translation: i have nothing useful to add but i would like to add my useless moral judgments for no reason. im pretty sure you can block ads anywhere on the iphone by blocking certain connections via firewall ip.
There is a way (I have done it, but forgot where I found the hack!) where you mod the service.js (!) file to value =null and all the ads are gone. Google is your best friend.
I don't mind ads, if its free. What I mind is when the effing ad takes up the whole screen and you have about a mm on the top and bottom to scroll. Its impossible to not hit the ad, or to hit one of the buttons on the bottom, thus making me have to start the search all over again. VERY ANNOYING.
More instructions about it can be found here: AdBlock Toggle
This blocks ads everywhere in your phone (cydia, safari, etc). While the argument of looking at ads in exchange for the repo hosting content for free is certainly valid, you still have the right to decide what you choose to view or block on your device.