Social networking service making $3 million per day with mobile ads.
Facebook's bet on relying on its mobile absence to boost earnings has started to show signs of promise. The social networking service is set to generate over $1 billion a year through mobile ads alone. Sponsored Stories, the ads placed in news feeds, will generate more than $1 billion in revenue a year from mobile devices.
"We ended the third quarter with more than $4 million a day coming from Feed and about three-quarters of that coming from mobile Feed," said CFO David Ebersman.
Based on his figure, Facebook is generating $3 million a day from its mobile presence, which would equal yearly earnings of $1.1 billion. Comparatively, during the latter stages of June, Sponsored Stories were generating around $500,000 a day from mobile devices, with the former figure representing a 500 percent increase.
Mobile ads generated around $150 million for Facebook during the quarter, representing about 14 percent of the company's total advertisement revenue.
While it didn't divulge much information, the firm has been testing a mobile ad network where it sells ads to mobile sites and apps outside of Facebook.
Facebook had announced that it surpassed one billion active monthly members, with mobile users exceeding 600 million.