Apple (Apple) announced on the 26th, its products iPhone and iPad software update version iOS14.5 will be equipped with “App Tracking Transparency” (App Tracking Transparency) feature, to limit the device App tracking users; this may make Facebook ( Facebook) face huge losses, making the poor relationship between the two companies continue to sink to a new low.
The new feature introduced by Apple is that the app can’t track users unless they are asked and have explicitly chosen to agree.
The reason for Apple to launch this feature is privacy issues, and has been preparing for a long time, Facebook has been opposed to this move; Facebook executives have admitted that Apple’s feature will make Facebook lose billions of dollars in revenue every year; Facebook’s annual revenue is nearly $86 billion, most of which comes from advertising.
For example, in February this year, Facebook said on its blog: “Every business comes from an idea, and through personalized advertising, we can spread the idea widely so that even small businesses can change the entire industry. “Restricting personalized advertising would put out the key growth engine of the business.
Facebook also accused Apple of trying to “suck money” by cutting App ad revenue and forcing the App to charge users, as Apple takes 15 to 30 percent of almost all paid behavior on the App.
Since Tim Cook took over the helm of Apple, the relationship with Facebook has continued to be low, for example, Apple had launched the “screen time” in 2018, specifically named Facebook is the user “addicted” to the longest App; January 6 this year, the Congress riots, Cook also did not forget to criticize the role played by Facebook in spreading fake news and rallying hate elements.
The disagreement over privacy is one of the most high-profile disputes in Silicon Valley, sending the relationship between the two companies to a new low.
Elizabeth Renieris, a technology ethics expert at the University of Notre Dame, said the dispute between the two companies highlights their ability to dominate the marketplace, which is so large that it’s amazing.
Another company with an advertising network larger than Facebook’s is Google, which said it would not be affected by Apple’s new policy; in fact, in order to gain an advantage on Apple devices, Google pays $9 billion to $12 billion a year to Apple, and the relationship between the two companies is like glue, which has drawn the attention of the Department of Justice’s antitrust investigation.
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