Annual advertising expenditure on mobile search applications is set to rise to more than $2 billion (£1 billion) by 2013, according to a new study.

Surveys carried out by Juniper Research indicate that consumers are increasingly searching for content both on and off-portal, providing advertisers with a significant target audience.

Dr Windsor Holden, principal analyst at the firm, said mobile advertising has historically been dominated by campaigns conducted almost exclusively via SMS but added that recent technological advances have revolutionised the industry.

"The mass adoption of 2.5G and 3G handsets - combined with the development of applications enabling targeted, instant measurement and frequency capping – mean that we now have a situation where consumers can receive personalised advertising across a variety of rich media delivery channels," he continued.

Last week, IT researcher Grant Thornton claimed that the voice over internet protocol industry is expected to grow to the point that it generates £13.5 billion in revenue in 2010.



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