What is happening between Apple and Facebook?

Apple vs Facebook – Dawn of justice

For those who are into their superhero movies especially the Marvel Cinematic Universe, may be familiar with terms like, ‘Civil War’ and ‘Infinity War’. These may portray fictitious events, but has anyone heard of a real-life Digital War? If you haven’t, you’ve come to the right place. Due to commercialisation, the world has gone digital. New technological developments are always being introduced to create a sustainable platform and build new entertainment for consumers. The market is very competitive as big tech companies like Facebook, Google and Apple continue to implement ways of attracting new customers and sustaining current ones. Recently,  a new battle has suddenly emerged between Facebook and Apple and this involves a new IOS14 update by Apple, making it harder for Facebook ads to target and track suitable customers. Whilst these ‘techno kings‘ (introduced by Elon Musk to describe himself) are busy playing badminton in a very long and tiring rally, the war is well and truly on.

 

Mark Zuckerberg argues that Facebook has a lot of competitors that make bizarre claims about their privacy policy and are often misleading. They’ve now got other issues to attend to as Apple looks to have been adding more privacy features to give its users more control over their data. They are taking steps to be more transparent in their approach and find ways to protect user data. Facebook, on the other hand, considers Apple as their ‘’biggest competitor’’ and believe that they are at a disadvantage with the new IOS update. 

 

Apple CEO, Tim Cook, stated that the new IOS update will allow apps to get explicit consent to track what people are doing on their phones and this type of tracking is tapped by advertisers to create hyper-targeted, personalised advertisements and be able to give people more control over data collection practices. Facebook are against this as they believe that this business move would create an attempt to undercut Facebook’s business model. Facebook realises the importance of personalised ads as they are used by small businesses to be discovered and this can help them ‘grow from an idea into a livelihood’. Due to the new IOS14 update, customers would be left with a choice on whether they want Facebook to track their activity across different apps or not. If they choose not to allow it, this could result in Facebook facing as much as a $3 billion U.S. advertising revenue decline if iPhone users tend to opt-out, therefore certifying a negative financial effect.

 

Mark Zuckerberg is always enduring a tough period with Facebook and in 2018, he stated that Facebook is at war and this was all down to the Cambridge Analytica scandal. Facebook was known to have obtained the personal data of millions of Facebook users without consent. This is all based around ‘trust’ and if Facebook has broken that trust, that will result in a rapid decline of customers. Has Facebook managed to capitalise on this matter? Only time will tell. For now, they’ve got other things to worry about. Let’s see where and how this drama unfolds.

 

To find out more about these changes to Facebook ads, click here

 

To find out how this may affect your ads click here

 

Written by Eesaa Amin, Shoo Academy