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AKQA chief: 2012 will mark end of Apple's domination in mobile

While Apple will continue to be successful in 2012, next year will mark the end of the company's era of mobile domination, according to Tom Bedecarre, CEO of AKQA. 

In 2011, Apple was one of the top companies to watch in mobile. Although this will not change in 2012, Apple will have some stiff competition from companies like Google, Amazon and Facebook.  

?2012 will mark the end of Apple's domination in mobile devices and digital media,? Mr. Bedecarre said. ?With the recent passing of Steve Jobs, we will begin to see the effects of his departure in 2012.?

AKQA is a creative agency that works with brands such as Nike, Delta, Volkswagen and Gap. The company was named Mobile Agency of the Year this year by Mobile Marketer because of the unique creative execution for initiatives such as the Nigella cooking app, Nike Training Club, Gap?s Stylemaker and the Volkswagen GTI app.

All of the apps above have been downloaded more than 1 million times each. 

Google, Facebook and Amazon, oh my
Mr. Bedesaccre predicts Google will complete its acquisition of Motorola and Android will increase its lead over iPhone in 2012.

Additionally, AKQA?s chief expects that Amazon and Android tablets will take a big bite out of iPad sales in 2012.

For the third quarter of 2011, iPad set a record with 11.12 million tablets sold, a 166 percent jump from the 4.1 million iPads Apple sold during last year?s fourth quarter.

Cloud-based services will be all the rage next year and although Apple will likely play a role, other strong competitors will also play a large part in the space. 

?Cloud-based services from Google, Netflix, Amazon and Facebook will make larger inroads against iTunes,? Mr. Bedecarre said.

iAd market share
2012 will be the year that iAd?s growth will falter.   

Apple announced last week that it will slash prices for iAd, as developer revenue plummets. 

Consumers have downloaded more than 18 billion iOS apps from the App Store, which means there is a huge audience actively downloading applications. 

Last year IDC came out with a report that found that Apple and Google shared the tops slot in the mobile display advertising market, with 19 percent of the market for each. 

Apple is now in third place at 15 percent market share, while Google is in the lead with 24 percent and independent ad network Millennial Media is a 17 percent.

The slip in market share can be attributed to a lot of developers being overwhelmed by Apple's high prices, inflexibility and demand for creative control.

It is no surprise that Apple is changing the pricing for iAd. The company began with charging a minimum of $1 million per iAd campaign. It cut that number in half early in 2011.  

?Google Mobile Ads, Millennial Media and other mobile ad networks will grow faster than the iAd Network [in 2012],? Mr. Bedecarre said.