Meta will lose 10 billion on ads in 2022 due
Software

Meta will lose $10 billion on ads in 2022 due to iOS privacy policy

Facebook owner Meta said a change in Apple’s iOS privacy policy could result in a $10 billion drop in revenue in 2022, CFO Dave Wehner said during a discussion with analysts over its quarterly financial report.

Image source: Artapixel / pixabay.com

Image source: Artapixel / pixabay.com

Apple made a major change to its mobile platform privacy policy with the release of iOS 14.5 — since then, app developers can’t collect user data for interest-based ads without explicit permission to do so. Now when launching applications that contain ads, a prompt appears asking for permission to track the user’s personal information. If he refuses, the application developer loses access to IDFA – an identifier responsible for targeting ads and collecting statistics on their effectiveness. According to some reports, up to 90% of iPhone owners refuse to be tracked. Of course, this has hit the advertising business of many companies, including Meta, hard.

Facebook COO Sheryl Sandberg said that Apple’s approach is not only hurting Meta, but also many small businesses that rely on online advertising as a growth driver and rely much more on personalized advertising than the big players. Ms. Sandberg stressed that these changes are driving up prices for services, and blocking access to performance statistics makes it much more difficult to measure ad conversions.

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Robbie Elmers

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

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