I see it as changing my phone from having 3 "pimps" (mobile operator + Samsung + Google) to having just 1 (Apple fending off the others). And for the price of a cup of coffee you get quite decent apps instead of freemium ad-supported, slow as hell, ugly garbage apps.
If you don't feel like enabling superuser (root) on the devices you own for system-wide ad blocking, Firefox for Android lets you install AdBlock Plus/Edge/etc. like any other extension and works quite well in my experience. When they stopped allowing those addons in mobile Chrome I started using mobile Firefox as my main browser and have been perfectly satisfied.
But yeah, if you don't mind setting it up so you can grant superuser permissions to something like Adfree Android, you get system-wide ad blocking which also gets rid of ads in most apps. Still, I haven't bothered in a while because good apps don't include really obnoxious ads and the good ones that offer free versions with unobtrusive ads deserve to make some money. If they're truly good apps, then I sorta feel bad when I don't even notice I'm using the free version because ads are blocked. There are a handful of apps where I fired them up on a new device before setting up Adfree and was reminded that I really ought to just shell out the $2-3 for the full version.
I'm a bit more torn on this one. I've used Adfree Android before in this way but for the most part, if an app is good, I'll buy the full version. If it's something I just use a few times for a single purpose (and it's still useful), I'd like the dev to at least see some payment for it. If it's utter shit and full of obtrusive and annoying ads, I'd rather just uninstall it and give it a bad rating.
If you have SU/root, or build your own system.img you can use a hosts file to kill 99.9% of all in-app ads or apparently Adblock Plus has this feature too. The only time my hosts file failed was some simple weather app that refused to work when it detected no access to it's ad server so I rewrote it myself.
If you don't have root you can build your own VPN that can kill all ad traffic, a service that offers this must exist somewhere. If this all sounds too complicated buy an iPhone until Android enables an easy way to kill annoying mobile ads.
Another option is to use something like AdFree Android which includes a hosts file/blacklist that is frequently updated if you don't feel like making your own.
Ad blocking is very expensive. The iOS approach is the best idea. Have you seen the cost in memory and CPU of browser ad blocker extensions? That's prohibitive in mobile.
I'm not sure what the practical limits are on host file size, but I just checked my phone with up to date AdAway lists and it's sitting at 56429 lines (with about 10 or so of those being comments)
Have you tried Firefox and uBlock (maybe uBlock0, I forget) on a reasonable Android phone? It is amazing, and vastly superior to any other mobile browsing I've tried. Including Safari on an iPad.
If you can get root on your phone you can easily block 90% of advertising. The AdAway already mentioned is great but I also would suggest DroidWall and then you can effectively whitelist or blacklist any Android applications from using the network at all. Some apps only use your network connection to serve ads and in that case you just block those apps.