Apple “apparently has recognized that its mobile advertising platform, iAd, has struggled to gain traction with advertisers and is reportedly making concessions to drum up business,” according to “CNET.”

iAds — which debuted alongside iOS 4 in 2010 — “combine the emotion of TV advertising with the interactivity of Internet advertising,” according to Apple. The iAd platform — which is built into iOS 4and higher — allows users to stay within their app while engaging with the ad, even while watching a video, playing a game or using in-ad purchase to download an app or buy iTunes content.

Developers who join the iAd Network can incorporate a variety of advertising formats into their apps. Apple sells and serves the ads, and developers receive 60% of the iAd Network revenue, which is paid via iTunes Connect. iAds require iOS 4.x.

However, during the past year, iAd has fallen from a first place tie with Google’s Admob to third place behind Admob and Millennium Media’s ad network, leading Apple to offer advertisers more attractive terms, according to a “Wall Street Journal” report. Originally setting minimum ad buys at US$1 million, Apple is now asking advertisers to commit $400,000, the “Journal” says.

Apple is also reportedly capping per-click charges, notes “CNET.” To attract new advertisers, Apple is also establishing a marketing training program and offering campus tours to marketing executives, allowing them to make discounted purchases at the company store, the article adds.

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— Dennis Sellers