Posted June 24, 2009 2:50 pm by with 8 comments

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How does an iPhone application developer make money when giving away a free app? Well, before today, they mostly relied on users upgrading to a version of the app with more features–and a price tag. Now they have a new beta program from Google to test.

Google AdSense for Mobile Applications just launched and application developers–for either iPhone or Android–can apply to join. Already onboard are Backgrounds, Sega, Shazam, and Urbanspoon. The latter shares its story on using AdSense in its iPhone app in the video below.

I know more of our readers are going to be on the marketing side of his equation, so what are you thoughts? Are you excited about seeing your ads on popular iPhone apps?