Apples new privacy policy hurts small advertisers more than large

Apple’s new privacy policy hurts small advertisers more than large advertisers

A year ago, Apple released iOS 14.5, which brought into effect a new privacy policy that allows iPhone owners to prevent their online activities from being tracked to form a targeted advertising profile. Some researchers say the initiative completely transformed the advertising market, while others are sure it only harmed small players while the big ones had the resources to overcome the bans.

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In April last year, the App Tracking Transparency (ATT) form appeared on Apple’s mobile platform: developers began to request user permissions to track their activities on the Internet and profile the use of the collected information by advertisers (IDFA – ID for advertisers). . The Federal Cartel Office had already launched an investigation against Apple in June to determine whether the new data protection directive harms the interests of other market participants.

According to the company Flurry AnalyticsHarmful and Significant: In the first month after ATT came out, 96% of respondents banned self-surveillance. And in Meta* calculates that this innovation will cost them $10 billion in 2022: individual targeting no longer works, and now advertising must be targeted at large anonymous groups of Apple gadget users. One of the advertisers admitted that with the old privacy policy, every dollar invested in advertising paid off 5-6 times, and with the advent of the new advertising, it was difficult to pay off at all.

The Oxford researchers trying to understand the situation got the same initial data. However, they came to different conclusions: small gamers really lost access to individual user data. And that trend has forced the market to look for workarounds, right down to identification through probabilistic methods — through fingerprint scanner data, which Apple itself regularly references. As a result, tech giants with access to big data and other alternatives were less affected by the new directive.

* It is included in the list of public associations and religious organizations for which the court made a final decision, activities on the grounds of Federal Law No. 114-FZ of July 25, 2002 “On Combating Extremist Activity”.

About the author

Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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