Ask the app not to track or how Apple blew up almost $ 10 billion on social networks

A report by The Financial Times found that Snapchat, Facebook, Twitter and YouTube lost about $ 9.85 billion after Apple applied changes to iOS privacy. Last year, the company began requiring applications to ask the user for permission to collect their data. If he refuses, he will lose access to valuable information that he subsequently used to make money from advertising. The topic was addressed by The Verge portal.

Facebook expressed its disagreement with the changes very clearly, it even paid for a full-page newspaper advertisement, where Apple criticized. Thanks to the report, it is now clearer why the leaders of this company were so frustrated.

Facebook has lost the most money of all the affected platforms, mainly due to its size. However, the worst overall was Snapchat, which lost most of its assets. Facebook was saved from such a significant loss by the fact that in addition to the mobile application for Android, it also has a version for computers. However, Snapchat must rely only on reception from mobile devices.

If companies want to survive, they will have to find another source of income

It is unlikely that Apple will abandon the new privacy policy, so social platforms and other affected applications will need to adapt. Whether it means focusing on Android devices or investing in Apple’s advertising business, they will need to find another source of revenue.

However, according to consultant Eric Seufert, it will be difficult, especially time consuming. For example, in the case of Facebook, it envisages that the construction of the new infrastructure will take at least a year from the very beginning, as all the news must be thoroughly tested before deployment for a large number of users.