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Ad Companies Claim That Apple Is Benefitting Off Its New App Tracking Transparency Features While Other Companies Are Being Treated Unfair

Apple is being targeted with a statement where Ad executives thinks that it is applying different privacy rules to itself compared to other applications on iPhones and therefore benefitting of it.

This blame was out on Apple when the tech giant launched its new software version iOS 14.5 on their Apple devices. The new software has a feature called “Ad Transparency Tracking Feature” which will give Apple users an upper hand in allowing which applications do they give consent to track their data and which they do not, an option which previously the users did not have.

Previously applications could track, use and send data of users without their consent to third parties and ad agenizes which was used to understand the user interest and target personalized ads towards them of their interest. However, once this App Tracking Transparency Feature starts working according to the companies a lot of people will opt against their data being tracked and hence many companies will not be able collect data for targeted ads. This matters because through targeted ads companies can generate a lot more revenue than they normally do. Some companies also went on to say that this data helps applications target small businesses of user’s interest towards them in order for the small brands and businesses to grow and this new feature by Apple will not allow this any further which will be a loss for small and growing brands.

However, the twist which a lot of applications and ad executives are deeming unfair is that this applies for all applications apart from Apple itself. This means that Apple can still serve personalized ads even if iPhone users choose to block all app tracking.

Under this new privacy restriction imposed by Apple advertisers can still get data about iPhone users they are willing to target if they buy through Apple’s ad space compared to if they buy through any other third parties

That is because the advertisers can get very generic data on the effectiveness of their ads and have to wait several days to get it if they take it from third parties while if they buy data for ads from Apple it will offer basic targeting, and also deliver ad performance data in real-time. Apple though also does not have detailed information on the customers but it can surely use Apple ID names to try to target by gender, and can allow ads to be filtered by whether or not users have specific apps installed which will give the company an upper hand over other third parties.

Therefore, ad companies are more likely to buy the data off from Apple because it will be more effective in terms of almost targeted advertisements.

What do you think is this strategy applied by Apple unfair to other applications?



H/T: WSJ.

Read next: Apple has earned revenue of $89.5 billion in just the second quarter of 2021 already

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