Apple Delays Release of New Operating System with Enhanced Privacy Features to Next Year
Advertisers Including Facebook Face Increased Difficulty Accessing User Data
"Expected to Rely Even More on Apple for Advertising"
[Asia Economy Reporter Kwon Jae-hee] Bloomberg reported on the 3rd (local time) that Apple has decided to delay the release of the new iPhone operating system iOS, which includes enhanced privacy protection features, to early next year.
According to the report, Apple announced on the same day that it would postpone the release of the enhanced privacy protection iOS, which could affect mobile advertisers including Facebook from tracking users' activities, until early next year.
Earlier, Apple had announced in June that such features would be introduced in the new iOS scheduled for release this fall. In response, Facebook hinted at conflict with Apple, stating that the enhanced privacy protection features on the iPhone would deal a direct blow to its main revenue source, advertising sales. Consequently, Apple decided to delay the implementation.
Originally, Apple's operating system iOS assigns a unique identifier called IDFA to each device, which advertisers use to track iPhone and iPad users' search history, app usage records, and more to deliver personalized ads. However, personal information that can identify users is not disclosed during this process.
The newly added privacy protection feature allows iPhone users to choose whether to allow an app to access the IDFA when they use the app for the first time.
In a statement on the day, Apple said, "When the new operating system is activated, it will provide users with the ability to allow or deny tracking on an app-by-app basis," adding, "However, we will give developers time to review if there are any changes needed to this system and will apply it starting next year."
This is to give app developers time to prepare for these changes.
Mobile advertisers including Facebook expect that users will choose not to share their activity records in this case. This represents a significant change that could shake the mobile advertising industry.
Facebook recently claimed that its own tests showed that after this personalized advertising feature was removed, advertising revenue through its personalized ad program, 'Audience Network,' dropped by more than 50%.
Mobile marketing company AdColony analyzed that many app developers will face the challenge of finding ways to maintain ad-supported apps with limited data in the future.
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An anonymous developer said, "Less than half of iPhone users respond 'allow' to such tracking permissions," adding, "If the new iOS is introduced, the only way advertisers can access users will be to rely even more on Apple."
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