Google are letting advertisers use text ads and optimized images for any phone with a full HTML browser. If you use the Apple iPhone 3G or the T-Mobile G1 Android phone then AdWords can be tailored to your mobile phone, so you will be able to view the ads like you would on your desktop browser.
Although Google already has a mobile-specific ad service, but with this new feature you do not have to create ads in mobile formats, plus the ads can be directed to desktop landing pages.
Advertiser will get a separate report for the campaigns they have running on mobile devices, plus if the advertiser wishes for their ads only to appear on the desktop and laptop computers they can opt out of the mobile web advertising.
Source: InformationWeek