Google Blasts Apple on Ad Rules

Google blasted Apple for imposing new rules on developers that could bar Google and other rivals from selling ads inside iPhone and iPad applications, the latest sign of growing tensions between the two Silicon Valley powerhouses.

The flap underscores the rising stakes associated with selling ads on cellphones, a small but fast-growing market that prompted Google to outbid Apple to buy AdMob, which places ads on mobile devices. Apple on Monday amended the rules governing the development of apps that work with a new operating system for its iPhone and iPad devices. The language now prohibits developers from sharing usage data from iPhone apps with some ad companies, preventing those companies from targeting ads and making it harder for them to compete with Apple's own ad network, iAd, which is set to launch July 1. Omar Hamoui, AdMob's founder and now a Google vice president, said in a blog post Wednesday the new rules "if enforced as written, would prohibit app developers from using AdMob and Google's advertising solutions on the iPhone." He added Apple's new rules "hurt both large and small developers by severely limiting their choice of how best to make money."