When Google announced AdSense for mobile apps, I bugged Google to let me in. They did and finally, our iPhone Hebrew Translator app now has AdSense in the app. It is actually performing extremely well, I think because we dynamically load the translation terms into the AdSense system. In the example below, I translated iPhone, which then showed an iPhone related AdSense ad.

Prior to Translation (we feed generic keywords):

AdSense in Our iPhone App

After Translation we feed the keywords from the translation:

AdSense in Our iPhone App

So far, this is way out performing AdMob.