake in some cash.

However, this may not be the only reason Apple would want AdMob. For instance, there have been many rumors that the Apple Tablet device (which is rumored itself) would come with an ad supported version to lower the cost. Also, recent patents out of Cupertino describe technologies that could use ads to freeze devices for an amount of time or even tie into an operating system. With a company such as AdMob, these could be even easier to implement. And let’s face it, there’s a lot of money to be made here with the ever-increasing amount of people purchasing smart phones and accessing the Internet on the go. It could certainly get interesting if Apple and Google start competing on another front.