Mobile ad network Greystripe launched its workaround to bring Flash-like ads to iOS devices last year, with the hope that advertisers who still want to use Flash-based ads would choose the network’s format over Apple’s iAd format. It looks like Greystripe’s proprietary Lightning Technology could pay off for the network. The mobile ad network’s Flash-based revenue in 2010 was boosted by 50 percent thanks to the Flash workaround, with overall revenue growing by 400 percent from 2009 to 2010.
Greystripe’s Lightening technology transcodes Flash authored ads as HTML5 to mobile devices that do not support Flash Player (such as the iPhone and iPad); these ads will be supported in both applications and on the mobile web. There’s no work for the advertisers or publishers; Greystripe says the transition from Flash to HTML5 is seamless. And Greystripe’s technology for Apple’s Safari web browser allows real-time transcoding of Flash authored creative work to HTML5.
In spite of Apple’s lack of support for Flash Ads on iPhones and iPads, 30 million iOS users saw billions of ad impressions created using Adobe Flash from major brand advertisers that use Greystripe’s technology, says the network. Brands like Buick, Corona, Axe and Burger King, delivered over 300 Flash-based mobile advertising campaigns in 2010 and the company projects 1200 such campaigns in 2011 or 100 Flash-based campaigns per month.
The company is currently generating several million dollars a month already on just flash-converted mobile ads and expects 300 percent growth in this revenue in 2011. Based on our estimates, this could range between $35 million and $40 million in 2011 revenue for Greystripe.
While Greystripe doesn’t have the reach that networks like AdMob, iAd, or Millennial Media has, the mobile ad network been able to raise an impressive amount of VC funding and even got a $2 million infusion from NBC. It should be interesting to see what 2011 brings for the smaller network. Perhaps a possible acquisition?