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HalfofThe > Blog > News > Apple’s app tracking policy reportedly has cost social media platforms nearly $10 billion
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Apple’s app tracking policy reportedly has cost social media platforms nearly $10 billion

Bippin
Last updated: 2022/06/14 at 9:21 AM
By Bippin Published November 1, 2021
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Apple’s app tracking policy reportedly has cost social media platforms nearly $10 billion
Apple’s app tracking policy reportedly has cost social media platforms nearly $10 billion
Apple’s app tracking policy reportedly has cost social media platforms nearly $10 billion

An inquisition conducted by The Financial Times had revealed that Snapchat, Facebook, Twitter, as well as YouTube have lost around $9.85 billion in revenue after Apple’s changes to its app tracking policy practices. Apple had announced the new App Tracking Transparency (ATT) policy, which requires apps to ask permission to track users’ data. The policy took effect in April, barring apps from tracking users if they opted out.

The backlash for Apple’s app tracking policy by big companies

Facebook had notably criticized this move via a full-page newspaper ad. Thanks to the Financial Times’s report, we know why companies were so frustrated. The report says that Facebook lost the most money “in absolute terms”, due to its massive size. Snap “fared the worst in terms of percentage of its business” as its advertising is mainly reliant on smartphones, as it doesn’t have a specific desktop version.

“Few platforms were heavily impacted, however, especially Facebook, have to rebuild their machinery from scratch as a result of ATT,” Adtech consultant, Eric Seufert conveyed to FT. “I believe it might take at least a year to construct the new infrastructure. As new tools, frameworks have to be developed from the ground, they have to be tested extensively before being deployed to the majority of users.”

Apple’s new policy will force social platforms as well as other apps to get more creative regarding their advertising. Does this mean focusing on Android devices? OR. Investing in Apple’s advertising business, which itself was close to breaking its own rules by quietly collecting user data, exactly how third-party apps did. They’ll have to figure out an alternative source of revenue, which doesn’t involve tracking people with their iPhones.

If you liked this article (or if it helped at all), leave a comment below or share it with friends, so they can also know about How Apple’s app tracking policy reportedly has cost social media platforms approximately $10 billion.

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