YouTube experienced 160% growth in traffic to their mobile site in 2009.
The ads will be served on the American and Japanese homepages, search pages, and browse pages.
To learn more about advertising on mobile YouTube, visit youtube.com/advertise.
Here's a sample of what an ad looks like on mobile YouTube:
Image via Official Google Blog
YouTube claims that the launch of this new ad offering automatically makes it one of the largest opportunities for mobile advertising. And they're right.
But they're missing the iPhone market, since the device blocks Flash, which most YouTube videos still run.
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