Apple’s latest iOS 14 for iPhones will restrict personlized Facebook ads

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Facebook says Apple iOS 14 giving users control to restrict Apps from targeting iPhone users with personalized ads will halve its ad revenue

Apple’s new iOS 14 version is very serious about privacy. Earlier we had the situation where iOS 14 notified iPhone users about any App that was using the iPhone clipboard without their consent. That feature exposed many Apps like TikTok, Reddit, LinkedIn, etc spying on iPhone users clipboard without their knowledge or consent.  Now, Apple is taking iOS 14 privacy to the next level by allowing users to control the flow of data to Apps.

The latest Apple iOS for iPhones will be allowing users to restrict data flow from the iPhone to the service providers and protect its users’ privacy. In Apple iOS 14, advertisers could find it difficult to track users’ habits and preferences as Apple provides more control to users on what data the apps can access.

Social media network giant Facebook whose App relies on tracking user preferences and habits to target them with personalized ads is feeling the pinch of IOS 14 user-controlled data block. Facebook says Apple allowing users to block the data flow to it’s App could impact its ad revenues. 

Facebook issued a press update yesterday claiming that iOS 14 privacy feature includes an ad blocker could negatively impact its ad revenue by up to 50% and could force the social networking giant to pull down its monetizing service of Audience Network. Facebook Audience Network is an off-Facebook, in-app advertising network for mobile apps. Advertisers can serve up their ads to customers who are using mobile sites and apps other than Facebook, extending their reach beyond the platform while still getting to use Facebook’s exceptionally powerful ad system.

In an interview, Facebook Chief Financial Officer David Wehner said that the company fears that the iOS 14 update will have a great impact on how they do their advertisements. Wehner said that Facebook’s bulk of revenue comes from its ads. Wehner says that the iOS 14 option where users can disable the tracker will be quite harmful to companies relying on targeted ads. Tracking users is a vital tool used by Apps to place their targeted ads. When this is disabled, it will be hard for some developers on where to appropriately place their advertisements since they cannot determine their target space and audience.

Some within the tech community say that Facebook could even sue Apple within 2 days for allowing users to throttle data flow to Apps but it is not sure how that would work out.

Apple is supposed to release the public version of iOS 14 for all iPhone users when it launches iPhone 12 in September. Google, Twitter, Facebook and all ad networks track users to furnish them with personalized and targeted ads.

When asked to comment on Facebook’s press release, Apple Inc said that it is committed to offering best  privacy and security to the iPhone users and IOS 14 will roll out as intended in September, 2020. You can read about the privacy features of iOS 14 on Apple’s website here.

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"The Internet is the first thing that humanity has built that humanity doesn't understand, the largest experiment in anarchy that we have ever had." Eric Schmidt

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