Facebook’s feud over Apple’s new privacy feature has surfaced, which would limit the reach of targeted ads, unlike the business models of the two tech giants but highlighting the symbiotic nature.
Apple plans to release a feature early next year, asking for apps sold in its stores to allow users to track their data on previously launched privacy features Is expanding This update has been recorded by tech advocacy groups such as Ranking Digital Rights, which describe it as an important step towards data security and transparency.
But Facebook, which is denied selling targeted ads, has been critical of the update with an advertising campaign focused on Apple’s move to profit, not privacy.
Facebook quoted Dan Levy, vice president of advertisements and business products, as saying, “This will force businesses to turn over subscriptions and other in-app payments to revenue, which means Apple will benefit and many free services. Charging or exiting the market. ” Blog post wednesday.
Apple has pushed back Facebook’s claims, saying the move is aimed at improving privacy, as well as breaking Facebook’s collection of user data.
“We believe this is a simple matter of standing up for our users. Users should know when their data is being collected and shared on other apps and websites – and they should have the option to allow it or not, ”Apple said in a statement. “App Tracking Transparency in iOS 14 does not require Facebook to change its approach to track users and create targeted ads, just they need to give users a choice.”
Facebook intensified its fight against Apple this week, with Apple’s update likely to hurt small businesses as a new website and newspaper ads surfaced on Wednesday. Separate advertisements launched on Thursday argue that it will also harm consumers, as businesses will have to start charging for earlier free services to make up for lost advertising revenue.
“Facebook, obviously, is doing so in its own interest,” said Ranking Digital Rights senior policy analyst Elizabeth Renaris, noting that the platform’s customer is not an individual, but advertisers.
“They are using the hashtag ht stand up for small,” or something like that, but you don’t see Small Business Administration, or NFIB [National Federation of Independent Business] Or the Chamber of Commerce is pushing back against these changes. He said it sounds outrageous.
The Small Business Administration, NFIB and the US Chamber of Commerce did not respond to comments.
Levy acknowledged that the update would harm the business of Facebook-owned miscellaneous ads, but wrote in a blog post that the impact on Facebook would be “much less than for small businesses.”
On a call with reporters, Levi accused Apple of behaving competitively with the update in an effort to profit from Apple’s App Store.
The accusations have come against Google and Amazon, as well as Facebook and Apple, which have faced scrutiny regarding market strength.
Earlier this month, 48 attorneys general filed a lawsuit on Facebook alleging anti-competitive takeover. Facebook defended itself, noting that the takeover of WhatsApp and Instagram in question was approved by regulators.
Although Facebook and Apple are the two largest tech companies, they have contrasting business models that lie at the heart of their mushroom fights.
Facebook is built to provide free online services to users, making money instead of advertisements placed on its platforms. Apple is able to charge consumers, and is less dependent on advertising revenue.
Despite their conflicting models, the two companies depend on each other to reach consumers.
“The problem for Facebook is [has] Like this weird symbiotic relationship [with Apple], “Ryan O’Leary, senior research analyst at International Data Corporation (IDC), told The Hill.
Facebook needs Apple’s iOS platform to reach users, he said. Similarly, Apple risks losing users if it does not have Facebook-owned apps available to customers.
The update, announced as part of a new set of privacy features unveiled in June, was to be launched as part of the iOS14 update in September. But Apple later delayed the update, saying it would give developers time to update their systems and data practices.
The anti-tracking feature battle adds to a year-old dispute between top tech companies.
In 2018, Apple CEO Tim Cook told Cambridge Analytica amid reports about his data privacy practices that Facebook cut data from 50 million Facebook users without his permission.
Asked what he would have done if he had been the CEO of Facebook Mark zuckerbergMark Elliot Zuckerberg Helicon Valley: Lawmakers Seeking Action Following ‘Destructive’ Cyber Attack on Federal Government US Cyber Agency Releases Emergency Instructions After Hacked FTC Opens Privacy Study in Major Internet Platforms. Facebook faces the most serious breakup threat from lawsuits so far 46 states and FTC have filed lawsuits against Facebook, Cook replied, “I will not be in this situation.”
“If we monetize our customers then we can make a ton of money. If our customers were our products, “Cook said in the same interview with Recode and MSNBC.
“We care about the user experience. And we are not going traffic in your personal life. I think this is an invasion of privacy.
Zuckerberg fired back in an interview shortly after Cook, defending Facebook’s model as creating a more accessible Internet service.
“You know, I think the argument is, that if you’re not paying that somehow we can’t care about you, then that’s awesome. And not aligned with the truth,” Zuckerberg told Vox.
“The reality here is that if you want to build a service that helps connect everyone in the world, there are many people who cannot afford to pay. And so, with a lot of media, having an ad-supported model is the only rational model that can support the creation of this service to reach people, ”he said.
The fight has gone beyond the trade of top officials.
The New York Times rejected at least five versions of the Facebook gaming app between February and June. Apple reportedly cited its rule that prohibits apps with the “main purpose” of distributing casual games.
Now, Facebook said that it is also ready to lend to another company that takes on Apple: Epic Games. Fortnite, the company behind the widely popular video game, filed a lawsuit against Apple in the summer of this year, alleging that Apple was violating antitrust laws by requiring developers to use the payment system.
Facebook director and public policy director Steve Sterfield said Wednesday that the social media giant is ready to give Apple Games a case against Apple and any relevant information in the lawsuit.
The controversial relationship between Facebook and Apple will be further exposed in the coming months, as lawmakers from the US and Europe have clamped down on tech companies. Regulation has long been coming in many ways, O’Leary said.
“Consumers did not understand that they were the product in the far right in this situation. The cat was out of the bag and hard to claw back.
The European Commission on Tuesday widely unveiled new content and competition rules. The proposed Digital Markets Act focuses on so-called “gatekeepers”, and companies not following the new rules could face heavy fines or be forced to sell parts of their businesses.
Rainieris said that in attacking each other, Facebook and Apple are showing their market forces as gatekeepers.
“They are doing this very public fight and basically holding themselves that way [that] They are subject to very serious regulation, ”she said.